Mid-term targets 2027
We expect revenue growth from an annual level of EUR 2.1 billion today to EUR 3.0-3.5 billion in 2027. The main drivers for the projected margin expansion are volume growth, value-based pricing, operational leverage, strict cost management, and improvement in business mix towards higher margin and recurring revenue.
Targets 2027
Financial
EBIT margin: 11-15%
Free cash flow: 6-9%*
Return on capital employed: >15%
Net promotor score: >50**
People
Women in senior management: 25-30%
Voluntary turnover rate: <8%
Employee net promotor score: >30
Planet
Revenue from renewables: EUR 1 billion
Reduction CO2 emissions intensity of owned vessels vs. 2020: 25%
*Cash flow from operating activities after investing activities, as percentage of revenue, before leases
**Based on ~1,200 responses
Capital allocation
To achieve our strategic priorities, we will continue to invest in a gradual shift of our asset base towards asset lighter and low carbon solutions, while at the same time ensuring capacity to cater for future demand. This results in capital expenditure of an average of EUR 200 - 250 million per year till 2027. This comprises EUR 100 - 125 million to sustain the business (mainly maintenance) and EUR 100 - 150 million discretionary capex to grow with the market, transform capabilities, optimise business performance and drive carbon reduction. All discretionary investments are subject to strict return requirements, enabling us to invest in growing the current business as well as invest in the future, driving value creation for stakeholders.
In order to maintain our strong balance sheet through the cycle, we target a net leverage of below 1.5x (H1 2023: 0.7x). We intend to pay annual dividend with a pay-out policy of 25-45% of net result. For full year 2023, we intend to resume dividends with a pay-out EUR 0.40 per share subject to shareholder approval.
Good governance
We’re committed to integrity, transparency, accountability, and proper supervision.