Sika AG

Strong trading performance despite challenged markets (top & bottom line): - Local currency growth: +4.8% over the first 9 months (accelerating vs the prior 6-month pace of +6% start point → i.e., momentum improving). - Revenue: CHF 8.7bn sales in the first 9 months (CHF 8.71bn reported; up from CHF 8.58bn YoY). - Profitability: EBITDA margin 19.2% (+1.9% vs prior year); material margin 55.4% (+40 bps YoY) driven by pricing and procurement/efficiency (plus pass-through of some cost inflation). - Net profit: CHF 888m, +1.9% YoY; diluted EPS CHF 5.52 (up from CHF 5.42).

Growth drivers by region (EMEA & Americas strong; China remains the main drag): - EMEA: +8.3% local currency, with both acquisitions and strong organic growth; Middle East notable double-digit growth, benefiting from major infrastructure projects and reliability/supply chain continuity. - Americas: +4.1% local currency; strong Q3 acceleration >6%. - Asia Pacific / China: reported -2.3% contribution (still pressured by China residential construction decline—strong double-digit decline and not yet stabilized). Management stresses profitability is protected (business described as healthy and double-digit profitable), but the market is still weak in one of the 3 sectors.

What management says explains margin resilience (pricing, logistics pass-through, Fast Forward & M&A synergies): - Organic growth: +3.5% in 9 months; acquisitions +1.3% (incl. ~1 month of Akkim contribution in Q3/Q4 timing). - Pricing discipline: proactive, country-by-country and often monthly / 6–8 weeks / 3-month cycles to follow input-cost changes; explicitly includes transportation/diesel/driver shortage dynamics. - Fast Forward structural savings: one-off CHF 108m initiated earlier; expected CHF 80–110m savings range. Run-rate at end of 9M is close to CHF 8m/month. - M&A synergies: MBCC-related execution cited as +20 bps EBITDA contribution in first 9 months; trailing-12 impact >CHF 200m (within 2026 expectations).