Netum Group Plc          Company announcement           29 May 2024 at 9:00 a.m. EEST

Netum updates its strategy and medium-term financial targets for 2025–2027

The Board of Directors of Netum Group Plc has approved the company’s updated strategy and medium-term financial targets for the strategy period 2025–2027.

The updated strategy supports Netum’s goal of profitable growth and leads the company towards its vision of being the most trusted partner and preferred work community in the industry in responsible and secure digital transformation. We aim for profitable growth in the IT service and product market, both organically and through acquisitions.

Our growth strategy:

• we seek further growth from public service efficiency improvement projects and corporate customers
• we expand and develop our service offering to both existing and new customers, especially those in the social welfare and healthcare, security and industrial sectors
• we invest in utilising AI in our services
• we expand our business to the Nordic countries

In developing our service offering, we will be investing heavily in the use of artificial intelligence in the services we offer our customers. We recognise the potential of AI to create significant added value for our customers, improve our operational efficiency and support sustainable growth. The deeper integration of AI into our business operations is therefore a central part of our strategy and will be an essential part of our culture in the future.

Our sustainable operating methods are also reflected in our strategy. The main themes of our sustainability programme cover services, the work community, the environment and business operations. We want to act as a pioneer in sustainable digitalisation and offer new kinds of solutions that benefit us all: the environment, our customers, our personnel, our business and the surrounding society.

During the strategy period, we will start building the Group’s international business. Our goal is to expand our business to the Nordic countries.

Cornerstones of our strategy:

• maintaining a high level of customer confidence and satisfaction
• a top work community that attracts competent experts
• systematic development of competence and effective recruitment
• a flat organisational structure
• a people-centric management approach that supports continuous learning and self-direction
• active cooperation with our partner network and developing partnerships
• strengthening our brand and renewing our brand strategy
• a uniform, goal-oriented management model

Netum’s medium-term financial targets:

Our goal is to grow organically by 30% in the strategy period 2025–2027. In addition, we will strengthen our expertise and service offering through acquisitions.

Our goal is to achieve profitable growth and an annual operating profit of at least 12% excluding goodwill amortisation (EBITA).

Our dividend policy takes into account the investment and financing needs required to achieve our financial objectives. The company intends to distribute approximately 40% of its annual operating profit before goodwill amortisation (EBITA) if its financial standing allows it.

For additional information, please contact:
Netum Group Plc
Matti Mujunen, CEO
+358 40 047 6401
matti.mujunen@netum.fi

Certified advisor:
Evli Plc
+358 40 579 6210

Netum Group in brief

Netum is a strongly and profitably growing IT service partner that builds a functional and secure digital society. We help our customers develop their digital business by designing and implementing sustainable digital solutions tailored to their needs – wisely and responsibly. Netum employs approximately 400 people, and the company's revenue in 2023 was EUR 37.1 million. Netum Group Plc's shares are listed on Nasdaq Helsinki First North (NETUM). www.netum.fi