Glaston’s Board of Directors has approved adjusted net sales and comparable return on capital employed (ROCE) targets and an extended target period for the strategic targets.
Since the previous strategy update in August 2021, there have been significant changes in the global economy and Glaston’s addressable markets started to soften in 2023. Due to these changes, the time for reaching the strategic targets has been modified to reflect the current expectations. Glaston has adjusted the time frame for achieving the strategic targets from 2025 to the medium-term (3−5 years) except for the emissions reduction targets with a time frame up to 2032.
Glaston currently estimates the annual addressable equipment market growth for architectural glass processing to gradually recover from -6 percent in 2023 back to approximately 5 percent during 2025−2026. The addressable equipment market for mobility, display and solar glass processing is expected to grow more than 5 percent each year.
Glaston’s medium-term (3-5 years) strategic targets
- Annual average net sales growth (CAGR) exceeding the addressable equipment markets growth
- Comparable operating margin (EBITA) of 10 percent
- Comparable return on capital employed (ROCE) of above 16 percent
- Customer satisfaction score (Net Promoter Score, NPS) above 40. In 2023: 62
- Group-wide zero lost time accidents target, progress measured by lost time accidents per million working hours (LTIFR). In 2023: 6.3
- Employee Engagement target above 75 (out of 100). In 2023: 70
- GHG emissions reduction targets:
- Reduce absolute scope 1 and 2 GHG emissions by 50 percent by 2032, compared to the 2022 base year (1,491 tonnes of CO2e). In 2023: 1,238 tonnes of CO2e
- Reduce the scope 3 GHG emission intensity by 58 percent per square meter of sold processing capacity by 2032. Base year 2022: 0.0043 tonnes of CO2/m2. Scope 3 data for 2023 will be disclosed in the 2023 Annual Review
The full release can be read here.