The ANDRITZ goals

Company profile

ANDRITZ is a globally leading supplier of plants, equipment, and services for hydropower stations, the pulp and paper industry, the metalworking and steel industries, and for solid/liquid separation in the municipal and industrial sectors. The publicly listed technology Group is headquartered in Graz, Austria, and has a staff of approximately 24,500 employees. ANDRITZ operates over 250 sites worldwide.

Strategy

1. Extend position in Europe and North America, make use of opportunities in South America and Asia

All four ANDRITZ business areas serve markets with long-term and sustained growth potential. Within these markets, the Group concentrates on continuously growing segments such as supplying equipment for generating renewable energy from hydropower and producing tissue and packaging paper. In terms of global regions, this means that the ANDRITZ GROUP is extending its existing position in Europe and North America and making use of the growth and sales opportunities in the emerging markets of South America and Asia.

2. Global and local customer proximity

The ANDRITZ GROUP is globally present. Customers benefit from this network through the global ANDRITZ know-how on the one hand and the local proximity of ANDRITZ on the other hand. Based on this mixture of global and local customer proximity, the Group supports its customers in achieving their goals in terms of productivity, profitability, and sustainability. Due to its worldwide presence, the ANDRITZ GROUP profits from growth in the emerging economies which will certainly be the main growth regions for ANDRITZ in the next few years.

3. Technological and cost leadership

ANDRITZ is active in highly competitive markets. To secure its market position and take advantage of growth opportunities, the Group has to focus on both technology and cost leadership. To support organic growth, the ANDRITZ GROUP invests on average 3% of annual sales in research and development to be the preferred supplier in terms of technology and cost. The Group focuses on developing customized technologies that boost productivity in customers’ facilities, minimize operating costs, and maximize energy efficiency as well as environmental protection. In addition, ANDRITZ is constantly looking for opportunities to improve internal cost structures through operational and organizational measures. These include the regional and logistical optimization of own manufacturing capacities, bundling procurement, and cost discipline both in operating units as well as Group-wide functions.

Vision

The ANDRITZ GROUP has the goal of achieving market leadership in all of the markets it serves and of strengthening and extending its current top position on the market. At the same time, the Group aims to continue its long-term, profitable growth. ANDRITZ intends to achieve this goal by offering the best technologies available on the market and providing products and services that create sustained benefits for customers, for society, and for the environment.

Financial goal

For many years, the ANDRITZ GROUP has been pursuing the strategy of long-term profitable growth. Organic growth, complementary acquisitions, and a solid balance sheet structure are crucial cornerstones for achieving the Groupʼs financial goals. Since the year 2000, ANDRITZ has increased annual sales by 14% on average while also incrementally increasing profitability (EBITA margin). The medium-term goal for the next years is to achieve a sustainable EBITA margin of 7-8%.

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