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September 2007 - New, ambitious Vision 2010 targets

The successful execution of the accelerated Vision 2010 program will result in the continuing evolution of DSM into a specialty life sciences and materials sciences business. The group will be strongly positioned for growth with the main drivers being delivered from market-driven innovation and an increasing presence in the world’s rapidly developing emerging economies, particularly China, as well as from acquisitions. DSM’s ongoing commitment to Operational Excellence remains firmly in place.

The adoption of this strategy, with its objective of achieving a better quality earnings base from higher margin businesses, has enabled DSM to increase the Vision 2010 targets, as follows:

Vision 2010 Original Target New Target Sep 2007
Organic sales growth 3-5% >5%*
Cluster EBITDA margins      
- Nutrition >18% >18%
- Pharma >18% >19%
- Performance Materials ≥ 16% >17%
- Polymer Intermediates    >13% (average)
Growth from innovation EUR 1 billion by 2010 EUR 1 billion by 2010
Growth in China USD 1 billion by 2010 USD 1.5 billion by 2010
CFROI WACC + 50 bp WACC + 100 bp
Specialty profile 50-60% Towards 60%
Sustainability Retention of top position rankings in SHE and Sustainability Retention of top position rankings in SHE and Sustainability
    Leadership in industrial (‘white’) biotech Leadership in industrial (‘white’) biotech
   Continuous improvement of eco-footprint Continuous improvement of eco-footprint
   More diverse, international workforce More diverse, international workforce
      Double energy savings
Total shareholder return (TSR) Above average peer group Above average peer group

* for the remainder of the period, based on assumed economic scenario

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