
FLSmidth introduces new pure play strategies for Mining and Cement and introduces new long-term financial targets at its Capital Markets Day 2023
COMPANY ANNOUNCEMENT NO. 2-2023
18 January 2023, Copenhagen, Denmark
Today FLSmidth is hosting a Capital Markets Day, where the company is introducing its new pure play strategies for Mining and Cement as well as its new long-term financial targets for the FY2026.
Our business and our business environment have changed in recent years. While our business performance has gradually improved, we have potential for more. As a result, we kickstarted a transformation journey in 2022 with a sharpened strategic focus on technology, Products & Services and sustainability to maximise our opportunities in Mining and Cement. In addition, we are simplifying our operating model to reduce risks, improve efficiencies, ensure stronger execution and improve profitability and quality of earnings.
“We must prioritise our efforts on our core business, reduce risk and execute with excellence. We have already started to fundamentally transform our business to ensure stronger strategy execution and to achieve our long-term ambitions to the benefit of our stakeholders”, comments Mikko Keto, CEO at FLSmidth.
Mining strategy (CORE’26)
Our new Mining strategy provides a clear path to build on our core strengths to become an even stronger player in the Mining market and to improve our profitability in Mining. CORE’26 is rooted on our purpose of ‘mining for a sustainable world’ with a mission of ‘delivering solutions for tomorrow’s mine’. To deliver on this, CORE’26 is focused on four areas: Sustainability, Service, Technology and Performance.
- Sustainability: Building a better future for our employees, society and the planet
- Service: Global partner for life-cycle performance and sustainability
- Technology: The complete provider for process and product technology
- Performance: Accelerating profitability through core businesses, simplification and balanced risk
Cement strategy (GREEN’26)
We are on a journey to become the preferred service provider and we have a clear commitment to drive the green transition in the cement industry. Towards 2026, our new Cement strategy focuses on three key areas:
- Operating model transition: Improve profitability and ensure we are fit-for-purpose
- Service business model transition: Accelerate service growth and advance green offerings
- Green transition: Fulfil our commitment to drive the green transition in the cement industry and leverage the potential from this
New long-term financial targets
The previous mid- and long-term financial targets were withdrawn in connection with the release of the Annual report 2020, due to the uncertainty around the pandemic and other structural changes. Following the acquisition of TK Mining, our pure play approach and the establishment of a Non-Core Activities segment, we now have improved visibility into each of our different businesses.
As a consequence, we are introducing new long-term financial targets for the FY2026 with a core focus on quality of earnings and reduced earnings volatility.
For the FY2026, we expect to deliver:
- 13-15% EBITA margin in Mining
- ~8% EBITA margin in Cement
Further, our capital allocation is focused on having a strong balance sheet while allowing for growth investments and value-adding M&A.
Our capital structure targets for leverage and dividend pay-out ratio remain unchanged with:
- Leverage (NIBD/EBITDA < 2)
- Dividend pay-out ratio (30-50% of net profit)
Excess cash may be distributed either via extraordinary dividends or share buyback programmes. An equity ratio of >30% is no longer a capital structure target.
All sessions of the Capital Markets Day 2023 are webcasted live at www.flsmidth.com/en-gb/company/investors/capital-market-days. Replay of the presentations will be made available on our website after the event and the corresponding presentation material will be made available throughout the day.
Contacts:
Investor Relations
Jannick Lindegaard Denholt, +45 21 69 66 57, jli@flsmidth.com
Therese Möllevinge, +45 41 37 16 38, tmo@flsmidth.com
Mikkel Johansen, +45 23 30 29 50, mjoh@flsmidth.com
Media Relations
Rasmus Windfeld, +45 40 44 60 60, rwin@flsmidth.com
About FLSmidth
FLSmidth provides sustainable productivity to the global mining and cement industries. We deliver market-leading technology, products and service solutions that enable our customers to improve performance, drive down costs and reduce environmental impact. MissionZero is our sustainability ambition towards zero emissions in mining and cement by 2030. FLSmidth works within fully validated Science-Based Targets, our commitment to keep global warming below 1.5°C and to becoming carbon neutral in our own operations by 2030. www.flsmidth.com
Attachment
To view this piece of content from www.globenewswire.com, please give your consent at the top of this page.To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.
About GlobeNewswire by notified
GlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.
Subscribe to releases from GlobeNewswire by notified
Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from GlobeNewswire by notified
Golar LNG Limited - Announcement of filing of Form 20-F Annual Report1.4.2023 00:36:57 CEST | Press release
Golar LNG Limited announces that it has filed its Form 20-F for the year ended December 31, 2022 with the Securities and Exchange Commission in the U.S. Form 20-F can be downloaded from the link below, is available on our website (www.golarlng.com) and shareholders may receive a hard copy free of charge upon request. March 31, 2023 The Board of Directors Hamilton, Bermuda Enquiries: Golar Management Limited: + 44 207 063 7900 Stuart Buchanan This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act Attachment GLNG 2022 Annual Report Form 20-F
Tenaris Files 2022 Annual Report / Annual Report on Form 20-F, and 2022 Sustainability Report, and Convenes Annual General Meeting of Shareholders31.3.2023 23:47:41 CEST | Press release
LUXEMBOURG, March 31, 2023 (GLOBE NEWSWIRE) -- Tenaris S.A. (NYSE and Mexico: TS and EXM Italy: TEN) filed today its 2022 Annual Report / Annual Report on Form 20-F, and its 2022 Sustainability Report with the Luxembourg Stock Exchange, with the U.S. Securities and Exchange Commission (SEC), and with the other securities regulators of the markets where its securities are listed. These reports (which contain the financial and non-financial information required by applicable Luxembourg law for the year ended December 31, 2022, including Tenaris’s consolidated financial statements as of and for the year ended December 31, 2022, Tenaris’s annual accounts as at December 31, 2022, and their related external auditors’ reports and consolidated management report and certifications) may be downloaded from the Luxembourg Stock Exchange’s website at www.bourse.lu/regulated-information-oam, from the SEC’s website at www.sec.gov, and are available on Tenaris’s website at ir.tenaris.com. Holders of T
BALTIC HORIZON FUND CONSOLIDATED AUDITED RESULTS FOR 202231.3.2023 23:10:00 CEST | Press release
Management Board of Northern Horizon Capital AS has approved the audited financial results of Baltic Horizon Fund (the Fund) for the year 2022. The financial results remained unchanged compared to the preliminary disclosure on 15 February 2023. Net result and net rental income In 2022, the Group recorded a net profit of EUR 3.9 million against EUR 1.4 million for 2021. The net result was mainly driven by strong recovery of the Galerija Centrs operating performance as fewer COVID-19 rent reliefs were granted to tenants in 2022 and increased rent indexation. The net result in 2021 was significantly impacted by the one-off negative valuation result of EUR 7.1 million. In 2022, the valuation resulted in a net fair value loss of EUR 2.9 million (-1.8% of portfolio value). The positive impact of the increase in net rental income was partly offset by non-recovered property costs. Earnings per unit for 2022 were EUR 0.03 (2021: EUR 0.07). In 2022, the Group earned net rental income of EUR 17.4
Magna Posts 2022 Annual Report31.3.2023 22:43:18 CEST | Press release
AURORA, Ontario, March 31, 2023 (GLOBE NEWSWIRE) -- Magna International Inc. (TSX: MG; NYSE: MGA) today announced that its 2022 Annual Report, including Management’s Discussion and Analysis and Audited Consolidated Financial Statements, Annual Information Form (AIF) and Form 40-F, are now available on the company’s website, www.magna.com. Magna has also filed these documents with the Canadian Securities Administrators (accessible through its website at www.sedar.com) and the U.S. Securities and Exchange Commission (accessible through its website at www.sec.gov/edgar). Our 2023 Annual Meeting of Shareholders will be held on Thursday, May 11, 2023, commencing at 10:00 a.m. (Eastern Daylight Time). The meeting is being conducted as a virtual-only meeting accessible at www.virtualshareholdermeeting.com/MGA2023. Magna will provide a hard copy of its audited financial statements as contained in our 2022 Annual Report to Shareholders, free of charge, on request through our website or in writi
SFL - Sale of suexmax and chemical tankers31.3.2023 22:37:14 CEST | Press release
SFL Corporation Ltd. (NYSE: SFL) (“SFL” or the "Company") announces that it has agreed to sell the two 2008-built chemical tankers SFL Weser and SFL Elbe to an unrelated third party. The sales proceeds to SFL are approximately $19.5 million for the debt free vessels. Both vessels have been employed in the spot market the last two years and delivery of the vessels to the buyer is expected to take place in the second quarter. A book impairment of approximately $7 million is expected to be recorded in the first quarter relating to the sales. The 2009-built suezmax tanker Glorycrown, which was announced sold in February, has been delivered to its new owner in March. The final sales price of approximately $43.5 million is higher than previously disclosed, and a book gain of approximately $9 million is expected to be recorded in the first quarter relating to the sale. Divesting of older vessels is part of SFL’s strategy to continuously renew and diversify its fleet, and the net cash proceeds