FINANCIAL TARGETS

FINANCIAL TARGETS 2019–2021

Growing faster than the market: Above 5% CAGR with comparable currencies

Healthy profitability: EBIT at the level of 22%

Good returns for our shareholders: Dividend above 50% of net earnings

SUMMARY OF KEY INITIATIVES

Our seven ambitions and key initiatives

The Nordic countries

Leading product portfolio both in winter and summer segments
Superior service level
Vianor, strong own distribution channel

Russia

Winning market share in A+B segments
Further development of direct distribution in selected regions
Effective support of customers’ sell-out
Development of direct and indirect online sales channels

Central Europe

Market-relevant products
Building selective distribution in focus markets
Brand building through Vianor partners, NADs and focused marketing

North America

Expanding our market-relevant product offering
Extending the geographic footprint by partnering with key retailers/independent distributors in all season markets
Starting in 2020, local manufacturing will improve our service throughout North America

All major winter tire markets

Building distribution and logistics setup in selected areas in China
Distribution partnership in Japan

Vianor

Focus on operational efficiency
Improve fixed cost management
Optimize service center network
Improve sales and pricing management
Reform Vianor Partner concept

Heavy Tyres

Capacity expansion 20 Mkg ➞ 32 Mkg
More than 200 new products by 2022 with new technologies
Focus markets: the Nordic Countries, Central Europe and North America
Focus segments: forestry, agriculture, on-road, and off-the-road (OTR)
Growth in aftermarket

RELATED KEY FIGURES

	2018	2017	2016	2015	2014
Net sales, m€	1,595.6	1,572.5	1,391.2	1,360.1	1,389.1
growth, %	1.5%	13.0%	2.3%	-2.1%	-8.7%
Operating profit (EBIT), m€	372.4	365.4	310.5	296.0	308.7
% of net sales	23.3%	23.2%	22.3%	21.8%	22.2%
Dividend per share, eur	1.58	1.56	1.53	1.50	1.45
Dividend pay out ratio, %	73.9%	96.7%	82.6%	83.9%	92.9%