Sanoma Corporation, Stock exchange release, 17 December 2019 at 11:00 EET
Sanoma amends its long-term financial targets with SBU-level targets on net sales growth and profitability
Sanoma’s Board of Directors has decided to add new targets on net sales growth and profitability for both strategic business units (SBU), Sanoma Learning and Sanoma Media Finland, to the Company’s long-term financial targets. The new long-term targets for both SBUs are:
|Long-term target||Sanoma Learning||Sanoma Media Finland|
|Comparable net sales growth||2-5%||+/- 2%|
|Operational EBIT margin excl. PPA||20-22%||12-14%|
Sanoma Group’s earlier long-term financial targets remain unchanged and valid, being:
|Long-term target||Sanoma Group|
|Net debt / Adj. EBITDA||below 2.5|
|Dividend policy||increasing dividend corresponding to 40-60% of annual free cash flow *|
Analyst and Investor Update 2019
Sanoma is hosting an Analyst and Investor Update tomorrow, 18 December 2019 in Helsinki. Presentations by the Group CEO and CFO & COO will provide more information about Sanoma’s strategy and financials after the divestment of Sanoma Media Netherlands, which was announced on 10 December 2019.
Going forward, Sanoma’s focus will be on growing its two strong businesses, Sanoma Learning and Sanoma Media Finland. The divestment of Media Netherlands provides approx. EUR 400 million headroom for M&A. The headroom enables Sanoma to capture growth opportunities and it has solid M&A pipelines for both businesses. Sanoma remains committed to its dividend policy and aims to pay an increasing dividend, equal to 40-60% of annual free cash flow.
A live webcast from the Analyst and Investor Update can be followed via www.sanoma.com/investors. An on-demand replay of the webcast is available shortly after the end of the conference. The presentation materials will be available on Sanoma’s website at https://sanoma.com/investors/ on 18 December 2019 at approx. at 9:15 EET.
* When proposing a dividend to the AGM, the Board of Directors will look at the general macro-economic environment, Sanoma’s current and target capital structure, Sanoma’s future business plans and investment needs as well as both previous year’s cash flows and expected future cash flows affecting capital structure.
Kaisa Uurasmaa, Head of Investor Relations and CSR, tel. +358 40 560 5601
Sanoma is a front running learning and media company impacting the lives of millions every day. We enable teachers to excel at developing the talents of every child, provide consumers with engaging content, and offer unique marketing solutions to business partners.
Today, with operations in nine countries including Finland, the Netherlands and Poland, our net sales totalled EUR 1.3 billion and we employed more than 4,400 professionals in 2018. Sanoma shares are listed on Nasdaq Helsinki. More information is available at www.sanoma.com.