Stock exchange releases

Tikkurila Financial Statement Release for January−December 2020: Tikkurila’s revenue increased by 3.2% and adjusted operating result by 37.5% from the previous year


Tikkurila Oyj
Financial Statement Release    
February 12, 2021 at 9:00 a.m. (CET+1)

Tikkurila Financial Statement Release for January−December 2020

Tikkurila’s revenue increased by 3.2% and adjusted operating result by 37.5% from the previous year

This is a summary of Tikkurila’s Financial Statement Release. The full report is attached to this stock exchange release and is available on Tikkurila’s website.

Full year 2020 highlights

  • Revenue increased by 3.2 percent to EUR 582.0 million (563.8). Comparable revenue increased by 7.3 percent, excluding currency effects, divestments and closures.
  • Adjusted operating result increased significantly by a total of 37.5 percent to EUR 63.8 (46.4) million and was 11.0 (8.2) percent of revenue.
  • Operating result (EBIT) increased by 39.1 percent to EUR 61.1 (43.9) million and was 10.5 (7.8) percent of revenue.
  • EPS increased by 29.6 percent to EUR 0.98 (0.75).
  • On December 18, 2020 PPG Industries Inc. and Tikkurila entered into a combination agreement, according to which PPG Industries Inc. commenced a voluntary recommended public cash tender offer for all issued and outstanding shares in Tikkurila on January 15, 2021. PPG increased their tender offer price on February 4, 2021 to EUR 34.00 per share (initially EUR 25.00, on Jan. 5, 2021 increased to EUR 27.75 per share).

OctoberDecember 2020 highlights

  • Revenue increased by 4.5 percent to EUR 112.8 (107.9) million. Comparable revenue increased by 12.7 percent, excluding currency effects, divestments and closures.
  • Adjusted operating result improved by 12.0 percent to EUR -6.7 (-7.6) million and was -5.9 (-7.1) percent of revenue. The fourth quarter is typically seasonally low in the paint industry.
  • Operating result (EBIT) was EUR -7.8 (-7.7) million, and -6.9 (-7.1) percent of revenue.
  • EPS was EUR -0.15 (-0.17).

Dividend proposal

  • Due to the ongoing tender offer process, the Board proposes that Tikkurila’s Annual General Meeting decides that no dividend be paid based on the decision of the Annual General Meeting from the financial year 2020. The Board would like to remind the shareholders that according to the terms of the tender offer, any eventual dividend paid would be reduced from the Offer price.

Guidance for 2021

  • Revenue is expected to remain at previous level excluding currency effect and adjusted operating result to remain on, or slightly below previous year’s level when excluding costs in connection with implementing the public tender offer. (2020: EUR 582 million and EUR 63.8 million).

Elisa Markula, CEO

"During the full year 2020, our revenue grew by 3.2 percent and adjusted operating result increased by 37.5 percent to EUR 63.8 million compared to the previous year. Furthermore, cash flow from operations was very strong, and ROCE improved to 24 percent. Tikkurila’s good performance has been driven both by the decisive execution of strategic actions and exceptionally high demand by consumers for home improvement activities during the pandemic.

Tikkurila experienced strong revenue growth particularly in Sweden and Finland, and revenue increased also in Poland. In Russia, excluding the impact of the weakening Ruble, our paint sales grew by 6 percent due to the growing sales of premium products. Additionally, in all our main markets, the sales mix continued to improve as the sales of premium brands increased especially in the DIY (Do-It-Yourself) business channels.

During the Covid-19 pandemic, we firstly faced a notable drop in sales in March-April due to the restrictions, and after that, a rapid consumer-led recovery from May onwards. As more than 80 percent of our revenues is coming from decorative paints, Tikkurila clearly benefited from the market trend, where people stayed at home and spent their excessive spare time by renovating their homes and other premises. On the other hand, as expected, the professional and industry businesses were negatively impacted by Covid-19 throughout the year, but eventually the decline in both businesses remained only slightly below the previous year’s level.

This exceptional year also ended exceptionally. In December, PPG Industries Inc. and Tikkurila entered into a combination agreement, according to which PPG commenced a voluntary recommended public cash tender offer for all shares in Tikkurila. Tikkurila has made a successful turnaround and improved its performance significantly during the last three years thanks to our clear strategic action plan and personnel highly committed to targets. Furthermore, we have increased sales of our premium quality brands, improved our operational and commercial excellence and focused on the efficiency of all operations. Tikkurila is a leader for decorative paints in Russia, Sweden, Finland and the Baltics. I see great potential in Tikkurila, and I consider the tender offer as an evidence of the good progress we have made.

I am very pleased with and proud of our committed personnel on how we have succeeded during these exceptional times. I want to thank all our employees for the hard work they have done for our customers. Likewise, I want to thank our partners, customers, and shareholders for their continued support."


Key figures

EUR million

1-12/2020 1-12/2019 Change % 10-12/2020 10-12/2019 Change %
Revenue  582.0 563.8 +3.2% 112.8 107.9 +4.5%
     Excl. FX, divestments, and closures +41.4 +7.3% +13.7 +12.7%
Operating result (EBIT) 61.1 43.9 +39.1% -7.8 -7.7 -2.2%
result (EBIT) margin, %
10.5% 7.8% +2.7%-p -6.9% -7.1% +0.2%-p
Adjusted operating result 63.8 46.4 +37.5% -6.7 -7.6 +12.0%
Adjusted operating result margin, %  11.0% 8.2% +2.7%-p -5.9% -7.1% +1.1%-p
Profit before taxes 54.9 44.2 +24.2% -8.1 -8.1 +0.1%
Net result for the period 43.1 33.2 +29.6% -6.8 -7.4 +7.6%
Earnings per share (EPS), EUR  0.98 0.75 +29.6% -0.15 -0.17 +7.6%
Net interest-bearing liabilities (at period-end)  12.1 78.4 -84.5%      
Total equity (at period-end)  181.4 171.9 +5.5%      
Total assets (at period-end) 441.6 437.1 +1.0%      
Equity ratio, % 41.1% 39.3%        
Gearing 6.7% 45.6%        
ROCE, %, rolling 24.0% 15.4%        
Cash flow after capital expenditure 92.0 52.7 +74.4%      

Conference call for analysts and media

CEO Elisa Markula and CFO Markus Melkko will present Tikkurila’s full year results for 2020 in English for the media, institutional investors and analysts in a conference call today February 12, 2021 at 2.00 pm (CET +1).

Join the audioconference via the following link:

Dial-in details (PIN: 92295182#)

  • FI: +358 9 8171 0310  

  • SE: +46 8 5664 2651
  • UK: +44 33 3300 0804
  • US: +1 631 9131 422

The presentation material will be available prior to the beginning of the conference at

For further information, please contact:

Elisa Markula, CEO
+358 50 596 0978

Markus Melkko, CFO
+358 40 531 1135


Attachment: Tikkurila Financial Statement Release 

About us

Sustainable Nordicness
Tikkurila is a leading Nordic paint company with expertise that spans decades. We develop premium products and services that provide our customers with quality that will stand the test of time and weather. We operate in seven countries and our 2,600 dedicated professionals share the joy of building a vivid future through surfaces that make a difference. In 2020, our revenue totaled EUR 582 million. The company is listed on Nasdaq Helsinki. Nordic quality from start to finish since 1862.


Tikkurila Oyj
P.O. Box 53, Heidehofintie 2 FI-01300 Vantaa Finland
+358 20 191 2000