ETTEPLAN OYJ, Stock exchange release, December 18, 2024 at 1.30 p.m.
Etteplan is renewing its strategy and updating its financial targets
Etteplan Oyj´s Board of Directors has today approved the company's renewed
strategy and updated financial targets for the years 2025-2027. Both will come
into effect on January 1, 2025.
Digitization, the growing importance of artificial intelligence (AI) and data,
sustainability and the growing need for experts are key trends that affect the
operations of both the technology service company Etteplan and its customers.
The main goal of the strategy update published today is to generate even more
value for our customers and accelerate the transformation and development of
customers´ and Etteplan's business.
"Our previous strategy has proven its effectiveness and our targets have steered
us in the right direction. We have further developed our previous strategy and,
in connection with the update, kept elements of the strategy that have proven to
be good for us. The market around us is changing, and the importance of AI in
particular is growing strongly, so we have made the utilization of AI a very
central part of our renewing strategy," says Juha Näkki, President and CEO of
Etteplan Oyj.
The strategy period 2025-2027 is called "Transformation with AI" and its three
cornerstones are Trusted Partner, AI and Technology-Empowered Service Solutions
and Success with People.
Trusted Partner cornerstone´s goal is to further increase the value gained by
the customer as technology and AI develop. An even deeper partnership with our
customers creates the conditions for us to utilize new technologies and AI in
our customer relations to boost their sustainable growth and productivity.
A local presence close to our customers helps us to deeply understand what our
customers really need and we can offer excellent customer experience. By
understanding our customers´ business, utilizing AI and technologies, and our
extensive know-how, we can create even more value-generating service solutions
and help our customers develop their own business.
AI and Technology-Empowered Service Solutions cornerstone´s goal is to develop
service solutions that utilize the new added value generated by AI and new
technologies, especially for industrial product companies and asset companies.
AI and technologies, efficient processes, versatile know-how and world-class
engineering methods are integrated into the service solutions.
Based on a deep understanding of our customers' needs, we offer scalable
solutions that bring people and technology together and that create tangible
business value for our customers. We develop services related to data management
and data maintenance that enable the efficient use of AI.
The name of the cornerstone "Success with People" was kept in line with the
previous strategy and thus we want to emphasize continuity and the importance of
skilled personnel to our business. The goal of the cornerstone is to maintain,
develop and attract top talents, with whom we will succeed in the implementation
of the strategy together with our customers and partners. Our success is based
on committed employees who have strong industry expertise and a passion for
learning. We want to be an attractive employer for experts interested in AI and
technologies.
Sources of growth
Etteplan is a growth company. Growth is generated both organically and through
acquisitions. Sources of organic growth are new service solutions that utilize
AI and technologies, which produce new added value for our customers. Current
service solutions are also enhanced with the help of AI.
We develop new data-related service solutions that enable the efficient use of
AI for industrial product companies and asset companies and support their data
management and maintenance.
The third source of organic growth is our global delivery model and the
utilization of nearshoring and offshoring to ensure competitiveness in the
growing global competition.
Inorganic growth is created through acquisitions. Our goal is to offer services
from all three of our service areas in all of our operating countries. In our
current operating countries, we aim to strengthen our expertise, expand our
service offering and improve our market position in selected markets and/or
customer segments through acquisitions.
"Our renewed strategy guides the utilization of the opportunities brought by AI
and technologies and the development of new services, where we see significant
growth potential. In particular, the importance of data as a driver of business
is constantly growing, and we are introducing new service solutions for the
generation and management of new data, as well as for the maintenance and use of
existing data. The importance of the change is also reflected by changing the
name of our Technical Communication Solutions service area to Technical
Communication and Data Solutions," says Juha Näkki.
In connection with the strategy renewal, Etteplan Oyj's Board of Directors has
decided to update the company's financial and strategic targets.
Etteplan's financial and strategic targets from 1 January 2025
· Growth: turnover over EUR 500 million in 2027
· Managed services: 75 percent of revenue from managed services (Managed
Services Index, MSI) by the end of 2027
· Utilization of AI: AI driven solutions share of revenue 35 percent by the
end of 2027
· Profitability: Operating profit (EBITA) over 10 percent
In Espoo, December 18, 2024
Etteplan Oyj
Board of Directors
Additional information:
Juha Näkki, President and CEO, tel. +358 10 307 2077
Outi Torniainen, SVP, Marketing and Communications, tel. +358 10 307 3302
DISTRIBUTION:
Nasdaq Helsinki
Major media
www.etteplan.com
Etteplan in brief
Etteplan is a growing technology service company with the purpose of bringing
people and technologies together to change things for the better. Together with
our customers, we are building a world where every system, process, and product
can be made smarter, more efficient, and more sustainable. Our customers include
world's leading companies in the manufacturing industry.
In 2023, we had a turnover of EUR 360.0 million and around 4,000 professionals
in Finland, Sweden, the Netherlands, Germany, Poland, Denmark and China.
Etteplan's shares are listed on Nasdaq Helsinki Ltd under the ETTE ticker.
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