Financial targets

The financial targets apply as from 28 April 2011. The financial result is reported in the annual report.

Return on equity

Target a minimum of 7% over the business cycle. Definition; Profit for the year after tax expressed as a percentage of average adjusted equity. 

Yield

Target a minimum of 5% over the business cycle. Definition; Operating profit before change in value of forest assets excluding capital gains on property sales, divided by average operating capital, excluding deferred tax.

Equity ratio

Target between 36 percent and 40 percent. Definition; Adjusted equity divided by total assets, all calculated at the end of the period/year.

Dividend

The ordinary dividend should in the long term correspond to at least 60% of profit after tax, excluding non-cash changes in value according to IFRS. Sveaskog’s funding requirements and financial position in general will be taken into account.

 

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