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Press releases

2017-10-25

Bufab Group: New financial targets for Bufab

Pressrelease

Värnamo, October 25, 2017

New financial targets for Bufab

Bufab has shown strong sales growth in recent years through both increased market shares and acquisitions. The growth is not a coincidence but a direct result of the growth strategy that Bufab introduced in 2012. Bufab has now established an ambition to become a leader in its industry by 2020. As part of this ambition, the Management and the Board has decided on new financial targets as from 2018. The new targets imply increased growth and more flexibility for value-creating acquisitions.

Financial targets

Growth: 10%
Average annual revenue growth of 10 percent,
through organic growth as well as acquisitions

Profitability: 12%
Operating margin (EBITA) of 12 percent over a business cycle

Dividend policy: 30-60%
Dividend of 30-60 percent of annual net profit

For further information, please contact:

Jörgen Rosengren, President and CEO, Bufab Group, telephone: +46 370 69 69 01

About Bufab
Bufab AB (publ), Corporate Registration Number 556685-6240, is a trading company that offers its customers a full-service solution as Supply Chain Partner for sourcing, quality control and logistics for C-Parts (screws, nuts, etc.). Bufab's Global Parts ProductivityTM customer offering aims to improve productivity in the customers' value chain for C-Parts.

Bufab was founded in 1977 in Småland and is an international company with operations in 25 countries. The head office is located in Värnamo, Sweden, and Bufab has about 1,000 employees. Bufab's net sales for the past 12 months amounted to SEK 3.0 billion and the operating margin was 9.5 percent. The Bufab share is listed on Nasdaq Stockholm, under the ticker "BUFAB". Please visit www.bufab.com for more information.

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