Solid first quarter performance, double-digit growth outlook for 2021

January 1, 1

Solid sales and earnings performance with sales growing 6.0 percent and EBIT increasing 12 percent. Market conditions for the full year look strong with broad-based improvement leading to an estimated sales growth of 10-12 percent and an EBIT margin of around 12 percent.

ROCKWOOL Group has had a good start to 2021, with accelerated sales growth in the last part of the first quarter and a healthy growth in earnings. The positive sales development has been driven by increased construction activities, strong demand for non-combustible insulation products and good sales performance in the Systems segment. During the quarter, sales prices remained stable and growing pressure on gas, electricity and logistic costs were offset by good operational efficiency in the factories.

"Construction activity in most markets has recovered, and we expect double-digit top-line growth for 2021. Overall, we are satisfied with the solid sales and profitability growth we achieved in the first quarter. The top- and bottom-lines are above first quarter results from both 2020 and 2019. Sales grew well in North America, Russia, China, and most of western Europe. A clear focus on operational efficiency combined with a manageable impact of higher input costs contributed to the good profitability in both segments, with the Systems segment performing especially well".

Jens Birgersson



  • Sales in Q1 2021 reached 671 MEUR, a growth of 6.0 percent in local currencies compared to Q1 2020. With a negative currency translation impact of 2.7 percentage points, sales growth in reported figures totalled 3.3 percent.

  • EBITDA in Q1 2021 reached 139 MEUR, with a 20.7 percent EBITDA margin, up 1.5 percentage points from Q1 2020.

  • EBIT in Q1 2021 increased 12 percent to 90 MEUR, with a 13.3 percent EBIT margin, up 1.0 percentage point from Q1 2020.

  • Investments excluding acquisitions and grants reached 82 MEUR in the quarter, down 33 MEUR compared to last year.

  • Annualised return on invested capital reached 16.9 percent compared to 20.2 percent last year, a decrease due to an increase in factory investments.


Outlook 2021

  • Growth in net sales of 10-12 percent in local currencies.

  • EBIT margin around 12 percent.

  • Investment level around 370 MEUR excluding acquisitions.


See our Q1 results here, and follow the earnings call here.