Discover Nolato’s strategic focus, financial flexibility for growth and attractive dividends.
OUR BUSINESS
Targets and outcomes
Targets and outcomes
Nolato's financial targets reflect Nolato’s strategic focus, with two business areas and advanced market positions, providing the financial flexibility to grow, make new acquisitions and provide
good dividend potential for shareholders. The Group is managed with the aim of achieving healthy earnings, generating adequate cash flow and maintaining a healthy level of financial risk.
good dividend potential for shareholders. The Group is managed with the aim of achieving healthy earnings, generating adequate cash flow and maintaining a healthy level of financial risk.
Nolato's New Financial Targets
The Board of Nolato has 2025-03-13 established the following financial targets:
- The annual organic growth should exceed 8 percent over a business cycle (new target).
- The EBITA margin should exceed 12 percent over a business cycle (new target).
- The return on capital employed should exceed 15 percent over a business cycle (new target).
>12%
EBITA MARGIN
>8%
ORGANIC GROWTH
>15%
ROCE
Outcome - financial targets 2024
OUTCOME | EBITA 2024
The target for the EBITA margin is to exceed 10% over a business cycle.
>10%
Target
9.9%
Outcome 2024
9.8%
five-year average
OUTCOME | Cash conversion 2024
The target is to achieve cash conversion of more than 75% of EBIT over a business cycle, measured as the ratio of cash flow after investments and EBIT.
>75%
Target
86%
Outcome 2024
55%
five-year average
OUTCOME | Equity/assets ratio 2024
The target for the equity/assets ratio is to exceed 35% over a business cycle.
>35%
TARGET
59%
OUTCOME 2024
52%
FIVE-YEAR AVERAGE
OUTCOME | growth target 2024
Nolato aims to achieve growth that exceeds the level of growth within each market segment.
2%
Medical Solutions
+/-0%
ENGINEERED solutions
Medical Solutions
Medical Solutions sales totaled SEK 5,434 million (5,308); adjusted for currency and acquisitions, sales grew by 2%. The Drug delivery market area and In vitro diagnostics (IVD) displayed growth, while
pharmaceutical packaging had lower volumes.
Engineered Solutions
Engineered Solutions sales were SEK 4,243 million (4,245); adjusted for currency and acquisitions, sales were unchanged. The Materials (EMC) market area exhibited strong growth, increasing by 10%, adjusted for currency and acquisitions. The Hygiene and other market area also showed good growth, while Consumer electronics displayed a sharp drop in volumes.
Dividend policy
Nolato’s dividend policy is to propose a dividend that exceeds 50% of profit after tax, taking account of Nolato’s long-term development opportunities, financial position and investment needs. The Board’s proposed dividend for 2025 is SEK 1.50 per share, which equates to 61% of profit after tax.
1.50 SEK
OUTCOME 2024
74%
PAY-OUT RATIO 2024
1.50 SEK
PROPOSAL 2025
61%
PAY-OUT RATIO
Sustainability targets
Nolato works based on long-term targets for sustainable development. The targets are related to seven selected UN goals that have been assessed as relevant to the business. Read more about the Group’s work and outcomes of the goals are described on Nolato Group's website in the Sustainable development section.