HANZA launches new strategy and raised financial targets

HANZA AB (publ) has fulfilled the strategy from 2018, “HANZA 2022”, during which the company has more than doubled its sales and increased profits fivefold. Now the strategy for the coming years, “HANZA 2025” is launched, including new financial targets with the aim of growing sales to over SEK 5 billion, and doubling its profits

“The fact that we are again setting aggressive growth targets is partly due to a good historical performance and partly to a successful business model that encompasses advisory services, product development and a wide range of manufacturing technologies. We also see a structural tailwind for our concept as the manufacturing landscape is increasingly changing towards regional manufacturing, backsourcing, i.e. manufacturing closer to the end customer,” says Erik Stenfors, CEO.”

The previous strategy, “HANZA 2022”, included a listing on Nasdaq Stockholm’s main list, the establishment of a new manufacturing cluster in Germany and a few carefully selected acquisitions. Despite unexpected world events such as the pandemic, the strategy has been completed and HANZA is now launching a strategy for the coming years, “HANZA 2025”.

Due to the strong market demand, as well as the performance benefits the Group’s cluster concept brings when scaled up, the Board has deemed it appropriate to expand and raise the Group’s financial targets as follows

    • Growth: Sales of at least SEK 5 billion by 2025.
      Previous: Average sales growth of at least 10% per year over a business cycle
    • Profitability: Operating margin (EBITA) of at least 8% by the end of 2025.
      Previous: Average operating margin (EBIT) of at least 6% over a business cycle
    • Capital structure: An equity ratio of at least 30%.
      Unchanged target
    • Debt: Net interest-bearing debt/EBITDA must not exceed 2.5.
      New target defined as net interest-bearing debt at the end of the period divided by
      EBITDA rolling 12 months
    • Dividend policy: The annual dividend shall be equal to 30% of the profit after tax, taking into account the financial position of the company.
      Unchanged policy

“HANZA has a long-term perspective and we are developing the Group methodically, step by step. This has given us high credibility with continuous growth and increased profitability. Now that we have reached our goal with HANZA 2022, we are setting our sights on the future with HANZA 2025, where we intend to grow the Group’s turnover significantly, to over SEK 5 billion with continued profitability growth.