In the first nine months of 2005 Sika’s net sales totaled CHF 2,173 mil., an increase of 12.1% compared to the corresponding period a year earlier. Currency-adjusted, sales were up 11.3%. Expressed in Swiss francs, third-quarter sales were 14.6% higher or, denominated in local cur-rencies, 11.5%.

The competitive environment continued to keep pressures on margins. On the other hand tensions in raw material markets have eased somewhat. Prices, however, remain at a high level. Initiatives launched to boost efficiency continued to yield improvements. Personnel expenses and other operating expenses were down by 1.8 percentage points.

Development of earnings

Operating profit (EBIT) advanced 10.9% over the corresponding period last year and reached CHF 209.8 mil. The EBIT margin decreased slightly from 9.8% to 9.7%. Consolidated net profit developed gratifyingly in the first nine months; at CHF 134.5 mil. it surpassed year-ago results by 21.0%. Sika’s operating free cash flow totaled CHF 47.7 mil.

New Head of Research & Development of the Sika Group

The Board of Directors of Sika AG has appointed Dr. Urs Mäder as new Head of Research & Development and Member of Group Management. He succeeds Dr. Robert Petrisko, who opted for a sabbatical for the next two years. Urs Mäder has a doctorate in Chemistry from the University Fribourg, Switzerland. He joined Sika in 1989. Since 2000 he has been PTD (Product Technology Director) for Construction Chemicals and Mortars. Under his guidance various developments were made, especially in the field of the Sika® ViscoCrete® -technology, which substantially contributed to the success of the Sika Group.