SSAB presents road towards fossil-free steel and new strategic targets
SSAB presents the road towards fossil-free steel together with new strategic targets at its Capital Markets Day 2019 taking place in Oxelösund, Sweden. High-strength steel and premium products will account for 50% of SSAB’s total shipments in 2022. In 2026, SSAB will be the first steel company in the world to offer fossil-free steel.
“The coming years will be marked by our long-term investments in fossil-free steel, which will revolutionize the steel industry. It will strengthen SSAB’s long-term competitiveness through new fossil-free premium steels and result in a major leap forward in our environmental performance. Mid-term, we will drive growth in special products while developing our own channels to market. This will support our profitability and reduce sensitivity to fluctuations in the business cycle,” says Martin Lindqvist, SSAB’s President & CEO.
SSAB has set new strategic targets for 2022:
- SSAB Special Steels will ship 1.6 million tonnes of steel (2018: 1.3 million tonnes).
- SSAB Europe will ship 800 thousand tonnes of advanced high-strength steel products (AHSS) to the automotive industry (2018: 562 thousand tonnes) and 900 thousand tonnes of premium steels (2018: 718 thousand tonnes). This means that the share of premium products will reach 46% in 2022 (2018: 36%)
- SSAB Americas aims to increase the share premium products to 39% during 2022 (2018: 29%).
- SSAB Services will increase sales to SEK 4.5 billion through a combination of organic growth and acquisitions (2018: SEK 2.4 billion).
In addition to these strategic targets, Tibnor aims to reach an EBITDA margin of more than 5% and a ROCE of more than 15% in 2022. Ruukki Construction aims to reach an EBITDA margin of more than 10% in 2022.
“We have generated and will continue to generate good cash flow. The balance sheet has been strengthened significantly in recent years. This allows us to continue to invest with consideration in removing bottlenecks in the production of high-strength steel whilst making the transition to fossil-free steelmaking”, says Martin Lindqvist.
You can follow CMD presentations as a webcast via this link: Webcast
9.00-9.40 Martin Lindqvist, President & CEO
9.40-10.10 Martin Pei, EVP & Chief Technical Officer
10.10-10.40 Johnny Sjöström, EVP & Head of SSAB Special Steels
11.00-11.20 Gregoire Parenty, Head of SSAB Services
11.20-11.50 Olavi Huhtala, EVP & Head of SSAB Europe
11.50-12.10 Martin Lindqvist, President & CEO (Tibnor)
12.10-12.30 Sami Eronen, CEO Ruukki Construction
13.30-13.50 Chuck Schmitt, EVP & Head of SSAB Americas
13.50-14.10 Håkan Folin, CFO
14.10-14.20 Summary and Q&A
For further information, please contact:
Mia Widell, Press Relations Manager at SSAB
email@example.com, tel +46765272501