Saab’s financial targets
The geopolitical security landscape remains unusually uncertain, making it difficult to predict the future. Saab is fully focused on delivering on its strong order backlog and expect continued high demand for its product portfolio. We continue to be a company with substantial growth opportunities.
In 2023, Saab introduced medium-term targets for the period 2023-2027 on organic sales growth, operating income and operational cash flow. These were provided on the back of improved growth opportunities and a significant order backlog. In Q4 2024, Saab updated its medium-term targets and raised its target for organic sales growth to be around 18% (CAGR), from previously around 15%, and reduced the cumulative cash conversion target to at least 60% from at least 70%.
In connection with the Q4 2024 interim report, Saab also provided an outlook for the full year 2025, comprising an organic sales growth between 12-16%, an EBIT growth higher than the organic sales growth and a positive cash flow for the full year.
Outlook 2025
- Organic sales growth between 12-16%
- Operating income growth higher than organic sales growth
- Operational cash flow to be positive
Medium-term targets 2023-2027
- Organic sales growth of around 18% (CAGR)
- Operating income growth higher than organic sales growth
- Cash flow conversion of minimum 60% (cumulative for the 5-year period)
- The equity/assets ratio will exceed 30 per cent
Note: CAGR base year 2022, and cash conversion defined as operational cash flow divided by operating income.