Financial targets
"The impact of the coronavirus pandemic on the market development highlights the importance of our strategic goals – growing the emerging market share, developing the technology service business and investing in digitalization. We will thus continue to focus on product development, marketing and digitalization." (Interim report Q3 2020)
Raute's strategic goals are to improve our profitability and maintain it at a good level, to have the ability to adjust to variations in economic cycles, and controlled growth. Our financial goal is to grow faster than the markets, remain financially sound and offer our investors competitive returns.
As the actualization of our goals is strongly tied to the development of the global economy as well as the timing of our customers' individual investments, we do not disclose time-bound target values for our financial goals.
Strategic goal | Performance in 2019 | |
Net sales | Grow faster than the market- The growth is focused on technology services, emerging markets and new technologies | Net sales declined by 16.4% |
Profitability | Improve profitability- Maintain a good profitability level throughout the economic cycles Capability to adapt to fluctuations in market demand | Operating profit 5.6% of net sales in 2019, 8.2% in 2018 and 7.5% in 2017 respectively |
Balance sheet | Maintain strong balance sheet- Maintain operational flexibility and capacity to make needed investments | Equity ratio 62.9% Gearing -28.1% Cash and cash equivalents EUR 22.4 million |
Dividend | Competitive returns to investors | EUR 1.45 dividend 5.8% effective dividend return |