Uponor : reports steady progress in Europe, strong growth in North America continues

4/29/2016

'Although general trends in the building and construction markets in Uponor's key geographies, Europe and North America, remained much as they had been in several previous quarters, there was some optimism in the air. The economy in the U.S., Uponor's single largest national market, continued to perform well in the first quarter and some positive signs and stabilisation were also reported in Europe, although they were not necessarily yet visible in the post-cyclical construction industry,' says Uponor's President and CEO, Jyri Luomakoski.

He also commented development in each segment:

'Building Solutions - Europe reports modest top-line growth and positive profitability development in the challenging European business landscape, while it is simultaneously focussing on the extensive transformation programme. The programme is progressing according to plan in most geographies, with key parts of the programme expected to be completed during the year.'

'Another successful quarter is behind us in Building Solutions - North America. In the last few quarters, we have successfully continued our penetration of the commercial space, added to our manufacturing capacity and strengthened customer loyalty, all of which have helped us to strengthen our position as a preferred partner in all regions.'

'In Uponor Infra, we have made positive progress with the consolidation programme, especially in cost savings, but the results are not yet visible in reported performance. We continue to face challenges on the volume side due to persistently flat and highly competitive markets, although in Finland, where the market has been in recession for 4 years, we are finally gaining some traction in key applications.'

Uponor's consolidated net sales reached €246.9 million, up 4.1% in the reported figures. In organic terms, there was a growth of 2.6%. Uponor's consolidated operating profit for continuing operations in the first quarter of 2016 came to €11.9 million, representing a change of 5.0% year-over-year.

The comprehensive interim results bulletin is available on the company's investor website.