Strong platform supports shift to growth

Our strategy execution has built a strong platform for continuous growth, now we increase our ambitions. We have a group growth target of 7% that will be generated from organic and acquired growth.

Our proven ability to develop new technologies and solutions in tune with our customers, enables us to continue to adjust to and benefit from long-term market trends. This, combined with our solid balance sheet and good cash flow generation will enable us to deliver on our growth target.

Growth targets for the Group and Business areas

7% Sandvik Group :

Sandvik Mining and Rock Solutions

10% :

Sandvik Rock Processing Solutions

10% :

Sandvik Machining Solutions

5% :

Sandvik Manufacturing Solutions

10% :

Enhancing our core competencies and value chain expansion

We continue to advance in our core areas and expand our key competencies within metal cutting and mining and rock processing solutions. Examples are:

We have a strategic priority to become market leaders within round tools and expanding our capabilities and offering for lightweight components.

The transition to battery electric vehicles is a growth opportunity for our mining business where we will continue to build on our leading position within electric equipment for mining and infrastructure.

Expanding in the adjacent value chain

We will expand also in the adjacent value chain. Examples of strategy execution are the acquisitions of Deswik and DSI Underground, making us the market leaders in mine planning software and ground support.

By enhancing our aftermarket offerings we bring value to a larger part of our customers’ value chain while also strengthening our margin resiliance.

Broadening of our digital offering

Driven by our customers needs for increased digitalization, connectivity and automation we are broadening our digital offering. Our goal is to have SEK 6.5 billion in sales by 2025 from software and digital solutions.

Sandvik is in a unique spot to take a strong position in software and digital solutions in the industries where we operate by levaraging our leading footprint in hardware combined with new digital technologies. We can create joint solutions that are stronger than each solution would have been independently.

""Combining our core skills and hardware with new digital technologies enables new customer solutions.

Grasping the opportunities of the future

To remain relevant for future business opportunities, and to customers on a broader spectrum, we grow our offering through acquisitions and partnerships that creates new digital and technology solutions. This enables us to meet the commercial trends of the future which we see emerging and taking off. Read about trends impacting our markets

Sustainability drives growth

Sustainability is integrated into the whole value chain of our business. We have a holistic approach that includes customers, suppliers and our own operations. The largest impact is through our products and solutions, which enable our customers to be more sustainable.

Boosting customers' productivity while increasing performance

A circle that shows how sustainability, digitalization and growth accelerate each otherSustainability and digitalization are growth opportunities for Sandvik.We provide customers with products and services that boost their sustainability, for example by improving safety and reducing environmental impact, whilst increasing performance. Examples are:

  • Reduced waste through high-precision cutting tools designed for specific applications as well as additive manufacturing.
  • Recycling of raw materials through buy-back programs of used inserts and tools. Digital tagging of individual products provides our customers with data related to each single item, helping them improve their operations. When we buy back these products, we have the material contents of each product, refining the recycling process further.
  • Lower fuel consumption through high-technology mining equipment, including zero CO2 emission through electric mining equipment; electrical vehicles (EV) and battery electric vehicles (BEV).
  • Our Reborn crusher solution, where we use worn-out wear parts from other cone crushers to produce new parts, minimizes the use of virgin material. This reduces the environmental footprint by a significantly lower CO2 impact. It also has a positive impact financially, both for Sandvik and our customers.

Indices and international commitments

In 2021, Sandvik committed to the Science Based Target initiative. We are included in several sustainability indices – an important recognition of our efforts in the area of sustainable business. Examples are CDP, EcoVadis and FTSE4Good.
Read more about sustainable business