Bonava Presents Strategic Review Results and Revised Financial Goals
Following Bonava’s strategic review, the Board adopted revised objectives and an updated strategy to promote long-term value creation. From 2022, the company will be managed on the basis of six objectives, two of which are financial. One of the goals is to more than double the pre-tax profit for
During the year, Bonava conducted an in-depth analysis of its operations and business environment to identify the prerequisites for increased efficiency and profitability. In light of the review now completed, the Board decided to clarify and revise the Group’s objectives, which include both its raison d’être and its strategic axes as well as internal and external financial and extra-financial objectives. .
The Group is currently active in eight geographic markets comprising a total of 22 regions, following its decision to end its Danish activities. In the future, the company’s ambition is to increase its presence and strengthen its position in regions offering the best conditions for creating long-term value. This implies an increased need to invest in more building rights where the possibilities for growth are greatest. Capital will be distributed to each region based on the prerequisites and profitability of each business unit, as well as where investments provide the best return against risk and shareholder value. Investments in building rights should be linked to increased resource efficiency through repetitive production and a clearer business focus.
“The updated strategy aims to ensure a more business-oriented approach based on local market conditions. For example, this may involve keeping selected rental projects under own management for a certain period, which is seen as an attractive extension. of the business model ”, says
Bonava’s value creation is made visible through new clarified objectives that orient the company towards a result in absolute terms and towards an increased integration of sustainability throughout the value chain.
“Over the past five years, Bonava has established itself as one of the leading developers of sustainable housing. With clearer goals, we are starting the next step on our journey to build more on the solid work being done in our organization. Our goal – to create and deliver sustainable and happy neighborhoods to more people – provides us with the right platform to create value for our customers, employees, shareholders and society as a whole, ”says
Financial effects in the fourth quarter of 2021
As a result of the updated strategy, items affecting the comparability of
Bonava’s objectives and dividend policy from 2022
- Profitability: Profit before tax of
2.2 billion Swedish kronorin 2026 (an increase of 120% compared to 2020)
- Growth: 8,000 homes sold in 2026 (an increase of 44% compared to 2020)
- Health and security: Our goal is a healthy and safe workplace for all
- Client satisfaction: Net Promoter Score (NPS)> 50
- Climate action: By 2030, Bonava will reduce its direct and indirect greenhouse gas emissions by 50% compared to baseline 2018
- Employee contract: Employee engagement will be in line with the top 10 percent of top performing companies
In addition to the revised targets, the target remains for the minimum equity / asset ratio to be 30%. Bonava’s dividend policy is to distribute at least 40 percent of Group profits after tax to shareholders over an economic cycle.
Presentation of the 3rd quarter today at
President and CEO
For more information please contact:
Phone. : +46 790 631 609
Carolina Strömlid, Head of Investor Relations
Phone. : +46 708 807 173
Fredrik Hammarbäck, Head of Group Press and Public Affairs
Phone. : +46 739 056 063
This information is such as
Bonava is a leading residential developer in
For more information about us, visit: www.bonava.com
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