New strategy: Hempel wants to double revenue by 2025
A new strategy defines the timeframe of a doubling of Hempel by 2025. The path is defined by focus in the entire business, leadership positions in chosen segments, industry leadership in sustainability within those, as well as a strong focus on innovation and digitalisation.
According to Hempel, 2020 has been a year of transition for global coatings supplier. As the company tells a new strategy on how to focus the 105-year-old company has taken shape.
Now defined as within the next five years, Hempel wants to double revenue through refocused geographical priorities, focused segment leadership positions and M&A, while at the same time accelerating on sustainability, innovation and digitalisation, says Group President & CEO, Lars Petersson: “When the world closed down in 2020 and global operations including ours were challenged, we sped up our strategy process. Now we have laid the foundation for not only doubling our revenue but also for significantly increasing our positive impact for our customers, partners and employees. We will build leadership positions and invest in our core segments and put sustainability at the heart of how we do business.”
Acquisitions and organic growth as well as investments
The strategy is supposed to be realised through both acquisitions and organic growth as well as investments in sustainability, innovation and digitalisation. Hempel expects 50 per cent of revenue growth to come from M&A but the strategy also has a clear-cut emphasis on building market leadership positions in specific areas of four chosen segments: Decorative, Marine, Infrastructure and Energy.
The new strategy sets ambitious goals on sustainability such as being carbon neutral in own operations by 2025 and also reducing the carbon footprint of the company’s customers. To ensure a rigorous, scientific and well-documented approach to becoming a sustainability leader within the coatings industry, Hempel has committed to science-based targets. The sustainability framework is suppseod to be launched in February 2021.
