Sika’s construction-chemicals network: results, factories and acquisitions

Sika, the construction-chemicals group based in Switzerland, entered 2025 with annual sales of CHF 11,763.1 million. Revenue for 2024 increased 4.7% in Swiss francs and 7.4% in local currencies, while organic growth was 1.1%. Earnings before interest, tax, depreciation and amortisation reached CHF 2,269.5 million, an 11.0% increase. The EBITDA margin rose from 18.2% to 19.3%.

Net profit reached CHF 1,247.6 million, up 17.4%. The 2024 earnings exceeded the analyst consensus cited by Reuters: CHF 2.25 billion for EBITDA and CHF 1.21 billion for net profit. In February 2025, Sika forecast local-currency sales growth of 3–6% for the coming year and an EBITDA margin of 19.5–19.8%. Operating free cash flow for 2024 was CHF 1,402.9 million, equivalent to 11.9% of sales, compared with CHF 1,441.5 million in 2023.

The MBCC acquisition and integration

Sika completed its MBCC acquisition on May 2, 2023, after receiving the necessary regulatory approvals. MBCC, headquartered in Mannheim, Germany, supplied construction systems and admixture systems. The business retained by Sika generated CHF 2.1 billion in sales in 2022 and brought approximately 6,200 employees, operations in more than 60 countries and 95 production facilities. Its products broadened Sika's offering across four of the group's five core technologies and seven of its eight target markets.

The transaction also involved disposals. To satisfy regulatory requirements, Sika sold MBCC's chemical-admixture assets in the United Kingdom, the United States, Canada, Europe, Australia and New Zealand to Cinven. At closing, Sika expected annual synergies of CHF 160–180 million by 2026. Integration began immediately after completion, with the combined product portfolio and distribution networks forming part of the company's plans for the acquired business.

Sales and margins during 2025

For the first half of 2025, Sika recorded sales of CHF 5,676.4 million, compared with CHF 5,834.8 million a year earlier. Sales increased 1.6% in local currencies, comprising 0.6% organic growth and a 1.0% acquisition contribution. Currency movements had a negative 4.3% effect, predominantly associated with the weaker US dollar. EBITDA amounted to CHF 1,070.4 million, against CHF 1,092.9 million in the corresponding period of 2024. Sika raised its MBCC synergy target for 2025 to CHF 160–180 million.

The half-year EBITDA margin nevertheless increased from 18.7% to 18.9%, while the material margin remained at 55.1%. Operating free cash flow was CHF 181.9 million, compared with CHF 401.3 million. Sika associated the reduction with higher working capital, currency movements and investments. Its revised MBCC synergy target for 2026 was CHF 200–220 million. By mid-year, the group had acquired four businesses and commissioned seven plants, within a network exceeding 400 production sites in 102 countries. Regional sales grew 1.9% in local currencies in EMEA and 3.5% in the Americas, while Asia/Pacific declined 1.7%. Sika associated the Asian decline principally with the Chinese construction market.

Sika

Nine-month sales reached CHF 8,578.1 million in 2025, a 3.8% decline in Swiss francs but a 1.1% increase in local currencies. The foreign-exchange effect was negative 4.9%. EBITDA was CHF 1,644.7 million, with a margin of 19.2%, compared with 19.1% a year earlier. Sika had completed the MBCC integration by its October results announcement. Its construction business in China recorded a double-digit sales decline.

Sika announced structural adjustments, including a planned reduction of up to 1,500 employees and anticipated one-off costs of CHF 80–100 million in 2025. These measures formed part of Fast Forward, an investment and efficiency program. Additional investment was projected at CHF 120–150 million, with annual savings of CHF 150–200 million expected once fully effective in 2028. The company revised its 2025 EBITDA-margin expectation to approximately 19% after one-off costs, while retaining a 19.5–19.8% expectation before those costs.

The full-year outcome and subsequent targets

The full-year 2025 results, released on February 20, 2026, put sales at CHF 11,201.3 million. Revenue declined 4.8% in Swiss francs and grew 0.6% in local currencies. Organic growth was negative 0.4%, acquisitions contributed 1.0%, and currency movements had a negative 5.4% impact. EBITDA was CHF 2,064.7 million. Its reported margin was 18.4%, or 19.2% after adjustment for Fast Forward one-off costs.

Those costs totalled CHF 108 million, including CHF 86 million recognised in EBITDA. Net profit was CHF 1,045.3 million and operating free cash flow reached CHF 1,356.1 million, equivalent to 12.1% of sales. Sika expected approximately CHF 80 million in Fast Forward savings during 2026. Its initial 2026 outlook called for local-currency sales growth of 1–4% and an EBITDA margin of 19.5–20.0%, against anticipated subdued construction markets. The 2025 material margin was 54.9%, compared with 54.5% a year earlier.

Mortars and waterproofing in Asian markets

Sika's manufacturing additions cover different product families rather than a single standardised plant format. In January 2025, it announced openings in Singapore and Xi'an, in northwestern China. The Singapore facility specialises in mortars and uses highly automated production. It serves the city-state's metropolitan market of more than six million residents. Sika associated demand for construction solutions with the country's high urban population density. Xi'an manufactures a broader selection, including tile adhesives, cementitious waterproofing products and flooring systems, supplying the northwestern part of China.

The Xi'an opening followed another new Chinese facility serving the country's northeastern region. With the additional plant, Sika's Chinese network comprised 35 manufacturing facilities at the time of the announcement. The company expected the Singapore and Xi'an investments to improve its response to local demand and shorten logistics distances. It also associated the sites with energy-efficient processes and environmentally compatible materials. These manufacturing investments accompanied its regional strategy of producing construction chemicals closer to their customers.

Site extensions in China and Brazil

A further group of manufacturing investments announced in June 2025 combined extensions with a new plant. At Suzhou, China, Sika expanded an existing site for high-viscosity polyurethane technologies. These products serve bonding and sealing applications in automotive manufacturing, construction and other industrial sectors. The upgraded facility supplies the surrounding metropolitan region, whose population exceeds 12 million, and forms part of Sika's established Chinese production network.

Near Belo Horizonte, Brazil, Sika extended its site to incorporate concrete-admixture production. The facility is in Minas Gerais, a major concrete-producing state with a substantial mining industry, and serves ready-mix concrete, cement and mining customers. Near Agadir, Morocco, the company opened a mortar and admixtures plant for the country's southern region and neighbouring markets, including Mauritania. The three investments therefore comprised two existing-site extensions and one new manufacturing location, with product ranges adapted to their respective regional customers.

Regional construction-material portfolios

Five manufacturing locations announced in 2026

In February 2026, Sika announced five further production sites. Haines City, Florida, added concrete-admixture manufacturing in the United States. Puerto Tirol, in Chaco, became the group's eighth production facility in Argentina, producing dry mortars for the northeast of the country. At Cali, Colombia, the product range includes mortars, tile adhesives, interior-wall finishing materials, acrylic coatings and concrete admixtures. Sika designed the Cali site to serve domestic demand and export customers.

Narayanganj, Bangladesh, manufactures concrete admixtures and mortars, with the site also supporting the company's recently introduced tile adhesive. In Mwanza, Tanzania, Sika established production for mortars, admixtures, specialised grouts used in mining and construction, and grinding aids for cement plants. The Mwanza facility supplies local customers and exports to Burundi, Rwanda and the Democratic Republic of Congo. Across the five locations, the announced portfolios span concrete production, surface finishing, masonry-related materials and products serving mining and cement customers.

Mortar capacity for the northeastern United States

Sika added another mortar production facility in Bridgeton, New Jersey, in May 2026. The highly automated plant serves the northeastern United States, including major metropolitan and infrastructure markets around New York, Boston, Philadelphia and Washington, D.C. Its manufacturing portfolio includes repair and levelling mortars, technical mortars, tile adhesives and shotcrete solutions. The products address new infrastructure work as well as commercial-building and infrastructure refurbishment, rather than only new residential construction.

The Bridgeton facility also supplies more than one sales channel. Some products go directly to building and infrastructure projects, while others reach customers through builders' merchants. Sika positioned the plant as an expansion of its regional manufacturing capacity and expected it to support faster responses to northeastern customers. Its product range combines materials used in repairing existing concrete with products for finishing and constructing new structures, within the same local manufacturing operation.

Acquisitions in concrete refurbishment

Manufacturing investments sit alongside acquisitions of specialist product businesses. In April 2024, Sika acquired Kwik Bond Polymers, LLC, a producer of polymer systems for refurbishing concrete infrastructure. Known as KBP, the business had concentrated on bridge-deck refurbishment for more than three decades. Its portfolio added polymer technologies for bridge decks and other concrete-infrastructure applications to Sika's existing range of refurbishment systems. The acquired operations included both production and distribution infrastructure in the United States.

KBP's headquarters and production operations are near San Francisco, California, with additional manufacturing and warehousing near Pittsburgh, Pennsylvania. These two locations serve customers from different parts of the country. Sika expected its own supply-chain capabilities and wider footprint to complement that arrangement. The company also positioned the acquisition within its infrastructure-refurbishment strategy, offering existing customers a broader selection of polymer-based systems. Sika presented the polymer portfolio as a complement to its existing systems for extending the service life of concrete infrastructure.

A first manufacturing site in the Dominican Republic

In August 2024, Sika acquired Vinaldom, S.A.S., a family-owned construction-chemicals business in the Dominican Republic. Vinaldom's range includes concrete admixtures, fibres, adhesives and sealants. The transaction added an established customer base and a local sales team to Sika's activities in the country. It also brought a manufacturing facility into a market where Sika had not previously operated its own plant, extending the group's Caribbean production footprint.

The acquired factory became Sika's sixth in the Caribbean. Its products combined concrete-construction materials with bonding and sealing solutions, broadening the locally available portfolio. Sika expected the addition to improve access to Dominican customers and provide opportunities to sell complementary products across the wider region. The company also anticipated faster deliveries through local manufacturing. At acquisition, Sika forecast compound annual growth of 5% in the Dominican economy through 2028, citing opportunities from planned energy, transport and hotel investments.

Flooring distribution and building-finishing materials

Sika's March 2025 acquisition of HPS North America, Inc. concerned a distribution business it already partly owned. HPS supplies Schönox-branded building-finishing products made by Sika in Germany to the US market. By purchasing the remaining stake, Sika moved from minority participation to full ownership. The product range includes self-levelling and waterproofing solutions, used mainly in flooring applications and sold through an established network of distribution partners.

HPS had expanded both sales and profitability before the transaction. Sika planned to integrate the business into its US organisation, combining the distributor's customer relationships and market reach with the group's existing building-finishing activities. It expected opportunities to sell complementary products and improve logistics and production efficiency. The acquisition therefore extended Sika's control over the route to market for an existing product family, alongside its investments in manufacturing capacity and its purchases of businesses with their own production facilities.

Construction chemicals near Doha

In June 2025, Sika acquired Gulf Additive Factory LLC in Qatar. The business, abbreviated GAF, manufactures construction chemicals at a site close to Doha. Its range includes concrete admixtures, mortars, flooring products and waterproofing materials, together with exterior-insulation and finish systems. These facade products added locally manufactured options to Sika's existing portfolio. The acquisition also brought technical expertise and an established position in Qatar's construction-chemicals market.

Sika identified the GAF manufacturing site as a platform for further expansion in Qatar and neighbouring countries. It expected the combined portfolio to address demand for more energy-efficient buildings, including the facade-system segment. The transaction also created the possibility of consolidating Sika's operations at one site. That consolidation remained an opportunity described at acquisition, rather than a completed measure with disclosed savings. Sika anticipated compound annual growth exceeding 4% in Qatar's construction market through 2028, associated with investment in energy, utilities, transportation, healthcare, tourism and industrial manufacturing.

A mortar platform for the Nordic region

Sika announced its acquisition of Marlon Tørmørtel A/S in Denmark in October 2025. Marlon is a family-owned mortar manufacturer with a highly automated production facility and two warehouses. Its customers include contractors, concrete-element manufacturers and specialist applicators, while builders' merchants provide another route to market. The company also uses packaging made from recycled materials and a tool that generates product-specific Environmental Product Declarations, documenting environmental information for individual products.

Sika expected the acquisition to expand its Nordic mortar business and strengthen relationships with distributors and contractors. Its plans included increasing local production, offering additional products and making use of opportunities to consolidate warehouses and improve capacity utilisation. The combined businesses also brought together sales teams, customer bases and complementary product ranges. Marlon's addition placed another specialist mortar operation within a broader construction-chemicals portfolio that includes: