Location
12/18/2024

Strategy and business model

Clean water, sanitation, and the smart use of limited resources are key components of quality of life. At Kemira, we challenge ourselves – and the rest of the chemicals industry – to accelerate circularity to deliver the highest quality of life with the lowest impact possible.

Kemira’s strategy

Sustainability transformation is driving the growth, and our aim is to double the revenue from the 2024 level in water in the long run. This is supported by the tightening regulation globally. In addition, by the end of 2030 over 500 million of our revenue is targeted to come from renewable solutions.



Kemira is a global leader in sustainable chemical solutions for water intensive industries.



We enable more sustainable processes and products for our customers



We aim for
long-term growth



We continue to drive profitability and operational excellence

Strategic priorities

Expand in water

Significantly grow our water business by expanding to additional technologies and/or geographies both organically and inorganically. This is supported by the constantly tightening regulation.

Target:
Double the water revenue

Build leading renewable solutions portfolio

Enable sustainability transformation in our existing markets and leverage our capabilities in the new circularity driven markets.

Target:
Over EUR 500 million revenue from renewable chemistries by 2030

Two scientists performing laboratory tests in the laboratory environment.

Unlock new growth platforms

Increase penetration into selected new high-growth adjacent markets. Kemira’s extensive knowledge and expertise in chemicals can be applied in other areas, as well, such as fiber-based textiles.

Target:
Build longer term revenue growth

A strong foundation set for growth

The foundation for our ambitious growth has been laid over the past years, as we have been able to improve our profitability. Proactive actions have been taken on three fronts: improving customer profitability (e.g. customer-level reporting and pricing actions), efficiency of operations (e.g. investments in backward integration and cost savings actions), and simplification of product portfolio and product mix.

EXCELLENT PROFITABILITY

19.7%

Operative EBITDA margin has increased from 15.4% in 2019 to 19.7% in 2023.

Strong balance sheet

0.8

Net debt / operative EBITDA has decreased from 2.0 in 2019 to 0.8 in 2023.

Reduced emissions

-33%

of scope 1 & 2 emissions reduced since the base year 2018

Long-term financial goals

We updated our long-term financial goals in September 2024, to better reflect the growth strategy.

Average annual organic growth

Over 4%

Operative EBITDA margin of

18–21%

Operative ROCE

Over 16%

Resilient business model

Kemira has a resilient business model that is supported by a well-diversified customer base in all its three business units: Water Solutions, Fiber Essentials and Packaging & Hygiene Solutions.

  • We operate globally, but always within close proximity to our customers.
  • We are a leader globally in our niche areas of chemical solutions: #1 in water treatment in Europe and #2 in the pulp and paper business globally
  • Sustainability drives our business forward. Our focus is on how to improve our customers’ product quality, process and resource efficiency, and we can significantly improve our customers’ handprint.
  • We work together with customers, suppliers and research organizations to provide cutting-edge solutions that can be applied to solve customers’ and societies’ challenges. This is is supported by our R&D centers in Europe, North America and Asia.
  • We deliver on time and have an efficient logistics network. The majority of our contracts are based on fixed annual pricing. Customer satisfaction has steadily improved and is at a high level.

Kemira’s products & services

A person shopping grocery items.

Curious about Kemira’s next steps?
Kemira announced its growth strategy and new long-term financial targets in September 2024. See the webcast and presentations from the Capital Markets Day 2024.

Capital Markets Day

Investor contacts

Mikko Pohjala.

Mikko Pohjala

LinkedIn
Vice President, Investor Relations
Helsinki, Finland
+358 40 838 0709

Heidi Lehmuskumpu

LinkedIn
Investor Relations Manager
Helsinki, Finland
+358 40 593 4611
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