Adrian J Cotterill, Editor-in-Chief
ZetaDisplay AB (Nasdaq Stockholm:ZETA) has announced that the Board of Directors of the company has adopted four updated financial targets. The company introduced February 2017 financial targets, including that net sales would amount to MSEK350 by 2020. Two years later, the sales target has been met and the company updates its financial targets linking them closer to its overall strategic direction.
The updated objectives link continued growth more closely to the company’s focus on contracted services, which increase both long-term profitability and predictability. Growth is expected to be both organic and acquired, which requires an efficient use of the available funds.
- Contracted services exceeding MSEK 200 at the end of 2022
- Operating income amounting to SEK 100 million at the end of 2022
- To achieve an equity ratio in the period up to 2022 between 30 and 50%
- Use dividends to ensure that the equity/assets ratio does not exceed 50%
Mats Johansson, chairman of the Board said “The updated financial targets represent a doubling of the service portfolio and a tripling of the operating profit from today’s levels and reflect the strategy that the board has put in place for the coming years. The integrated business model includes concept and software development, hardware deployment as well as contracted services during the operating period. The most important lever in our business model is the proportion of contracted services of sales and our ability to increase revenue over the lifetime of a project. The company’s success is based on an efficient and scalable delivery and service platform that does not increase in complexity and drives costs once the share of contracted services is increasing. The updated financial objective is in line with the strategy that the Board of Directors has established and is the company’s guiding star in the coming years”.
This information was provided as such information that ZetaDisplay AB is required to disclose under the EU market abuse regulation and the Securities Market Act. The information was provided, by Leif Liljebrunn, for publication on February 22nd, 2019 at 08:30am.
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