CONSTANT ATTENTION TO INNOVATION PRODUCES A RANGE OF PRODUCTS AND SERVICES THAT GUARANTEE TECHNOLOGICALLY ADVANCED SOLUTIONS. WE USE OPPORTUNITIES FOR GROWTH IN A TARGETED MANNER AND LIMIT (FINANCIAL) RISKS.

With our four core technologies we can respond to these growth trends and can offer innovative comprehensive systems by combining these technologies. Investments in research and development and the roll-out of innovations are important areas of focus for growth. Our target is to generate at least 15% of turnover through innovations introduced in the previous two years. As a result, the products comprising our portfolio are at an early stage of their life cycle. We invest predominantly in our own technological development, although we also work closely with other parties on specialisms. We focus on securing a leading position in niche markets. Within our three business segments we have defined seven vertical growth markets in which we expect to achieve growth of between € 300 million and € 500 million in the next three to five years.

Healthy balance sheet ratios and a strong operating cash flow are top priority in the development of the company. We wish to achieve an above-average annual increase in earnings per share, and a net debt/EBITDA ratio of no more than 2.0. We will expand through organic growth and acquisitions. In geographical terms the focus for growth is on Europe, North America and Asia. In the case of acquisitions the emphasis is on structurally healthy companies which are aligned with our four core technologies and associated vertical growth markets. We will seek between one and three acquisitions a year, each representing turnover of between € 10 million and € 50 million. In the period ahead the focus will mainly be on organic growth and the optimal integration of acquired businesses within the TKH organization. Due to the focus on operations with a large potential margin, the medium-term bandwidth for our ROS target is >15%. Our medium-term ROCE target is a bandwidth of 22% to 25%.

Facts & figures

€ 1.5
turnover (in bn)
20.5%
Innovations
€ 63.2
R&D spendings (In m)
€ 7.0
subsidies and tax savings through R&D (In m)