As a result of the new strategy, Gränges updates its financial targets. The new targets are:

• Profitability: 15 per cent
  Return on capital employed above 15 per cent.
• Profit growth: 10 per cent
  Average yearly operating profit growth above 10 per cent.
• Leverage: 1-2 times EBITDA
  Financial net debt normally between 1-2 times adjusted EBITDA.
• Dividend: 30-50%
  Dividend between 30–50 per cent of profit for the year.

The sustainable growth plan focuses on factors that Gränges can influence, while recognizing the volatility and unpredictability of our environment. Gränges will execute the plan in three steps. The first priority will be to restore profitability and to normalize leverage. In this phase, Gränges also aims at a step change improvement of the safety performance. In parallel, Gränges will launch an ambitious program 2022-2025 to build a world-leading aluminum technology company in terms of people and sustainability, safety and profitability, innovation and growth. Finally, Gränges will start to invest in sustainable growth, with a focus on the period 2024-2030.

As announced separately on 20 June, Gränges has also committed to climate neutrality by 2040, and has joined the Science-Based Targets initiative.

– Gränges has a long history of profitable growth and an impressive sustainability record. In the last three years, the financial development has slowed. At the same time, we see interesting growth opportunities emerge due to regionalization, electrification and sustainability. The time is right for a new plan. With our focus on sustainable growth, we intend to make a real difference, and to build a stronger, better-performing and more sustainable company for the future, says Jörgen Rosengren, President and CEO, Gränges.

The full plan will be presented at the Capital Markets Day. The presentation will be made available for download at www.granges.com/investors.