Konecranes comments on its strategy and next steps following the abandonment of the planned merger
Konecranes comments on its strategy and next steps following the abandonment of the planned merger and cancels its Annual General Meeting scheduled for March 30, 2022, according to the company's release.
As announced earlier, the planned merger between Konecranes and Cargotec was jointly cancelled by the Boards of Directors of both companies. Konecranes will now focus on developing its business and value-creation potential on a stand-alone basis.
Konecranes is a world-leading company in lifting businesses, offering productivity and safety enhancing and sustainable lifting solutions as well as services for lifting equipment of all makes. Konecranes aims for a seamless and integrated material flow beyond cranes and port equipment with real-time tracking and provides advanced services with a complementary software offering to ensure optimized operations for its customers.
Konecranes continues to leverage the global megatrends, digitalization, productivity and sustainability as well as its core competencies to achieve profitable growth in the long-term. The Group’s current longer-term profitability margin target is an adjusted EBITA margin of 11 percent. Konecranes has given financial guidance for full-year 2022, and expects both net sales and adjusted EBITA margin to improve from the previous year. In 2021, Konecranes adjusted EBITA margin totalled 9.8 percent.
Service is Konecranes’ growth engine, providing industry-leading maintenance services for all types and makes of industrial lifting equipment, and improving the safety, productivity and sustainability of customers’ operations. Konecranes has an unmatched service offering, tapping into the circular economy by extending the equipments’ lifecycles, and powered by digitally enabled ecosystem. Konecranes has a long history of improving its Service profitability, and further improvement continues to be the ambition.
In Industrial Equipment, Konecranes will continue to strengthen its position as a global leader in lifting equipment and supporting customers moving from independent manual equipment to smart, connected and automated equipment and overall sustainable material flow solutions. Konecranes provides a broad range of lifting and material handling solutions and equipment to a wide range of industries. In recent years, Konecranes has focused on improving the Industrial Equipment profitability and this work will continue.
In Port Solutions, the long-term prospects related to container handling remain good overall and the focus is on electrification, automation and digitalization of ports and terminals, as the customers are automating operations and seeking productivity, safety and eco-efficiency improvements. Konecranes offers a wide range of productivity-enhancing container handling equipment, solutions and related services, boosting sustainability across the industry.
Sustainability is a strength and priority for Konecranes. Earlier this year, Konecranes announced its new science-based climate targets, which are in line with the Paris Agreement, aiming to limit global warming to 1.5°C. Konecranes is committed to reduce emissions in its own operations by 50 percent by 2030. Konecranes is also committed to reduce emissions in its value chain by 50 percent by 2030, encompassing the use of sold products and steel-related purchases. Furthermore, Konecranes is committed to the corporate sustainability principles of the UN Global Compact.
