>>
Home / Knowledge / News / Textiles / SCA to focus on cash flow and strengthen position

SCA to focus on cash flow and strengthen position

11
Dec '08
In response to the recession and global financial turmoil, SCA is adapting its near-term plans to the prevailing situation. Most important is to reverse the Group's cash flow trend and to continue strengthening SCA's successful positions in hygiene markets around the world.

This applies not least for SCA's home market in Europe, which accounts for 80% of consolidated sales and 85% of operating profit.

At a Capital Market Day held today in Stockholm, SCA's CEO, Jan Johansson, presented his and the management's views of the company's development in 2009 and 2010. SCA's plans for the years ahead are focused in three areas: 1)Reduced costs and higher cash flow, 2)Capital efficiency, and 3)Innovation.

"Our action plan for the years immediately ahead addresses lower growth and tougher times," said Johansson. "Parts of our business are sensitive to economic swings and will continue to be adversely affected. In these businesses we are concentrating our efforts to improve cash flow and increase the efficiency of our plants.

"At the same time, through continued innovation and investments in product development we have favourable prospects to strengthen our key positions in the hygiene market, which is more resilient to economic swings. The European market is the most important for us, and we will prioritize harder among our emerging markets”.

The prevailing financial and economic climate may also give rise to new opportunities for structural deals, noted SCA, which sees a continued need of consolidation in the packaging sector.

In view of its ambition to strengthen the Group's cash flow, in the years immediately ahead, SCA will wait and see with further expansion in markets in which it does not already have an established position. However, incontinence care products will have continued global priority.

During the Capital Market Day, SCA presented its target for return on capital employed as the overall goal for the Group and its constituent parts.

"Our goal is for the Group to deliver a 13% return on capital employed. We will achieve this within a 3-4 year period, provided that the economy recovers toward the end of 2010," said Johansson.

Despite the negative impact of the recession, SCA's management is working to improve cash flow by a couple billion SEK during the next two years.

SCA


Must ReadView All

Pic: Shutterstock

Textiles | On 25th May 2022

New York senate passes bill to ban harmful PFAS in apparel

The New York State senate recently passed a bill that prohibits the...

Pic: craig hastings | Dreamstime.com

Textiles | On 25th May 2022

German GDP rises by 0.2% in Q1 2022 over Q4 2021: Destatis

Germany’s GDP rose by 0.2 per cent in the first quarter (Q1) of 2022...

Pic: Shutterstock

Textiles | On 25th May 2022

Businessmen in Bangladesh urge govt not to hike gas, power prices

Bangladesh businessmen have called for not raising gas and...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Instagram & fashion will go a long way together

Textile Industry, Head honchos

Textile Industry
Head honchos

Trainers faced immense challenges as most were not tech-savvy

Textile Industry, Head honchos

Textile Industry
Head honchos

Switch was not 100% pandemic related

Rajesh Vohra,

Rajesh Vohra

A part of the Italy based multinational company Artsana Group, Chicco is...

Liivika Lapp,

Liivika Lapp

Baltika Group, founded in 1928, is the leading fashion brand house in the...

Abdullah Mohammad Saad Hossain,

Abdullah Mohammad Saad Hossain

Saad Group is a leading vertically integrated textile group in Bangladesh. ...

Dr Anup Rakshit, ITTA

Dr Anup Rakshit
ITTA

The Indian Technical Textile Association (ITTA) is the only association of ...

Sven Ghyselinck, Devan Chemical

Sven Ghyselinck
Devan Chemical

Headquartered in Belgium and with offices in the United Kingdom, Portugal...

Christopher Astley, INDA

Christopher Astley
INDA

<font face="Arial, sans-serif"><span style="font-size: 16px;">INDA,...

Timna Weber, Label - Timna Weber

Timna Weber
Label - Timna Weber

London-based sustainable high-end eponymous womenswear label, by designer...

Sandeep Gonsalves & Sarah Gonsalves, Sarah & Sandeep

Sandeep Gonsalves & Sarah Gonsalves
Sarah & Sandeep

Established in 2012, Sarah &amp; Sandeep is a luxury menswear label...

Anjali Bhaskar, Samatvam

Anjali Bhaskar
Samatvam

Samatvam, a womenswear brand that blends age-old craftsmanship with modern ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments

ESTEEMED CLIENTS

Etam Group Strategy Hong Kong Limited
Arvind Limited
N9 World Technologies Private Limited
Thai Acrylic Fibre Company Limited
Flainox S.r.l.
Mesdan SPA
Hela Clothing Pvt Ltd
H. Stoll AG & Company KG
The LYCRA Company Singapore  Pte. Ltd
Weitmann & Konrad GmbH & Co. KG
HYOSUNG CORPORATION INDIA PRIVATE LIMITED
TEXVALLEY MARKET LIMITED
TESTEX AG, Swiss Textile Testing Institute
The Top Form Brassiere Manufacturing Company Limited
Lottmann Communications
Decathlon
Palexpo SA
Rieter India Private Limited
Chori Company Limited
NV Michel Van de Wiele
Page Industries Limited (Bangalore)
Walmart
Sateri (Jiujiang) Fiber Co.,Ltd
Tory Burch Hong Kong Ltd
Xtema - Thomas Lebherz Textilmaschinen
Rosset ;& Cia Limited
SYNERGIES HONG KONG LIMITED
Guess Europe Sagl,
Indo Tex
Target Corporation (MN)
John Varvatos
SHAHI Exports Pvt Ltd
Performance Days
Inter Expo Center Ltd.
Eastman Chemical Company
Esprit Europe Services GmbH
MAS Active / MAS Kreeda / MAS Bodyline
IFF Media Ag - International Media Services
Babyshop
Desigual - ABASIC, S.A.
Vardhman Textile Ltd
Haelixa AG
Amazon China
CGS Inc.
Tuyap Tum Fuarcilik Yapim A.S.
Gap International Sourcing Limited
Jiangsu Yingyang Nonwoven Machinery Company Limited
Stahl Holdings B.V.,
EMBEE CORPORATION
Lenzing Aktiengesellschaft - India
BIANCA
Lifestyle
Deckers Outdoor (Guangzhou) Consultant Co., LTD.
DyStar India Pvt. Ltd
Kornit Digital Asia Pacific Ltd
Green Fibre
Applied DNA Sciences Inc
IDH – The Sustainable Trade Initiative
Vianney Textil Hogar S.A. De C.V.
Groz-Beckert KG
BTC Textiles LLC
Kern – Liebers Textile
Groz-Beckert East Asia LLP
BIRLA CENTURY A DIVISION OF CENTURY TEXTILES AND INDUSTRIES
Abit
Zydex Industries
Colours India Inc
NITI Aayog
Seasalt Limited
APLF Limited
Nandan Denim Limited
ZAITEX spa
X-Rite Asia Pacific Limited (HK)
CSGIA(China Screen Printing & Graphic Imaging Association)
Hirdaramani International Export Private Limited
Alison Hayes Romania
Equinox Impex India
Zünd Systemtechnik AG
Boardriders Asia Sourcing Limited
Permoda(Koaj/Armi/Pronto/Bkul)
Phong Phu international JSC (PPJ)
EUROVET ASIA LTD
Grasim Industries Limited
Asos
THE BOMBAY DYEING ;& MFG.CO. LTD
Istanbul Fuarcilik A.S.
Huntsman (Singapore) Pte Ltd
Comasia Limited
Aquarelle Clothing Limited
Sportswear Company Spa
TESCO INTERNATIONAL SOURCING LIMITED
Gatsby Africa
Calvin Klein
The LYCRA Company Singapore  Pte. Ltd
Lenzing Aktiengesellschaft
C;&A Sourcing International Ltd
Restoque S.A.
Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)
Datacolor AG Europe
Landmark Group
Karl Mayer Textilmaschinenfabrik GmbH
Indofil Industries Limited - Specialty & Performance Chemicals Division
IKEA of Sweden AB
Tchibo GmbH
International Textile Manufacturers Federation
Tommy Hilfiger
Eurofins BLC Leather Technology Centre Ltd
Datatex Consulting Srl
BIMBA ;& LOLA SL
Truetzschler India Private Limited
Infor (Hong Kong) Limited
Benetton Group
COTTON COUNCIL INTERNATIONAL
Maceton Limited
Newtech Textile Technology Development (Shanghai) Company Limited
DuPont de Nemours, Inc.,
GIOVANNI BOZZETTO S.p.A.
Messe Duesseldorf
Reiter India Private Limited
Gloria Jeans
EPCH
VNU Exhibitions Asia
China World International Exhibition Company Limited
Helly Hansen Far East Ltd
Tradewind International Servicing
Recron Polyester from Reliance Industries Limited
OVS Hong Kong Sourcing Ltd.
Puma
FULGAR SpA
Midas Clothing Limited
G.A.S. unternehmenskommunikation gmbh
Brückner Trockentechnik GmbH & Co. KG
J ;& P Coats
IIGM Private Limited
SUZHOU TUE HI-TECH NONWOVEN MACHINERY CO.,LTD
Aleph Srl
Splash
Bluesign Technologies Ag
Savio Macchine Tessili S.P.A.
Mayer & Cie. GmbH & Co. KG
Loris Bellini S.r.l.
KIABI
H;&M Hennes ;& Mauritz (Far East) Ltd
Lacoste (Wanchai)
K AND D ITMACH EXPOSITIONS LLP
Shanghai  Aige Exhibition Service Co., Ltd
Coats Digital Limited
Meera Dyestuff Industries
Marzoli Machines Textile s.r.l.
Italian Trade Commission
International Sourcing Expo Australia
ITMA Services Pte Ltd
BRINKMANN GMBH
Shima Seiki Mfg. Ltd.
Sainsbury's Argos Asia Limited
PVH Corporation
BTSR International S.P.A.
Jindal Worldwide Limited
Rayonese Textile Inc., Division de Culp Inc.
KAS Direct Sourcing
Under Armour Global Sourcing Ltd
LC Waikiki
Thermore (Far East) Ltd.
Nihalani Events Management
Woolmark Services India Pvt. Ltd.
Saurer Textile Solutions Pvt. Ltd.
Brandix Lanka Limited
Cat Tuong Real Estate Group Joint Stock Company
Lululemon Athletica Inc
Recron Polyester from Reliance Industries Limited
Bluestem Global Sourcing Limited
Lectra Technologies India Pvt Ltd.
Copenhagen Fashion Summit
Messe Frankfurt Exhibition GmbH
Thai Trade Center
Pt. Peraga Nusantara Jaya Sakti
Alix Partners
Sportmaster Ltd.
Gokaldas Exports Limited
Varner AS Retail
UBM China (Shanghai)
T.T. Limited
Chico’ FAS
TÜYAP IHTISAS FUARLARI A.S.
Centric Software
FESPA (Reigate)
Taiwan Textile Federation (TTF)
JES MEDIA, INC
Aramark Uniform ;& Career Apparel, LLC
GERBER TECHNOLOGY LTD.
Dow Silicones Corporation
Itema Weaving (India) Private Limited
USTER
Officina Meccanica Dora Enrico Srl
GHCL LIMITED
G-Star Raw C.V.
Lisa S.P.A.
Color Service s.r.l.

May 2022

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search