NORMA Group has provided details of its NewNORMA strategy and set financial ambitions through 2031, focusing on operational execution after completing major portfolio and capital measures. The company aims to achieve average annual currency-adjusted sales growth of 1 to 3%, an adjusted EBIT margin exceeding 10%, and cash conversion above 70% by 2031. The strategy rests on three interconnected initiatives: Sales Push, Footprint optimization, and Transformation, designed to increase utilization of the existing asset base and reduce structural costs.
CEO Birgit Seeger said the strategy lays the groundwork for a successful future by leveraging a strong industrial foundation, intensifying commercial activities, better using production assets, and reducing structural costs. The company has realigned into two strategic business units: Mobility & New Energy, the resilient core business focused on competitiveness and cash generation, and Industry Applications, the driver of profitable growth targeting new markets. NORMA Group is leveraging existing engineering expertise in fastening, connecting, and fluid-handling technology to develop applications for data centers, battery energy storage systems, heat pumps, and household appliances, with additional orders largely served using existing production capacity.
As part of the Sales Push, NORMA Group is intensifying commercial execution and strengthening customer relationships. In the first nine months of 2026, cumulative lifetime sales won in the Mobility & New Energy business unit increased by approximately 45% compared with the prior-year period. The company is also consolidating manufacturing sites in China, concentrating production in Mexico, closing a distribution center in Australia, planning to close its regional office in Singapore, and strengthening its Shared Service Center in Novi Sad, Serbia. In EMEA, where nine production sites are structurally operating below capacity, NORMA Group intends to consolidate production. These measures are expected to generate an additional annualized EBIT contribution of approximately EUR 20 to 30 million by 2031.
The transformation program aims to simplify the organization, reduce complexity, and standardize core processes. Together with the EMEA footprint optimization, NORMA Group expects total additional annualized EBIT savings of approximately EUR 70 to 90 million by 2031 compared to fiscal year 2026. Group CFO Okan Celiker said the financial ambition is underpinned by clear operational measures already being implemented, combining profitable volume growth with higher capacity utilization, lower structural costs, and strict working capital discipline.
NORMA Group also announced a new dividend policy starting in fiscal year 2027, targeting a payout ratio of at least 10% of adjusted Group Net Income, subject to approval by the Annual General Meeting, alongside potential share buybacks. The company targets a ratio of net debt to adjusted EBITDA of up to 1.5x in the medium term. The strategy update matters because it signals a shift from portfolio restructuring to operational execution for a company with around 6,000 employees, sales of about EUR 820 million in 2025, and a global network of 19 production sites. The details were released through NEWMEDIAWIRE, and the full release is available at www.newmediawire.com.
