STÜHLINGEN (dpa-AFX) - The insulating materials and paint manufacturer Sto has turned over more in 2022. However, earnings development was dampened by significantly increased procurement costs, as the company announced in Stühlingen on Thursday. Thanks to rising sales prices, 2022 revenues increased by 12.4 percent to just under 1.8 billion euros. A good first half of the year was followed by an increasingly difficult second half. Shortages of materials and skilled labor, high costs and rising interest rates reportedly had a negative impact on the construction industry, with the result that an increasing number of projects had to be postponed. Gross profit margins came under pressure due to high procurement prices. The shares were recently trading around one percent higher.

In 2022, this fell from 52.6 percent to 50.7 percent. Earnings before interest and taxes (Ebit) increased less than sales, rising by 4.2 percent to 129.7 million euros. After taxes, the profit was 89.1 million euros, almost six percent less than in the previous year. Preferred shares are now to receive a basic dividend of 0.31 euros each and a bonus of 4.69 euros each.

For the current year, management is forecasting sales of 1.91 billion euros and an operating profit of between 118 million and 143 million euros. In the first quarter, sales fell short of expectations due to poor weather conditions with corresponding precipitation and low temperatures and, according to Sto, were slightly below the same period of the previous year./nas/mis