07/29/2025

Ad hoc announcement pursuant to Article 53 of the Listing Rules of the SIX Exchange Regulation

▪ Sales of CHF 5,676.4 million (previous year: CHF 5,834.8 million) in first half of the year
▪ 1.6% sales increase in local currencies, with 0.6% attributable to organic growth and 1.0% to acquisition effect
▪ Weaker US dollar predominantly responsible for high foreign currency impact of -4.3%
▪ Material margin at a consistently high level of 55.1% (previous year: 55.1%)
▪ EBITDA margin increased to 18.9% (previous year: 18.7%), supported by strong synergy momentum; raised MBCC synergy targets for 2025 and 2026 by CHF 20 million

Targeted investments in future growth:
▪ Strategic acquisition of Elmich (Singapore), Cromar (UK), HPS (USA), and
Gulf Additive (Qatar)
▪ Global production capacity expanded with new factories in Singapore, Xi’an and Suzhou (China), Quito (Ecuador), Ust-Kamenogorsk (Kazakhstan), Belo Horizonte (Brazil), and Agadir (Morocco)

Outlook for the 2025 business year:
▪ Amid uncertain market development, Sika will continue to grow above the market and is focusing on margin improvement
▪ Modest sales increase in local currencies expected for the full year
▪ Successful integration of MBCC – increased synergy targets for 2025 and 2026
▪ Over-proportional EBITDA increase and EBITDA margin of between 19.5% and 19.8%

▪ Strategic medium-term targets for sustainable, profitable growth confirmed for 2028

Despite a challenging economic environment, Sika continued to grow in local currencies in the first half of 2025, achieving a year-over-year increase in its profit margin at EBITDA level. However, the weaker US dollar, which lost 10% against the Swiss franc in the second quarter, as well as ongoing uncertainties on the global markets, had an impact on the results. 

"In a challenging market environment, we once again outpaced the industry trend and continued to gain market share. Our position is especially strong in the project and infrastructure sector, which encompasses forward-looking and high-growth segments. This includes the global expansion of building structures related to artificial intelligence and digital infrastructure. With more than 1,000 data centers built using our technologies to date and a strong project pipeline, Sika has established itself as a preferred partner to technology leaders. Together with our customers around the world, we shape the digital infrastructure of the future." Thomas Hasler, CEO

Increase in EBITDA margin and raised targets for MBCC synergies

Sika increased its sales in local currencies by 1.6% in the first half of 2025. The foreign currency effect amounted to -4.3%, primarily due to the weakness of the US dollar. As a result, Sika generated sales in Swiss francs of CHF 5.68 billion (previous year: CHF 5.83 billion). In a contracting overall market, Sika managed to achieve positive organic growth of 0.6%.

At 55.1%, the material margin was kept at a consistently high level (previous year: 55.1%). The EBITDA margin increased to 18.9% (previous year: 18.7%) against the backdrop of stable input costs, additional efficiency gains, and strong synergy momentum. The MBCC synergy targets were raised by CHF 20 million (new target 2025: CHF 160-180 million, new target 2026: CHF 200-220 million). Operating profit before depreciation and amortization (EBITDA) reached CHF 1,070.4 million in the first half of the year, down slightly compared to the previous year due to strong foreign currency effects. 

In line with the multi-year average, but lower than the exceptionally high previous year, Sika's operating free cash flow came in at CHF 181.9 million (previous year: CHF 401.3 million). The reduction is due to an increase in net working capital and unfavorable currency development as well as higher investments in future growth. The majority of operating free cash flow is generated in the second half of the year, and will be supported by Group-wide net working capital initiatives.

Investments driving further growth

Sika made targeted investments in the first half of 2025 to strengthen its global market position, acquiring four companies and commissioning seven new plants. With more than 400 production sites in 102 countries, the company has an extensive global manufacturing network, producing its cutting-edge technologies locally. Sika is therefore largely unaffected by trade tariffs and can reliably supply its customers, even in challenging market conditions. 

All regions outperformed their markets. Investments were made around the world – both in bolt-on acquisitions and in the expansion of production capacities to support future growth. One strategically important step was the minority stake in Giatec™ Scientific Inc., a Canada-based global leader in digital concrete technologies. Specializing in smart testing methods and AI-powered solutions, Giatec develops innovative sensors, software solutions, and data analytics tools to optimize concrete quality, durability, and sustainability – from production and transportation to placement at the construction site plus the later monitoring of the structures. 

Global market share gains and slight recovery in EMEA

The first half of the year showed a slight recovery in the construction markets of the largest region, EMEA (Europe, Middle East, Africa), with growth of 3.1% in local currencies in the second quarter (first quarter: 0.7%). For the whole reporting period, sales growth in local currencies amounted to 1.9% (previous year: 13.5%). Sika recorded significant double-digit sales increases in the Middle East and Africa. Construction markets are also showing the first signs of a recovery in Eastern Europe. In Germany, Sika’s strong sales organization is perfectly positioned to benefit from the government’s recently approved infrastructure program. This package provides for EUR 500 billion to be invested in the modernization and expansion of the national infrastructure over a ten-year period. 

Sales in the Americas region increased by 3.5% in local currencies (previous year: 15.1%). After a good start to the fiscal year, the mixed signals in US trade policy unsettled many market participants, which also somewhat slowed the market momentum. While this caused Sika’s growth in the USA and Mexico to weaken, the positive growth momentum of the previous year continued in Latin America. Investments in data centers and government-subsidized infrastructure and commercial construction projects supported the development of the US construction market. Thanks to Sika’s local presence – with nearly 100% of its products and solutions sold in the US also manufactured in-country – and its market leadership in the renovation segment, Sika succeeded in outperforming the overall market in this challenging environment.

Local currency sales in the Asia/Pacific region declined slightly by -1.7% in the first half of the year (previous year: 8.0%). This result is mainly attributable to the challenging, deflationary market environment in the Chinese construction sector, for which Sika is focusing on protecting its margins and driving efficiencies. Excluding the negative development in China, Sika would have achieved positive low-single-digit growth in the region. Market development for Sika was particularly dynamic in India and Southeast Asia as well as in the Automotive & Industry segment, where the company was able to further expand the share of its technologies in vehicles from both local and international manufacturers.

Outlook

Amid uncertain market development, arising in particular as a result of ongoing trade conflicts, Sika will continue to grow above the market and focus on margin improvement. For the 2025 business year, Sika expects a modest sales increase in local currencies. The company continues to expect an over-proportional increase in EBITDA and an EBITDA margin of between 19.5% and 19.8%.  

Sika is confirming its strategic medium-term targets for 2028 for sustainable, profitable growth.

Key figures first half of 2025

in CHF mn1/1/2024-
6/30/2024
1/1/2025-
6/30/2025
Change in %
Net sales 5,834.85,676.4-2.7
Gross result3,217.63,129.1-2.8
Operating profit before depreciation (EBITDA)1,092.91,070.4-2.1
Operating profit (EBIT)
822.2798.1-2.9
Profit after taxes
577.1554.4-3.9
Undiluted earnings per share (in CHF)3.593.45-3.9
Diluted earnings per share (in CHF)
3.593.45-3.9
Operating free cash flow
401.3181.9-54.7
    
Balance sheet total115,977.215,393.3 
Shareholders’ equity17,046.86,186.1 
Equity ratio in %1,244.140.2 
Return on capital employed (ROCE) in %313.413.5 

1 As of December 31, 2024/June 30, 2025.
2 Shareholders’ equity divided by balance sheet total.
3 Capital employed = current assets, PPE, intangible assets less cash and cash equivalents, current securities, current liabilities (excluding bank loans and bonds).

Net sales in the regions

in CHF mn 1/1/2024 - 6/30/2024 1/1/2025 - 6/30/2025 Change compared to prior year (+/- in %)
   in Swiss francsIn local currenciesCurrency impactAcquisition effect
By region      
EMEA2,565.32,527.7-1.51.9-3.40.5
Americas2,045.11,984.4-3.03.5-6.52.2
Asia/Pacific1,224.41,164.3-4.9-1.7-3.20.4
Net sales5,834.85,676.4-2.71.6-4.31.0
Products for construction industry4,949.64,821.7-2.61.9-4.51.2
Products for industrial manufacturing885.2854.7-3.40.3-3.70.0

Financial calendar

Results first nine months 2025Friday, October 24, 2025
Net sales 2025Tuesday, January 13, 2026
Media conference/analyst presentation on full-year results 2025Friday, February 20, 2026
58th Annual General Meeting Tuesday, March 24, 2026
Net sales first quarter 2026Tuesday, April 14, 2026
Half-year report 2026Tuesday, July 28, 2026

Frequently asked questions by investors for the management

What were Sika’s total sales in the first half of 2025?

Sika reported total sales of CHF 5,676.4 million for H1 2025, an increase of 1.6% in local currencies and -2.7% in Swiss francs compared to H1 2024. The weakened US dollar was responsible for the high negative foreign currency impact of -4.3%.

What was Sika’s EBITDA margin in H1 2025?

The EBITDA margin expanded to 18.9%, an increase of 20 basis points.

What was the net profit for Sika in H1 2025?

Net profit reached CHF 554.4 million, representing a -3.9% decrease compared to H1 2024, primarily due to high negative foreign currency impact of -4.3% due to the weakness of the US dollar.

What were the main contributors to Sika’s sales growth?

Sales growth was driven by Sika’s strong position in the project and infrastructure sector. The EMEA region showed a slight recovery in the construction markets, while the Middle East and Africa recorded double-digit growth.

Which regions showed the strongest sales growth in H1 2025?

The Americas region recorded the highest growth rates, with an increase of 3.5% in local currencies, driven mainly by the global expansion of the building structures related to artificial intelligence and digital infrastructure. The positive growth momentum of the previous year continued in Latin America.

What was Sika’s sales performance in the EMEA region during H1 2025?

In EMEA, sales grew by 1.9% in local currencies. Sika recorded significant double-digit sales increases in the Middle East and Africa. Construction markets are also showing the first signs of a recovery in Eastern Europe.

What was Sika’s sales performance in the Americas region during H1 2025?

Sales in the Americas region increased by 3.5% in local currencies. Growth was driven by infrastructure- and data center investment, and commercial construction projects.

What was Sika’s sales performance in the Asia/Pacific region during H1 2025?

The Asia/Pacific region recorded a slight sales decrease of -1.7% in local currencies. Without China’s current development, Sika would have achieved positive low-single-digit growth in the region.

What progress was made on the MBCC integration?

The MBCC integration is very successful and in the first half of 2025 Sika recorded a strong synergy momentum. The MBCC synergy targets were raised by CHF 20 million (new target 2025: CHF 160-180 million, new target 2026: CHF 200-220 million).

What acquisitions and new plants did Sika complete in H1 2025?

Sika continued to drive strategic investments with the acquisitions of Elmich in Singapore, Cromar in the UK, HPS in the US, and Gulf Additive Factory in Qatar. Sika also expanded global production capacity with seven new factories in Singapore, Xi’an and Suzhou (China), Quito (Ecuador), Ust-Kamenogorsk (Kazakhstan), Belo Horizonte (Brazil), and Agadir (Morocco).

What is Sika’s financial outlook for the full year 2025?

Sika will continue to grow above the market and focus on margin improvement. For the 2025 business year, Sika expects a modest sales increase in local currencies. The company continues to expect an over-proportional increase in EBITDA and an EBITDA margin of between 19.5% and 19.8%.  

Where can I find Sika’s full H1 2025 report and webcast?

The Half-Year Report 2025, investor presentation, and webcast replay are available at:

🔗 https://reports.sika.com/en/half-year-report-2025/

An interview with CEO Thomas Hasler discussing the half year results is available at:

🔗https://reports.sika.com/en/half-year-report-2025/interview-with-the-ceo

The investor presentation is available at:

🔗https://www.sika.com/en/investors/reports-publications/presentations.html

The webcast for the half-year results is available at:

🔗https://www.sika.com/en/investors/events/sika-live-webcast.html

Posted on: 07/28/2025