Lindab International AB (publ): Update of financial targets and dividend policy

The Board of Directors of Lindab International AB has on December 10th decided on the following updated dividend policy and financial targets:

• The dividend should be equivalent to minimum 40 percent of the company’s net profit, taking into account the company’s financial position, acquisition opportunities and long-term financing needs.
• The net debt to EBITDA ratio should not exceed 3.0, measured over a 12 month average.

The updated financial target for net debt to EBITDA is mainly an adjustment to reflect the effect of IFRS 16.

Financial targets for growth and profitability remain unchanged:

• The annual sales growth rate should be 5-8 percent, as a combination of organic and acquired growth.
• The operating margin (EBIT) should average 10 percent over a business cycle, excluding one-off items and restructuring costs.

Ola Ringdahl, President and CEO:
Lindab has during a period strengthened the financial position and reduced the net debt. The stronger balance sheet allows for an increased level of investments, active evaluation of acquisition opportunities and an increased dividend target in the dividend policy.

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Contact

Ola Ringdahl, President and CEO
E-mail: ola.ringdahl@lindab.com
Phone: +46 (0) 431 850 00

Malin Samuelsson, CFO
E-mail: malin.samuelsson@lindab.com
Mobile: +46 (0) 701 45 46 85

Lindab in brief

Lindab develops, manufactures, markets and distributes products and system solutions for simplified construction and improved indoor climate. The products are characterised by high quality, ease of assembly, energy efficiency and environmentally friendly design and are delivered with high levels of service. Altogether, this provides greater customer value.

The Group had sales of SEK 9,326 m in 2018 and is established in 32 countries with approximately 5,100 employees. The main market is non-residential construction, which accounts for 80 percent of sales, while residential construction accounts for 20 percent of sales. During 2018, the Nordic region accounted for 45 percent, Western Europe for 33 percent, CEE/CIS (Central and Eastern Europe) for 20 percent and Other markets for 2 percent of total sales.

The share is listed on the Nasdaq Stockholm List, Mid Cap, under the ticker symbol LIAB.

This information is information that Lindab International AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2019-12-10 16:30 CET.