Insider information
Outokumpu announces new strategy and financial targets with focus on strengthening the balance sheet
Outokumpu announces today its new long-term strategy, financial targets for 2022 and key measures to competitively position itself for the future by strengthening its balance sheet in the shorter term and by de-risking the company for strong returns in the long run.
Says CEO
Strategic initiatives focus on de-risking the company for strong returns through deleveraging the balance sheet and improving efficiency
The new strategy includes three phases with each phase requiring strong and diligent execution and focus, creating the foundation for the next phase. Deleveraging the balance sheet will continue throughout all three phases.
In the first phase of the strategy, during 2021-2022, Outokumpu will prioritize de-risking the company through margin improvement, cash flow management and deleveraging the balance sheet. The new financial targets,
To reach these targets, the strategy is centered on strict cost and capital discipline, strong customer engagement and a lean, delayered organization. As part of the strategy, Outokumpu will increase raw material efficiency and operational cost savings while limiting annual capital expenditure to
In Outokumpu's core businesses stainless steel and ferrochrome, the strategic focus will be on increased market penetration, enhancing the product mix, growing in selected segments and leveraging the company's leadership in specialty grades.
Efficient strategy execution is ensured through a new steering model with concrete initiatives and plans for each business area to deliver impact. The new leadership team appointed as of
The following two phases of the strategy will focus on targeted investments in productivity, sustainability and value-adding growth, and the targets will be communicated at a later stage.
Says CEO
Webcast and conference call today at
Outokumpu will arrange a webcast and conference call for analysts and investors today at
Please follow the live event at https://outokumpu.videosync.fi/2020-q3-results.
To participate via a conference call, please dial in 10−15 minutes before the beginning of the event:
Confirmation code: 58057600#
The stock exchange release and the presentation material will be available before the event at www.outokumpu.com/en/investors (https://eur03.safelinks.protection.outlook.com/?url=https%3A%2F%2Fpublish.ne.cision.com%2Fl%2Fhegelxnfe%2Fwww.outokumpu.com%2Finvestors&data=02%7C01%7Cjenni.schumacher%40outokumpu.com%7C2e2b9829ef9b49a3bdcb08d83a9735eb%7C973326dfc9da42d3b7d68941eaadcec4%7C0%7C1%7C637323768408286174&sdata=uJkDfDnbc%2BnL7Cp1iq%2FD%2FQCkjWjfgv80qScBPBEuy94%3D&reserved=0).
A recording of the event will be available at www.outokumpu.com/webcasts at the latest on
For more information:
Investors: Linda Häkkilä, Manager, Investor Relations, tel. +358 40 071 9669
Media: Corporate Communications, tel. +358 9 421 3840
Outokumpu is the global leader in stainless steel. The foundation of our business is our ability to tailor stainless steel into any form and for almost any purpose. Stainless steel is sustainable, durable and designed to last forever. Our customers use it to create civilization's basic structures and its most famous landmarks as well as products for households and various industries. Outokumpu employs 10,000 professionals in more than 30 countries, with headquarters in
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