Financial targets

Caverion updated its financial targets on 9 May 2022. Caverion’s mid-term financial targets until the end of 2025 are:

Cash conversion (LTM)	Operating cash flow before financial and tax items / EBITDA > 100%
Profitability	Adjusted EBITA > 5.5% of revenue
Organic revenue growth	3−4% p.a. over the strategy period
M&A revenue growth	2−3% p.a. over the strategy period
Debt leverage	Net debt/LTM Adjusted EBITDA < 2.5x
Dividend policy	Distribute at least 50% of the result for the year after taxes, however, taking leverage level into account

Actions to reach the profitability target:

Growth throughout businesses and divisions
Focus on evolving business mix towards Solutions business at the higher end of the value chain, including Advisory, Engineering and Digital solutions, Managed Services as well as Smart solutions
Operating and financial leverage as well as improving scalability and efficiency
Productivity improvement by sharing common expertise across the company
IT and digital transformation
M&A activities