Our business strategy builds on the idea of recycling waste back to material resources. In this circular economy, sustainable financial management becomes a crucial component.
We believe that our economic performance must take ecological limits into consideration, and that our financial performance rests on the very idea of preserving a healthy planet. In short, sustainable finance for Ragn-Sells indicates that economic profit goes hand in hand with a balanced ecosystem.
"Our financial performance rests on the very idea of preserving a sustainable planet."
Madeleine Ljunggren, CFO Ragn-Sells Group
During the late part of 2019, we saw a lot of interesting progress aimed at promoting sustainable financial flows. One prominent development was the political agreement adopted by the European Parliament for a green EU classification system. Circular economy is one of the six defined objects included in this framework. We warmly welcome this initiative and look forward to continuing our own investments in product development, production ability and sales improvement in order to further accelerate the circular movement.
A stable economic performance is a prerequisite for us to be able continue to develop our business in line with our strategy.
The operation behind our sustainable finance is divided in to three business areas working according to our general strategy and is broken down in business plans and effective target management. Each business area has clearly defined Key Performance Indicators (KPIs). Deviations from goal completion are reported to top management in the quarterly Business Review Meetings in order for an action plan to be set up, with continuous follow-up. An external management audit is conducted once every year.
In 2019, Ragn-Sells’ turnover was 6,409 MSEK, which indicates an increase of 206 MSEK, compared to 2018. Out of our total economic profit of 131 MSEK we divided 15 MSEK to our owners. In the table below, we display a complete list of our 2019 economic results.
Financially, 2019 has been yet another good year for Ragn-Sells’ markets with high volumes of material going into the treatment facilities. According to plan, we continued our journey towards a more sustainable future in 2020.
|DIRECT ECONOMIC VALUE GENERATED (MSEK)|
|Sum of direct economic value generated||6,432|
|DISTRIBUTED ECONOMIC VALUE|
|Suppliers and public sector*||-4,689|
|Sum of distributed value||-6,240|
|Profit from associated company||24|
|Providers of capital||-42|
|Divided to owners||-15|
Table showing: Direct economic value generated and distributed by Ragn-Sells Group 2019 (MSEK).
*Including duty rates such as waste tax, oil tax, electricity tax etc.