- The dividend should be equivalent to minimum 40 percent of the company’s net profit, taking into account the company’s financial position, acquisition opportunities and long-term financing needs.
- The net debt to EBITDA ratio should not exceed 3.0, measured over a 12 month average.
The updated financial target for net debt to EBITDA is mainly an adjustment to reflect the effect of IFRS 16.
Financial targets for growth and profitability remain unchanged:
- The annual sales growth rate should be 5-8 percent, as a combination of organic and acquired growth.
- The operating margin (EBIT) should average 10 percent over a business cycle, excluding one-off items and restructuring costs.
Ola Ringdahl, President and CEO:
Lindab has during a period strengthened the financial position and reduced the net debt. The stronger balance sheet allows for an increased level of investments, active evaluation of acquisition opportunities and an increased dividend target in the dividend policy.