Fluidra presents plans to become a 1.7 bn company in sales in 2022
November 12, 2018-
Fluidra leads the global pool market and has room and the capability to grow in the 7.1-billion-euro industry
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The broadest geographical footprint, deep product offerings, and a proven track record of innovation combine to reaffirm Fluidra’s strong market position and resilient business model
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The combination of Fluidra and Zodiac provides an ideal platform for future growth, supporting strong growth objectives through 2022: Annual sales growth of 5-8% resulting in sales of 1.7 billion euros and EBITDA of >350 million euros
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The company generates significant cash flow and intends to resume dividend payments not later than 2020 with a 50% pay-out policy
Fluidra, a multinational group, listed on the Spanish Stock Exchange and dedicated to the development of innovative services and products in the global residential and commercial pool market, presented today its 2022 Strategic Plan “The perfect pool experience”.
The new plan is designed to support the company’s sustained growth in a € 7.1 bn worldwide industry and strengthen its leadership position in the global market. Fluidra has the broadest geographical footprint in the industry, deep product offerings, globally recognized brands, and core competencies in innovation and manufacturing. Those global strengths are leveraged through a business model that adapts to the needs of our local markets. Objectives set for 2022 include an annual sales growth target of 5-8%, resulting in revenues of 1.7 billion euros and EBITDA of over 350 million euros in 2022.
“The opportunities in this industry are very exciting,” said Eloi Planes, Executive Chairman of Fluidra. “Pool and wellness markets continue to show positive dynamics and provide large aftermarket opportunities. With our new strategic plan we will grow and become a stronger company, generating value for our customers and shareholders. We intend to resume our annual dividend payment not later than 2020 with a 50% pay-out policy. ”
Fluidra’s 2022 Strategic plan defines clear objectives for each market that will deliver value by providing operating and financial leverage, supporting strong cash flow generation and improving returns.
North America is now a more important part of the new Fluidra’s strategic growth plans. The North American market is 3.5 billion euros in size, and the company plans to accelerate its growth by 7% CAGR through 2022. Key components of the plan include product expansions, increased focus on the aftermarket, and continued growth in the number of connected pools (IotT).
In Europe and the Southern Hemisphere, the company will further develop its business model with plans to increase capillarity, improve customer engagement and capture integration synergies. Sales growth is targeted at 5% CAGR during the plan period. The current market situation is very favorable for the combined Fluidra with a huge base of professional customers in the residential pool market.
In emerging markets throughout Asia, Africa and South America, Fluidra will work to increase its share by growing sales at a targeted 8% CAGR through 2022. The combination of good market indicators, the existing Fluidra platform in the regions, the range of commercial equipment and the specific water engineering know-how will be the main drivers.
Bruce Brooks, CEO of Fluidra, also highlighted: “Innovation will play an important part of Fluidra’s new strategic plan. We have more than 100 new products in the pipeline and a portfolio of over 1,000 patents powered by a robust R&D program, which adds value for both customers and end-users.”
The strategic plan emphasizes operational excellence as a strong enabler for value creation. In addition to merger integration synergies, that account for 35M euros of cost savings, excellence in quality, best-in-class service, a culture of lean thinking are a core part of the company’s success and drive value for their customers and shareholders.