CTEK Revises Profit Target, Dividend Policy Remains Unchanged
CTEK AB, a leading company in the electric vehicle charging industry, has made a significant announcement to revise its financial targets. The Board of Directors of the company reviewed its financial objectives and decided to change its profitability target to 20% adjusted EBITA margin, down from its previous target of over 25%.
New Profit Target
CTEK’s aim is to reach an adjusted EBITA margin of 20% in the medium term. However, the growth in the Energy & Facilities division may have a short-term negative impact. The previous target was to achieve an adjusted EBITA margin of more than 25% in the medium term.
Other Financial Targets and Dividend Policy
Despite the change in the profit target, CTEK’s other financial targets and dividend policy remain intact. The company is still targeting net sales of SEK 2 billion per year in the medium term, with the majority of sales expected to come from electric vehicle chargers and accessories.
Additionally, CTEK is committed to keeping its net debt below 3.0x adjusted EBITDA on a rolling twelve-month basis, though strategic decisions such as acquisitions may temporarily impact its indebtedness.
Dividend Policy Intact
CTEK will continue to invest its resources in growth and business development and its objective is to distribute 30% of the year’s profit to shareholders.
Publication of Information
This information was considered inside information and was made public by the company, in accordance with the EU Market Abuse Regulation. The information was published on February 8th, 2023, at 07:20 CET.
Contact Information
For further information, you can contact Ola Carlsson, the interim Group CEO of CTEK AB, through email at [email protected]
Conclusion
CTEK’s revised profit target is a significant development for the company and the industry as a whole. Despite the change, the company’s other financial targets and dividend policy remain intact, demonstrating its commitment to growth and shareholder value.