ABB anticipates a new strategy and the financial objectives for period 2015-2020



ABB has introduced today its new strategy and its financial objectives for period 2015-2020 finalized to the creation of value for a sustainable increase. The Helvetic group, that he is leader in the field of the technologies for the energy and the automation, has explained that the initiative has the objective to arrive in the next period to a profitable increase moving the centre of gravity towards markets to high increase, improving the competitiveness and reducing the risks of its model of business.

In particular, the financial objectives - whose attainment will be persecuted beginning from next 1° January - preview the increment of the operating profit per.share (EPS) of the 10-15% on base CAGR (rate of growth anniversary composed) and the obtaining of an interesting return of case on investments (CROI) around 15% in period 2015-2020. Moreover ABB is determined an increase of the revenues with average of the 4-7%, per year fastest one than that previewed for the GDP and from the increase of the market, and previews to constantly increase in the same period its profittabilità, now measured in operating EBITA, of a value that is attested meanwhile within a belt of the 11-16% previewing a realization of the cash flow anniversary of beyond 90%.

"Our new strategy - the managing director of ABB, Ulrich Spiesshofer has said - will be focused on aimed actions to accelerate an organic overhong of increase, an increase of the margins so as an increased efficiency of the capital in order to obtain greater value for the shareholders. We are moving our centre of gravity towards fields higher increase increasing meanwhile the competitiveness and winding down the risks in particular in our division Power Systems. Rationalizing our organization, we are increasing the focalization on the customers in order to obtain a greater agility and speed. Our change will happen following a program of 1.000 days to the aim to guarantee an execution to us of success".

The Helvetic company has specified that it will continue to operate acting on its main total portfolio in the fields of the energy and the automation that will be managed through its businesses unit under the guide of the five divisions. Moreover beginning from on January 1°, 2015 the regional structure of the group will be remodeled in three responsible regions of the collaboration with the customer, the shared services and the relative Countries that take part some. "These changes - it has emphasized Spiesshofer - will improve the focalization on the customers and the productivity and the results will be riconducibili to clear responsibilities and will carry at the market to a oriented collaboration".

ABB has announced that, online with this new strategy, the group is adapting the structure of its executive committee and that beginning from on January 1°, 2015 Peter Terwiesch, currently in charge of Central Europe and of Germany, is named member of the executive committee in charge of the division Process Automation. Moreover by the next year the three new regions will be guided by expert members of the executive committee: Frank Duggan (Asia, Middle East and Africa), Greg Scheu (Americas) and Veli-Matti Reinikkala (Europe).

ABB has announced today also a program of buys back of actions for a value until four billions of dollars that it will begin on September 16, 2014 and that - has clarified Spiesshofer - it affords to the shareholders to benefit so directly of continuous a solid generation of coming case from our businesses as from our recent reduction of the not strategic businesses. All this - it has evidenced - constitutes a strong sign of our engagement in assuring continuously tempting yields for the shareholders. Draft moreover of a demonstration of strong confidence in the potential one of the future increase of ABB". The group intends to allot approximately three quarters of this program for a reduction of the capital stock and the remaining part in order to more support to total level the program of shareholders for its employee with a total than 22.000 participants.