Strategic Objectives

Financial targets

Organic growth: PALFINGER continues to steadily pursue its growth course. Despite the current weak economic development in the core region EMEA, PALFINGER remains committed to its financial targets: Sales are expected to increase organically to EUR 3.0 billion by 2027, regardless of developments in the CIS region. A key factor for PALFINGER is above-average growth in the NAM region.

10% EBIT margin: PALFINGER’s goal is to achieve an EBIT margin of 10 percent by 2027. Key factors include achieving synergies through the GPO, the further standardization of processes and systems and the further development of shared service centers.

12% ROCE: PALFINGER conducts stringent current capital management and an investment program focused on its core business. This ensures optimal use of non-current and current assets and serves to achieve a return on capital employed of 12 percent by 2027.

Non-financial targets

A comprehensive materiality analysis was carried out in 2021 and the sustainability strategy was defined. This is based on environmental, social and governance criteria. With regard to the environment, the focus is on reducing energy consumption and emissions both within the company and along the upstream and downstream value chain. The safety of PALFINGER's products is a central issue for social affairs, as is the health and safety of the company’s employees, in addition to training and continuing education, staff turnover, diversity, and staff development. The topic of governance includes anti-corruption and corporate governance objectives. PALFINGER is currently implementing the extended reporting requirements in accordance with the Corporate Sustainability Reporting Directive (CSRD), which will be mandatory from the 2024 reporting year. The results of the double materiality analysis in accordance with CSRD will lead to an update and further development of PALFINGER's sustainability program. Thereby the material topics will be taken into account with regard to the strategic areas of action, programs and objectives in the 2024 financial year.

Implementation of Strategy 2030

The implementation of this strategic pillar required a very high level of investment in technology, customers and employees. PALFINGER World in Lengau, Austria, was further expanded for the optimal presentation of solutions, products and the PALFINGER values. It offers interested parties, customers and partners a comprehensive brand and product experience over an area of 1,600 square meters. In addition to personally experiencing products and solutions, factory tours provide insights into manufacturing expertise.

The transformation program to strengthen the digitalization of products, processes and business models was further expanded in 2023. Thanks to the strength in innovation and cooperation with selected partners in the field of digitalization, PALFINGER offers its customers smart functions and services along the entire customer journey. Examples include the product configurator, the ‘Smart Control’ digitally supported crane control system, and smart service approaches within the scope of ‘PALFINGER Connected’.

Outlook: Mid-term implementation of the strategy by 2027

To secure PALFINGER's future growth, the high level of investment activities will be continued. Examples are the expansion of technology leadership through the development of fully integrated and networked solutions, increased employee training and development as well as the consistent implementation of the sustainability strategy.