Half-year report January-June 2013

Second quarter of 2013 – Another strong quarter

  · Sales amounted to 2,060 MSEK (2,121).
  · Operating profit rose 9 per cent to 312 MSEK (287).
  · Operating margin improved to 15.1 per cent (13.5).
  · Profit after tax increased 18 per cent to 228 MSEK (194).
  · Earnings per share increased 18 per cent to 6.62 SEK (5.63).
  · Operating cash flow amounted to 385 MSEK (351).

First half of 2013 – Continued strong earnings development, our best results to
date

  · Sales amounted to 4,074 MSEK (4,263).
  · Operating profit rose 9 per cent to 610 MSEK (559).
  · Operating margin improved to 15.0 per cent (13.1).
  · Profit after tax increased 18 per cent to 444 MSEK (375).
  · Earnings per share increased 18 per cent to 12.90 SEK (10.89).
  · Operating cash flow amounted to 625 MSEK (591).
  · The US rubber compounding company, Robbins, which was acquired in November
2012, has been successfully integrated.

President’s comments

"The second quarter of 2013 was also a strong quarter for the HEXPOL Group, the
best to date in terms of earnings. Our earnings per share rose significantly to
6.62 SEK (5.63), up 18 per cent. The operating margin improved further to 15.1
per cent (13.5) and our operating profit rose 9 per cent to 312 MSEK (287).
Volumes improved but sales were negatively impacted by currency effects and that
we once again noted a price reduction for our principal raw materials. Sales in
the second quarter of 2013 were higher than during the first quarter. Operating
cash flow remained strong and amounted to 385 MSEK (351).

The first half of 2013 was a period characterised by a strong earnings
development. Our earnings per share rose 18 per cent to 12.90 SEK (10.89).
During the first half of 2013, the US rubber compounding company Robbins was
successfully integrated with a better earnings development than planned. Our
balance sheet is strong and, with a net debt/equity multiple of 0.3 (0.4), we
are well equipped for continued expansion."

Georg Brunstam, President and CEO
For more information, please contact:

Georg Brunstam, President and CEO
Tel: 46 708 55 12 51

Karin Gunnarsson, Chief Financial Officer/Investor Relations Manager
Tel: 46 705 55 47 32




HEXPOL is a world-leading polymers group with strong global positions in
advanced rubber compounds (Compounding), gaskets for plate heat exchangers
(Gasket), and plastic and rubber materials for truck and castor wheel
applications (Wheels). Customers are primarily OEM manufacturers of plate heat
exchangers and trucks, global systems suppliers to the automotive and
engineering industries, the energy sector and the medical technology industry.
The Group is organised in two business areas, HEXPOL Compounding and HEXPOL
Engineered Products. The HEXPOL Group’s sales in 2012 amounted to 8,007 MSEK.
The HEXPOL Group has approximately 3,400 employees in ten countries. Further
information is available at www.hexpol.com.

This report may contain forward-looking statements. When used in this report,
words such as "anticipate", "believe", "estimate", "expect", "intend", "plan"
and "project" are intended to identify forward-looking statements. They may
involve risks and uncertainties, including product demand, market acceptance,
the effect of economic conditions, the impact of competitive products and
pricing, foreign currency exchange rates and other risks. These forward-looking
statements reflect the views of HEXPOL’s management as of the date made with
respect to future events and are subject to risks and uncertainties. All of
these forward-looking statements are based on estimates and assumptions made by
HEXPOL’s management and are believed to be reasonable, though are inherently
uncertain and difficult to predict. Actual results or experience could differ
materially from the forward-looking statements. HEXPOL disclaims any intention
or obligation to update these forward-looking statements.

The report consists of information that HEXPOL AB (publ) is obliged to disclose
in accordance with the Swedish Securities Market Act and/or the Financial
Trading Instruments Act. The information was submitted to the media for
publication on 18 July 2013 at 12:00 p.m. CET. This report has been prepared
both in Swedish and English. In case of any divergence in the content of the two
versions, the Swedish version shall have precedence.