Plc Uutechnic Group Oyj: UTG MIXING GROUP CONFIRMS ITS STRATEGY FOR YEARS 2020-2022 AND FINANCIAL TARGETS
PLC UUTECHNIC GROUP OYJ INSIDE INFORMATION February 25, 2020 at 8:30 am
UTG MIXING GROUP CONFIRMS ITS STRATEGY FOR YEARS 2020-2022 AND FINANCIAL TARGETS
The Board of Directors of Plc Uutechnic Oyj has approved the Group’s strategy for 2020-2022 and financial targets.
UTG Mixing Group’s strategy is to improve profitability as well as profitable growth, both organically and inorganically, by focusing on mixing technology of liquid-based processes.
Our vision: Good is not enough. We want to be the best, so we are constantly trying to evolve.
Our brand promise is: Partnership built to last- and perform.
The basic idea is several companies one group and one culture. We provide competitive mixing solutions focusing on customers’ needs to minimize life-cycle costs. We always serve the customer in the best possible way by bringing our global capabilities locally close to the customer. Our reputation is measured by our latest quality of work.
We seek profitable organic growth from four main lines, of which:
the first is to improve the profitability of existing plants by reducing material costs, increasing efficiency and minimizing fixed costs.
The second main line is to increase production capacity without significant investment and recruitment of office staff. We will also increase capacity by optimizing the locations where different products are manufactured and, if necessary, by adjusting production capacity between units. In addition, we optimize our own manufacturing and subcontracting.
The third main line is to increase efficiency through synergies by streamlining and digitizing processes, systems and products. In addition, we pay special attention to developing and harmonizing corporate culture.
The fourth main line is to increase sales by expanding and developing the sales network and marketing. We are targeting to the growth sectors of the global economy suitable for us such as the industrial food production in developing countries, the fertilizer production in the wake of the food industry and the growing metallurgical industry in the production of battery materials. Other interesting megatrends influencing the growth of agitator investments are biofuels in renewable energy production and in the growing circular economy biorefineries and the chemical treatment, recycling and refining of metals.
In addition, we seek profitable inorganic growth through mergers and acquisitions.
In year 2022, our revenue target is EUR 25 million and the EBIT target is 15%. The figures do not take into account possible inorganic growth. The targets are based on a normal world market situation.
The net gearing ratio should be less than 60%. We may temporarily deviate from this restriction, for example due to a corporate acquisition.
The aim is to distribute a dividend of 30-50% of the Group’s net profit, starting from 2019 financial statements.
The distribution of dividends takes into account the Group’s earnings and financial position, investments required for growth and other factors deemed essential by the Board of Directors.
In Uusikaupunki February 25, 2020
PLC UUTECHNIC GROUP OYJ
Board of Directors
Further information: Jouko Peräaho, CEO, +358 50 074 0808
UTG Mixing Group is a global technology group that provides competitive mixing solutions with a customer-oriented approach, minimizing life cycle costs. “Partnership built to last – and perform” is our brand promise. We always serve the customer in the best possible way by bringing our global capabilities locally close to the customer.
Our main customer sectors are the chemical, food, metallurgical and fertilizer industries, as well as environmental technology, water treatment and pharmaceuticals.
The parent company of UTG Mixing Group is Plc Uutechnic Group Oyj, whose shares are listed on the Nasdaq Helsinki. The business is carried out in the subsidiaries of the Group, Uutechnic Oy and Stelzer Rührtechnik International GmbH.