Raute announced updates of its strategy and introduced new financial targets for the five-year strategy period. Company plans to grow as a market leader in veneer, plywood and LVL production technologies. In this segment, company will develop its Services concept and the offering in Analyzers and Wood Processing with innovative production solutions and models, as well as data and digital tools.
Raute plans to accelerate growth by expanding its portfolio into new wood products segments, especially through digital and analytical solutions and new service concepts. In the Wood Processing business unit, company will focus on improving profitability and geographical expansion. In the Services business unit, the expansion will be in its global network and digital offering. In the Analyzers business unit, company will create new software solutions using artificial intelligence and analytics for a broader end-use offering.
“At Raute, we have integrated sustainability as a fundamental aspect into our operations, balancing economic, social, and environmental considerations in our decision-making processes. By optimizing the value of products and services throughout their entire lifecycle, we can minimize the waste of resources and energy. Our company culture is built on unwavering principles of safety, ethical conduct, and diversity and inclusion. Eventually, we want to generate growth for all our stakeholders with high ESG standards and deliver a lasting positive impact on nature and society”, says Mika Saariaho, President and CEO of Raute.
Raute’s new financial targets for 2028 aligned with the strategy are:
- Net sales 250 MEUR, including both organic and inorganic growth
- Services and Analyzers relative share of net sales 40% of the Group
- Comparable EBITDA margin 12% on average over cycle
- Capital structure: Equity ratio over 40%
Raute’s head office and main production is located in Lahti, Finland. The company’s other production plants are located in Kajaani, Finland, the Vancouver area of Canada, Changzhou, China, and in Pullman, WA, U.S. Raute’s net sales in 2022 were Euro 158.3 million.
