Swedish Match’s operations are characterized by strong cash flows. The financial strategy is centered on capital efficiency with a focus on financial flexibility and stability requirements.
The Board of Directors has determined that the Group will strive to maintain a net debt that does not exceed 3 times EBITA. The actual level of net debt will be assessed against:
- anticipated future profitability and cash flow
- investment and expansion plans
- acquisition opportunities
- development of interest rates and credit markets
The Board of Directors’ long-term goal is to optimize the capital structure of the Group which in the current environment entails maintaining a Standard & Poor’s BBB and a Moody’s Baa2 long-term rating.
Swedish Match has the ambition to continuously grow dividend per share with a payout ratio normally within the range of 40–60 percent of the earnings per share, subject to adjustments for larger one-time items. Excess funds shall be returned to shareholders through dividends and share repurchases.
Transfer of capital to shareholders
|Ordinary dividend||Repurchase of own shares||Special dividend|