Kemira Oyj : Kemira's strategy sharpened in four key areas and new financial
targets for 2016 are published
Stock exchange release
April 23, 2013 at 2.30 pm (CET+1)
Today, Kemira has presented its sharpened strategy "From redesign to
expansion" in conjunction with new financial targets for 2016.
By the end of 2020, Kemira aims to become a leader in the industry and
technology in chosen target markets. Kemira's strategy has been sharpened in
four key areas: business, growth, geographical focus and innovation.
Business focus: Kemira continues to provide expertise and tailored
combinations of chemicals for water-intensive industries. We focus on pulp &
paper, oil & gas, mining and water treatment to improve our customers' water,
energy and raw material efficiency.
Growth: Paper and Oil & Mining segments are targeting profitable,
above-the-market revenue growth through differentiated product lines (e.g.
polymers, sizing and other process chemicals). Municipal & Industrial segment
will focus on profitability improvement and together with ChemSolutions, on
maximizing cash flow generation. Kemira increases the share of capital
expenditure used for differentiated product lines in order to support the
targeted growth. With commodity products (e.g. coagulants, bleaching chemicals
and formic acid), the focus is on maximizing profitability and cash flow.
Geographical focus: Mature markets continue to be important for all segments,
whereas the focus in the emerging markets is on selective expansion. In the
emerging markets, China and Indonesia are the key markets for the paper
wet-end chemistry. In line with this, the segment management of Paper will
relocate to Hong Kong as of September 1, 2013. Brazil and Uruguay will remain
important markets for the bleaching chemicals used in pulp industry. Oil &
Mining is targeting expansion in selected countries in South America as well
as in the Middle East and Africa.
Innovation: R&D is a critical enabler for organic growth in Kemira and
provides differentiation capabilities in water quality and quantity markets.
Kemira's R&D spending will be increased for the process improvement
innovations in paper, oil & gas and mining industries, as well as in the
related product lines (polymers, sizing and other process chemicals).
Continuous efficiency improvement will remain the key enabler for the
successful strategy implementation.
Financial targets for 2016 are EUR 2.6 - 2.7 billion in revenue with an EBITDA
margin of 15% and a gearing less than 60%.
For more information, please contact
Tero Huovinen, Director, Investor Relations
Phone +358 10 862 1980
Kemira is a global chemicals company serving customers in water-intensive
industries. We provide expertise and chemicals that improve our customers'
water, energy and raw material efficiency. Our focus is on pulp & paper, oil &
gas, mining and water treatment. In 2012, Kemira had annual revenue of EUR 2.2
billion and around 4,900 employees. Kemira shares are listed on the NASDAQ OMX
Link to the release (pdf)
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Source: Kemira Oyj via Thomson Reuters ONE
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