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Husqvarna Group Capital Markets Day: Transforming to profitable growth
Prnewswireยท 2025-12-10 07:16
Core Insights - Husqvarna Group is hosting its Capital Markets Day to outline strategic priorities and innovations aimed at long-term growth until 2030 [1] - CEO Glen Instone emphasizes the commitment to profitable growth through strategic portfolio management and operational excellence [2] Financial Targets - The company reiterates its dividend policy of 40% of net income [3] - New long-term financial targets include an average annual organic sales growth of 3-5% over a business cycle, an operating margin of over 10%, and a Return on Capital Employed (ROCE) of 15% [9] Sustainability Goals - Husqvarna Group aims to reduce CO2 emissions by 60% from the 2015 baseline by 2030 and plans for circular offerings to account for 25% of net sales [9] Cost-Reduction Initiatives - A transformational cost-out program is being implemented from 2026 to 2030, expected to yield annual run-rate savings of SEK 4 billion by the end of the period [4][5] - The program will incur SEK 1.5 billion in non-recurring costs, with SEK 1 billion expected to impact cash flows [5] Operational Efficiency - The cost-out program will focus on optimizing sourcing, geographical manufacturing footprint, and transitioning to a more asset-light business model [4] - The phasing of savings and costs will be communicated as the main activities are implemented [6]