Orkla (ORK) SEB Nordic Seminar presentation summary

Business overview and strategy

• Focuses on brands and consumer-oriented industries with a diversified portfolio of ten companies and significant market value and revenue in 2024.

• Strategic priorities for 2023-2026 include driving organic value, reducing portfolio complexity, and executing value-adding structural transactions.

• Targets annual total shareholder return (TSR) of 12-14% for 2024-2026.

Portfolio and market position

• Holds leading positions in food, snacks, health, home care, and paint sectors, with major interests in Jotun, Orkla Foods, and Orkla Food Ingredients.

• Portfolio companies generated significant revenues in 2024, with Jotun and Orkla Foods as top contributors.

• Geographic revenue split shows a strong Nordic and European base, with meaningful exposure to emerging markets, especially through Jotun.

Financial performance and targets

• Reported 2024 revenue of NOK 70.7 billion and net profit of NOK 6.1 billion, with a 10-year average TSR of 11%.

• Underlying EBIT (adj.) growth target of 6.9% and EBIT (adj.) margin target of 11.8% for 2023-2026.

• Demonstrated resilient growth in revenue and EBIT (adj.) over recent years, with increasing earnings and cash flow per share.