STOCKHOLM, Sweden, Aug 26, 2021 – Sandvik is updating the revenue target for the business area segment Sandvik Manufacturing Solutions for 2025 to SEK 6 billion from SEK 4 billion previously. With the recent announced acquisitions (all subject to closing), of Cambrio, DWFritz Automation, and CNC Software, Sandvik Manufacturing Solutions will establish a platform that, combined with the organic growth of the current business is expected to exceed the earlier communicated revenue objectives. In conjunction with the new revenue target, Sandvik is also communicating an EBITA margin target for Sandvik Manufacturing Solutions of 20% by 2025.
The previous revenue target, announced on the Capital Markets Day in November 2020, was to grow revenues to SEK 4 billion from approximately SEK 800 million over the time period 2019-2025. In 2020, Sandvik Manufacturing Solutions had revenues of approximately SEK 800 million.
“I am very pleased that we have managed to accelerate the M&A activities in Sandvik Manufacturing Solutions which means that we can update our target less than a year after it was set. With this solid platform, we have a completely different outset in executing on the organic growth ambition in the quest of improving our customers’ productivity within the manufacturing industry which is becoming more digital and connected,” says Stefan Widing, President and CEO of Sandvik.
The business area segment Sandvik Manufacturing Solutions, which consists of the divisions Design and Planning Automation, Additive Manufacturing and Metrology was established on 1 October 2020, and is reported within the business area Sandvik Manufacturing and Machining Solutions.
Sandvik Group’s target of revenue growth of ≥ 5 percent through a business cycle organically and through acquisitions remains unchanged.
About Sandvik Group
Sandvik is a high-tech and global engineering group offering products and services that enhance customer productivity, profitability and sustainability. We hold world-leading positions in selected areas – tools and tooling systems for metal cutting; equipment and tools, service and technical solutions for the mining industry and rock excavation within the construction industry; products in advanced stainless steels and special alloys as well as products for industrial heating. In 2020 the Group had approximately 37,000 employees and revenues of about 86 billion SEK in more than 160 countries within continuing operations. For more information, visit https://www.home.sandvik/en.