Raisio plc, Stock Exchange Release, March 13, 2025 at 9.30 EET
The Board of Directors of Raisio has approved the company's strategy and financial targets for 2025-2027. The company aims to accelerate growth with the help of its existing successful brands and acquisitions.
The strategy is based on three growth areas. Raisio's breakfast and snack products (Elovena®) as well as heart-healthy products (Benecol®) constitute the sources of the company's organic growth. In the category of heart health-promoting products, Raisio aims to be a market leader in Ireland and Poland, in addition to Finland and the UK. Furthermore, the company seeks growth from new business opportunities, forming the company's third growth area.
The markets of breakfast and snack products as well as heart-healthy products in Europe are growing by approximately 2-3% per year, and Raisio is seeking to grow faster than the market. This can be achieved by increasing the company's market shares, as well as through geographic expansion and corporate acquisitions. With acquisitions, Raisio can strengthen its market position, support its existing growth categories or expand into new categories.
The primary target of Raisio's strong local heritage brands (such as Torino®, Sunnuntai® and Nalle®) as well as grain-based industrial and catering solutions is to generate stable cash flows to finance the Group's growth. Improving efficiency and cooperating with external partners are highlighted in the development of these operations. Additionally, Raisio has strong expertise in gluten-free oat, of which the company is one of the most significant producers in Europe, and this position will be bolstered further.
During the strategy period, Raisio will continue its significant investments in research activities. Besides supporting existing business operations and organic growth, research activities will focus on developing new business opportunities such as value-added oat-based ingredients as well as solutions related to fullness and weight management. The company is planning to invest in its product development centre and will also contribute to international research and start-up collaboration.
"We want to be a consumer-oriented European innovator that promotes the food transition with new products as well as plant-based foods and ingredients. Our goal is to grow faster than the market organically. Additionally, we will utilise our strong balance sheet more efficiently to accelerate growth. This entails opportunities to implement targeted acquisitions and investments in research activities," says Pasi Flinkman, CEO of Raisio.
Organisational structure will be revised to support the new strategy
In the new strategy, Raisio's business operations are divided into three areas:
- Breakfast and snacking
- Heart health
- New business to Raisio
To support strategy implementation and to finance investments required by growth, Raisio is planning to reorganise its organisational structure and operating model. The aim of the reorganisation is to harmonise reporting and management responsibilities as well as reinforce resource allocation for implementing acquisitions. Moreover, the company aims for improved cost-efficiency and a more agile organisation. The new organisational structure is expected to become effective in the first half of 2025. Raisio will report on the first quarter of 2025 according to the old structure. The new reporting structure will be determined in conjunction with the new organisation taking effect.
In connection with the planned reorganisations, Raisio will initiate change negotiations and communicate about the changes in more detail once the negotiations have concluded. The scope of the change negotiations includes approximately 200 employees in total. The need for redundancies is estimated to be a maximum of 20 persons.
Financial targets for 2025-2027
Raisio aims to achieve EUR 250 million in net sales through organic growth by the end of 2027. Regarding EBIT, the goal for the strategy period is to reach a level of over EUR 30 million by the end of 2027. The aforementioned targets have been determined for Raisio's existing business operations and do not include possible acquisitions. In 2024, Raisio's net sales were EUR 226.8 million and comparable EBIT was EUR 23.4 million.
The company's dividend policy remains unchanged; Raisio still aims to pay an annual dividend of 50-100% of the company's earnings per share.
Capital Markets Day
Raisio is planning to hold a Capital Markets Day for investors, analysts and media representatives on Tuesday, 27 May 2025. In the event, CEO Pasi Flinkman and other members of the company's management will elaborate on the most significant matters concerning the strategy period 2025-2027. The actual invitation, a detailed Capital Markets Day agenda and instructions for registration will be published later.
Raisio plc
Board of Directors
Further information:
Pasi Flinkman, CEO, tel. +358 400 819 947
Mika Saarinen, CFO, tel. +358 40 072 6808
Raisio plc
At Raisio, we make food from the heart, with the aim of bringing health to ourselves and the Earth. We make a healthier and happier world around us by innovating and winning the hearts of our consumers. We do not work alone; instead, we rely on our cooperation networks at every stage. Our strong brands, such as Benecol® and Elovena®, turn our ambitions into reality. Through our responsibility work, we make the hard choices for consumers, so that they can choose Raisio products with confidence. We have around 350 healthy food colleagues in seven countries and export to more than 40 markets around the world. Raisio's shares are listed on Nasdaq Helsinki Ltd. In 2024, the Group's comparable net sales for continuing operations were EUR 226.8 million and the comparable EBIT was EUR 23.4 million. www.raisio.com
