Customers are Sectra’s top priority. We create profitable growth by having satisfied customers and dedicated employees, which ultimately benefits our shareholders.
Sectra’s overall goal is to create significant value for the company’s customers. Our success is monitored through several Group-wide result indicators in the areas described below and through financial goals:
Our success is monitored through Group-wide result indicators in these areas. In addition, there are also business-specific goals that are followed up in each operating area and business unit. This way we ensure that our operations create value and contribute to sustainable business development.
The advantages and value we create for customers lay the foundation for Sectra’s long-term, sustainable success. High levels of customer satisfaction are the ultimate proof that we deliver value and that Sectra’s services and products markedly improve customers’ operations.
Our progress toward this target is measured on an ongoing basis through internal customer satisfaction surveys based on the Net Promoter Score (NPS) methodology and through leading external evaluations in each area, such as KLAS for our medical IT systems.
Status 2024/2025
High level of customer satisfaction.
Our employees—and the corporate culture that shapes their conduct and decision-making—are our main competitive advantage. We therefore aim to ensure we have satisfied employees who perceive Sectra as an attractive, equal- opportunity workplace without bullying or harassment. We want our employees to feel that our corporate culture motivates and inspires them. This is crucial to our ability to recruit and retain the right personnel.
We follow up our progress toward achieving these targets with a number of result indicators, which are based on answers from an annual employee survey. To ensure we have the right process and that we can grow in an efficient manner, we also monitor our operating profit in relation to payroll expenses over time.
Status 2024/2025
Dedicated employees who are satisfied, feel a sense of well-being, are developing as individuals, and are doing their best to meet or exceed customer expectations.
Sectra aims to be a future-proof partner for our customers. Innovation and continuous development are therefore important. This target can be summarized in a quote ascribed to hockey great Wayne Gretzky: “Skate to where the puck is going to be.” In other words, we must ensure that Sectra is well positioned to meet future customer needs.
How well we meet this target is monitored through our annual employee survey.
Status 2024/2025
High level of quality and product safety.
Financial targets in order of priority:
The equity/assets ratio is to be at least 30%.
The operating margin (EBIT margin) is to be at least 15%.
Operating profit (EBIT) per share is to grow by at least 50% over a five-year period.
A strong financial position provides security for customers and enables investments in products, services and areas that create additional value.
Sectra’s financial position means that the equity ratio continues to exceed the target level.
* The 2024/2025 patent settlement has no material impact on the outcome.
A healthy operating margin means that the business transactions in which Sectra can provide the most value are given higher priority than devoting resources to areas in which such value is lower. Favorable profitability enables Sectra to implement growth initiatives that generate a strong long-term return for its shareholders.
Profitability is well above the strategic target. The operating margin is affected by the ongoing transformation of the business model, where a large share of the growth comes from entirely new customers. This initially results in higher costs before the customers reach expected volumes.
*Including the 2024/2025 patent settlement, the operating margin was 22.3%.
Monitoring growth in profit rather than sales is more relevant for Sectra, since the share of services and deliveries via the internet is increasing at the expense of deliveries of software licenses and hardware, for example.
The goal is calculated per share in order to include the effects of potential acquisitions paid for with treasury shares and other dilution effects. This places the focus on ensuring that each acquisition results in higher operating profit per share, which is in the best interests of the shareholders
Earnings growth is well above the strategic target. Operating profit per share is increasing as a result of higher revenue and cost control. However, during the financial year, the growth rate was dampened by the ongoing transformation of the business model and exchange rate fluctuations.
*Including the 2024/2025 patent settlement, the outcome was 144.6%.
“Our financial focus on long-term growth continues, and we consider two of our goals—the equity/assets ratio and operating margin—to be hygiene factors. Any profit we generate above a 15% operating margin will be reinvested in growth opportunities—a strategy that has proved successful for Sectra’s shareholders in the past.”
Torbjörn Kronander, CEO and President Sectra AB
