AMBITIOUS GROWTH TARGETS SET FOR 2017 The overall finding of the survey is that, across industries, our network of commercial executives is optimistic about growing both the top and bottom line in the coming 12 months; with 9 out of 10 commercial executives indicating top line growth targets. The survey shows a high average revenue growth target of 11%, with 25% even aiming for a +20% revenue increase. Looking at EBIT growth ambitions, 86% expect to grow their bottom line with an average EBIT growth target of 10%. Combining revenue and EBIT growth ambitions (figure 1), we can see a tendency of similar growth targets across the two measures with somewhat higher revenue growth expectations. 3% 3% Valcon’s Sustainable Growth Line 3% 5% 5% 6-10% 11-15% 16-20% 21-25% +25% 3% 3% 3% REVENUE GROWTH 3% 8% 3% 8% 11% 3% 3% 8% 0-5% 18% 5% 3% 0-5% 6-10% Figure 1 – Growth ambitions 11-15% 16-20% EBIT GROWTH 21-25% +25% Hence, the expectations indicated for 2017 could be seen as a continuation of the development in recent years of relatively high growth figures across industries1. We find this ambitious – but not unrealistic. Another conclusion is that even though we see a slightly higher ambition for the top line, the ambition for earnings follows a similar trend. This could indicate that our network of commercial executives expects to generate growth organically without significant changes to their current business models. 1 Information and communication; Manufacturing; Financial and insurance activities; Other services activities; Electricity, gas, steam, and air conditioning supply; Wholesale and retail trade; Transporting and storage; Accommodation and food service activities;Professional, scientific and technical activities; Arts, entertainment and recreation; Construction 4
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