The Hera Group’s Board of Directors has approved the business Plan to 2028. The new Plan’s strategic framework confirms creating sustainable value benefiting all stakeholders thanks to a balanced business portfolio as the Hera Group’s goal, developing resilient industrial assets even in a scenario marked by continuous volatility and an increasing frequency of extreme weather events linked to climate change. The structural growth in Ebitda reaching 1.7 billion euro to 2028 - up from the previous target of the Plan to 2027 – will be fuelled by both organic developments and M&A transactions. The framework agreement signed with Modena-based Gruppo AIMAG strengthens the industrial partnership between the two parties and marks a significant milestone in this chapter. Earnings per share are expected to rise by an average of about 6% per year, thus supporting the increase in dividends, set to reach 17 eurocents by 2028 (+21% compared to the last dividend paid). Over the 2024-2028 period, the business Plan calls for total investments amounting to 5.1 billion euro: this financial commitment is 6% higher than the one included in the previous strategic document and 46% higher than the investments made over the last five years to target important goals in terms of economic, environmental and social development. Specifically: 📌 2 billion euro, or 39% of the planned investments, will help reduce the consumption of natural resources through the development and adoption of circular economy solutions and models; 📌 1.1 billion, or 22% of the resources allocated in the Plan, will reduce or contain climate-changing emissions mainly through the development of renewable plants, energy efficiency initiatives and projects supporting the transition of our stakeholders; 📌 2.4 billion euro, or 47% of total investments, will be dedicated to increasing the resilience of the assets under management and activities intended to face increasingly frequent and intense exogenous phenomena; 📌 1.3 billion, or 25% of the investments, will go towards applying and developing pioneering technologies and introducing innovative solutions to achieve a competitive advantage in all industrial sectors covered, helping to seize market opportunities and ensure financial sustainability, efficiency and quality. By maintaining a focus on decarbonisation, circular economy, resilience and innovation, “shared-value Ebitda” is expected to increase significantly, exceeding 1,100 million euro in 2028, as against 776 million euro in 2023, reaching 66% of the Group’s total Ebitda and respecting the target of 70% in 2030. In the 2024-2028 five-year period, shared-value Ebitda will increase by 45%, reflecting the growing weight of initiatives that not only generate margins for the company, but are also in line with the goals on the UN Agenda. More info: https://lnkd.in/dGuZMEKw
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Together with the Hera Group’s Board of Directors we have just reviewed the preliminary results for 2024 and approved the Business Plan to 2028. For 2024, we expect to close with Ebitda over 1.55 billion euro, a result supported by all businesses in our portfolio, especially structural activities. This is even more significant when compared to the already outstanding 2023, which was affected by several non-recurring revenue opportunities, above all in the energy sector. This performance allowed us to fund an increase in investments and to further improve our financial solidity, with a net debt/Ebitda ratio below 2.6x, stable compared to the previous year. These good results are perfectly consistent with the new Business Plan, which forecasts 5.1 billion euro in gross investments, of which roughly 3 billion euro will be dedicated to the green transition in the areas served. The significant financial commitment required to support the investment plan, benefitting industrial development, will in any case be financed by a strong cash generation, which will also make it possible to keep financial leverage below the prudential level of 3x through to 2028, confirming our financial solidity and creating further flexibility to seize future opportunities.
The Hera Group’s Board of Directors has approved the business Plan to 2028. The new Plan’s strategic framework confirms creating sustainable value benefiting all stakeholders thanks to a balanced business portfolio as the Hera Group’s goal, developing resilient industrial assets even in a scenario marked by continuous volatility and an increasing frequency of extreme weather events linked to climate change. The structural growth in Ebitda reaching 1.7 billion euro to 2028 - up from the previous target of the Plan to 2027 – will be fuelled by both organic developments and M&A transactions. The framework agreement signed with Modena-based Gruppo AIMAG strengthens the industrial partnership between the two parties and marks a significant milestone in this chapter. Earnings per share are expected to rise by an average of about 6% per year, thus supporting the increase in dividends, set to reach 17 eurocents by 2028 (+21% compared to the last dividend paid). Over the 2024-2028 period, the business Plan calls for total investments amounting to 5.1 billion euro: this financial commitment is 6% higher than the one included in the previous strategic document and 46% higher than the investments made over the last five years to target important goals in terms of economic, environmental and social development. Specifically: 📌 2 billion euro, or 39% of the planned investments, will help reduce the consumption of natural resources through the development and adoption of circular economy solutions and models; 📌 1.1 billion, or 22% of the resources allocated in the Plan, will reduce or contain climate-changing emissions mainly through the development of renewable plants, energy efficiency initiatives and projects supporting the transition of our stakeholders; 📌 2.4 billion euro, or 47% of total investments, will be dedicated to increasing the resilience of the assets under management and activities intended to face increasingly frequent and intense exogenous phenomena; 📌 1.3 billion, or 25% of the investments, will go towards applying and developing pioneering technologies and introducing innovative solutions to achieve a competitive advantage in all industrial sectors covered, helping to seize market opportunities and ensure financial sustainability, efficiency and quality. By maintaining a focus on decarbonisation, circular economy, resilience and innovation, “shared-value Ebitda” is expected to increase significantly, exceeding 1,100 million euro in 2028, as against 776 million euro in 2023, reaching 66% of the Group’s total Ebitda and respecting the target of 70% in 2030. In the 2024-2028 five-year period, shared-value Ebitda will increase by 45%, reflecting the growing weight of initiatives that not only generate margins for the company, but are also in line with the goals on the UN Agenda. More info: https://lnkd.in/dGuZMEKw
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"#SMEs and mid-sized companies lack the resources of larger ones to dedicate to #sustainability, despite being key players in the industrial transformation." ...And indeed it is difficult for an SME to engage in CAPEX-intensive energy transformations! However, there are many paths for an incremental energy transition that starts smalls and grows, as the article of the World Economic Forum points out: https://lnkd.in/dcVCYbB7 At Ascension, we are passionate about helping small and medium enterprises adopt a business investment mindset when approaching their energy upgrades.
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📢 Attention all SMEs! Decarbonizing your business has never been more crucial—and beneficial! 🌐 Embracing sustainable practices isn't just about the planet; it's good for business too! Insights from the below World Economic Forum article (co-written by one of our friends at Schneider Electric, Alain Lefevre!) show that companies excelling in profit, growth, and sustainability see higher revenue increases. 💰📊 In spite of these findings, research shows that small-to medium-sized enterprises (SMEs) have been slow to adopt decarbonization efforts, often due to a lack of time or resources to get started. Fortunately, Zeigo Activate offers accessible, cost-effective tools to help you navigate your sustainability journey. Why put it off? Sign up to the platform today and begin reaping the benefits of decarbonization: https://lnkd.in/dsezWNr5! 🌳
#SMEs and mid-sized companies lack the resources of larger ones to dedicate to #sustainability. Memia Fendri, Xiaoming Zhong and Alain Lefevre (Schneider Electric) share how taking a business investment mindset that advances the #netzero journey can unlock three key benefits for #SMEs: https://lnkd.in/eQrBTrFV
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#SMEs and mid-sized companies lack the resources of larger ones to dedicate to #sustainability. Memia Fendri, Xiaoming Zhong and Alain Lefevre (Schneider Electric) share how taking a business investment mindset that advances the #netzero journey can unlock three key benefits for #SMEs: https://lnkd.in/eQrBTrFV
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“Infrastructure investment requires extensive collaboration to deliver the right outcomes for all stakeholders. Our portfolio companies are finding solutions to some of the world’s most pressing sustainability challenges, and we are actively enabling them to achieve this.” In our latest ESG report, Ancala Managing Partner Spence Clunie discusses how sustainability is integrated into our entire value creation process. Read Spence’s article and the full report, here: https://lnkd.in/erMbninP #DeliveringInfrastructureDifferently #ESG #Sustainability #InfrastructureInvestment
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This report has been timely issued, in the run up to the European Water Tech Accelerator's #EUGreenWeek Event on "How to build a #waterpositive economy in #Europe". We will be discussing the corporates' focus on the economic impacts of the water crisis. Large corporations are starting taking an interest. Digital water, water efficiency and applying the circular economy to water could slash business costs and increase water resilience. The report points out to the massive investment still needed to implement sustainability strategies. Is it however about investing more or avoiding costs? Join us to discuss https://lnkd.in/d_9jcvTA
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#SMEs and mid-sized companies lack the resources of larger ones to dedicate to #sustainability. Memia Fendri, Xiaoming Z. and Alain Lefevre (Schneider Electric) share how taking a business investment mindset that advances the #netzero journey can unlock three key benefits for #SMEs: https://lnkd.in/eQrBTrFV
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Greater Manchester SMEs get a boost on their net-zero journey with a free carbon calculator tool, simplifying carbon footprint measurement. https://lnkd.in/emGZKc5J #netzero #carboncalculator #sustainability
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Let's talk business 🤓 In today’s market, sustainability is no longer optional — it’s the baseline for long-term relevance. Companies are expected to take responsibility for their environmental and social impacts and integrate robust decarbonisation strategies into their core operations. 📈 Why It Matters: ◼ Companies with strong decarbonisation plans demonstrate resilience to economic, environmental, and social disruptions. ◼ Regulatory frameworks like the EU’s Green Deal and SFDR are raising the stakes, making non-compliance a costly risk. ◼ Decarbonisation creates a competitive edge, with early movers potentially gaining a 2–12% margin advantage over laggards. Dive into our blog to explore how your business can lead the way in impact management, decarbonisation, and innovation 👉 https://lnkd.in/ddzbRQuq
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Key aspects in this Quick Read: sustainability, c-suite, decision makers, green, energy efficiency, decarbonization, business decisions For daily news and analysis subscribe to the https://lnkd.in/gjGxsJTV newsletter. #FacilitiesManagement #Operations #Buildings
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