Financial Targets

  • Revenue growth target 6-10 %

    The Group’s target is to have an average annual revenue growth of 6-10%.

  • EBITA margin target >18 %

    The Group’s target is to reach an adjusted operating EBITA margin exceeding 18%, within 2-3 years’ time.

  • Net Debt/EBITDA target <2.5 x

    The company will maintain an effective capital structure with a net debt below 2.5x EBITDA over a cycle. The capital structure will be flexible and allow for strategic initiatives.

The Board of Directors of Alimak Group has decided to set new financial and sustainability targets, as the company is already meeting and exceeding the financial targets set out two years ago.

In October 2020 the New Heights programme was launched, and after successfully completing the first two steps – establishing the base and securing margin improvements – Alimak Group entered into 2022 with focus on the third phase: profitable growth.

The positive results in 2022 and the first quarter of 2023 show the strength in the strategic direction set out in the New Heights programme. The acquisition of Tractel, consolidated as of 21 November 2022, has also contributed to an even stronger, broader and more profitable and resilient industrial company.

New financial targets:

Revenue growth target: 6-10%

The Group’s target is to have an average annual revenue growth of 6-10%.
Previous target: average annual revenue growth of 5-7%.

Adjusted EBITA margin target: >18%, within 2-3 years’ time

The Group’s target is to reach an adjusted operating EBITA margin exceeding 18%, within 2-3 years’ time.
Previous target: operating EBITA margin of 14-16%.

Net Debt/EBITDA target: <2.5x

The company will maintain an effective capital structure with a net debt below 2.5x EBITDA over a cycle. The capital structure will be flexible and allow for strategic initiatives.
Previous target: the company will maintain an effective capital structure with a net debt of around 2.0x EBITDA over a cycle.

Dividend policy:

The Group’s dividend policy of paying a dividend of 40-60% of the net profit to its shareholders remains unchanged.

New sustainability targets:

  • 30% CO2 reduction to 2025 (Scope 1, 2, 3, normalized based on turn-over, reduction compared to 2019), and moving towards Science Based Targets
  • >40 Employee NPS
  • <2 LTIFR, Injury rate per million working hours
  • >80% ESG assessment of direct material suppliers