Broad based growth, with strong sales and earnings in an upbeat market

Report on the first half year of 2021
for ROCKWOOL International A/S
Release no. 19 – 2021
to Nasdaq Copenhagen

18 August 2021

Broad based growth, with strong sales and earnings in an upbeat market

Highlights

• H1 2021 sales reached 1 449 MEUR, an increase of 20 percent in local currencies and 18 percent in reported figures.
  
  

• Sales in Q2 2021 reached 778 MEUR, a growth of 35 percent in local currencies compared to Q2 2020. Strong market rebound with high volume growth.
  
  

• Compared to 2019, sales increased 11 percent in H1 2021 and 15 percent in Q2 2021 in local currencies.
  
  

• EBITDA in H1 2021 reached 299 MEUR, with a 20.7 percent EBITDA margin, up 2.1 percentage points from H1 2020.

• EBITDA in Q2 2021 reached 160 MEUR, with a 20.6 percent EBITDA margin, up 2.8 percentage points from Q2 2020.
  

• EBIT in H1 2021 increased 46 percent to 201 MEUR, with a 13.9 percent EBIT margin, up 2.7 percentage points from H1 2020.
  

• EBIT in Q2 2021 increased 92 percent to 111 MEUR, with a 14.3 percent EBIT margin, up 4.3 percentage point from Q2 2020.
  

• Investments excluding acquisitions reached 150 MEUR in the first half of 2021, down 45 MEUR compared to last year.
  

• Acquisition of manufacturing facility in Japan completed in July; limited financial impact in 2021.
  

• Annualised return on invested capital reached 19.3 percent compared to 17.7 percent last year, an increase due to higher earnings.
  

• In H1 2021, progress on four of original six SDG-related sustainability goals was achieved; Status toward the six original plus the two science-based targets will be announced in 2021 annual and sustainability reports.
  
  

Outlook 2021

• Growth in net sales around 17 percent in local currencies.
  
  

• EBIT margin above 13 percent.
  
  

• Investment level around 370 MEUR excluding acquisitions.
  
  

CEO comment
Commenting on the Group’s performance, CEO Jens Birgersson says:

“Robust economic activity combined with productivity gains helped us achieve second quarter and first half sales and earnings above pre-pandemic levels. We secured double-digit growth across all major business areas and geographic regions, with both Insulation and Systems segments contributing substantially to the positive overall results. As we expect the high demand in key markets to continue, we have upgraded our sales and earnings forecast. We foresee input cost pressures to persist in the coming months as well as some industry risks involving material and manpower constraints that could impact building activity”.

Further information:
Kim Junge Andersen, Chief Financial Officer
ROCKWOOL International A/S
+45 46 56 03 00

Conference call:
ROCKWOOL Group will host an earnings call on 19 August 2021 at 11.00 CEST. To attend the conference call dial +45 35445577, +44 3333000804 or +1 6319131422. Passcode 38925658#. The call will be transmitted live on www.rockwool.com/group/

Attachment

• SE-2021-19_EN