Trelleborg’s updated financial targets
Sales Growth
Total annual sales growth over a business cycle is to amount to >8 percent.
The previous target was 5–8 percent.
Outcome 2022: 17%
Commentary on outcome in 2022
Demand for the Group’s products and solutions was favorable during the year. Net sales increased 27 percent compared to 2021 and amounted to SEK 30,095 M (23,789). Organic sales increased 14 percent (15). Structural changes increased sales by 3 percent (1) and currency movements by 10 percent (–5) compared with the preceding year.
Total sales growth, organic as well as structural, averaged 7.2 percent over the past five years.
EBITA margin
Over a business cycle, the EBITA margin, excluding items affecting comparability, is to amount to >20 percent.
The previous target was an EBIT margin of >16 percent.
Outcome 2022: 16.8%
Commentary on outcome:
The EBITA margin was 17.7 percent (17.2). The margin improved as a result of strict cost control and good price discipline across the Group.
The EBIT margin averaged 16.4 percent over the past five years.
Return on capital employed
Over a business cycle, return on capital employed (ROCE), excluding items affecting comparability, is to amount to >15 percent.
The previous target was >14 percent.
Outcome 2022: 15.9%
Commentary on outcome in 2022
The return on capital employed (ROCE), excluding items affecting comparability, was 15.9 percent (15.1). ROCE was positively impacted by the sharp increase in operating profit, which was partly offset by an increase in working capital resulting from the higher level of activity.
ROCE averaged 14.2 percent over the past five years.