H.B. Fuller Co. recently reported financial results for its fourth quarter and fiscal year ended November 27, 2021. The fourth quarter’s net revenue reached $897 million, a 15.4% increase compared with the fourth quarter of 2020. Foreign currency exchange rates favorably impacted revenue by 0.5%. Organic revenue, which excludes impacts from foreign currency translation, increased 14.9% vs. last year, with double-digit organic growth in all three global business units (GBUs). Organic revenue increased by more than 20% when compared with the non-COVID-impacted fourth quarter of 2019.
“Our business momentum continued in the fourth quarter with 15% organic revenue growth and improved margin performance,” said Jim Owens, H.B. Fuller’s president and CEO. “We successfully executed on our 2021 priorities of volume growth, pricing to value and greater productivity. We drove double-digit organic revenue growth relative to both 2019 and 2020, and we further improved our net debt to EBITDA ratio.”
The company’s net revenue for fiscal 2021 was $3.3 billion, an increase of 17.5% compared with fiscal 2020 and 13.1% compared with pre-COVID results in fiscal 2019. Foreign currency exchange rates favorably impacted full-year revenue by 2.3% compared with fiscal 2020. Full-year organic revenue increased by 15.2% year-over-year.
“H.B. Fuller’s full year results exceeded the goals we set at the beginning of the year despite extraordinary business challenges, demonstrating the resiliency of our global team,” Owens said. “Throughout the year, we took decisive actions to deliver strong results against complex supply chain constraints and unprecedented inflationary pressures. We implemented $450M of annualized price adjustments, gained share through innovation, drove operating efficiencies, and maintained unwavering focus on supporting our customers’ success. In 2022, we are focused on enhancing our portfolio of specialized adhesives, capitalizing on the tremendous growth opportunities for advanced and sustainable solutions, and continuing to demonstrate strong cash generation and earnings power to deliver double digit organic revenue and adjusted EBITDA growth and 20% adjusted EPS growth for shareholders.”
Based on current economic views and assumptions for global commercial activity, H.B. Fuller is projecting that its organic sales for fiscal 2022 will increase between 10-15% compared to last year. Foreign currency exchange rates are anticipated to have an unfavorable impact of 2-3% on full-year net revenue growth vs. fiscal 2021.
Additional details are available at www.hbfuller.com.