Bufab Group: Bufab raises financial targets
Värnamo, March 17, 2021
Bufab's Board of Directors has today decided on new financial targets for the company's continued positive development. The new targets for the period until 2025 are:
- Profitable growth
Average annual increase of net sales by 10 percent and of earnings per share by 15 percent, through both organic growth and acquisitions
Achieve an annual operating margin (EBITA) of 12 percent latest by 2023
Dividend of 30-60 percent of annual net profit
- Financial stability
Net debt in relation to operating profit before depreciation and amortization (ND/EBITDA) shall normally be in the range of 2-3x
The new financial targets are based both on Bufab's strong development in recent years as well as on Bufab's new strategy for Sustainable Leadership. The latter will be presented in more detail at Bufab's Capital Markets Day on March 18, 2021.
For more information, please contact:
Jörgen Rosengren, President and CEO, tel. +46 370 69 69 00
Marcus Söderberg, CFO, tel. +46 370 69 69 66
This information is such that Bufab AB (publ) is obliged to disclose in accordance with the EU’s Market Abuse Regulation and the Swedish Securities Market Act. The information was submitted for publication by the aforementioned contacts on March 17, 2021 at 18:30 CET.
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 28 countries. The head office is located in Värnamo, Sweden, and Bufab has about 1,300 employees. Bufab’s net sales for 2020 amounted to SEK 4.8 billion and the operating margin was 10.1 percent. The Bufab share is listed on Nasdaq Stockholm, under the ticker “BUFAB”. Please visit www.bufab.com for more information.