By Pierre Bertrand
Thyssenkrupp is set to reorganize its portfolio and merge business units with key technologies for industry decarbonization. The company will also launch a comprehensive performance program.
Decarbon Technologies Segment
Effective from October 1st, Thyssenkrupp Rothe Erde, Thyssenkrupp Nucera, Uhde, and Polysius will be integrated into the newly established Decarbon Technologies segment. This segment will boast approximately 15,000 employees. In fiscal year 2022, the combined units recorded sales of around €3 billion ($3.22 billion).
Restructuring Details
The newly appointed chief executive of Thyssenkrupp will oversee the operations of the Decarbon Technologies segment. Meanwhile, the Multi Tracks and Industrial Components segments will be dissolved. Following the restructuring, Thyssenkrupp will comprise the Automotive Technology, Decarbon Technologies, and Materials Services segments. The Steel Europe and Marine Systems units are still intended to be spun off as separate entities.
Apex Performance Program
Thyssenkrupp is embarking on a performance program called “Apex” in order to achieve the financial targets outlined during its capital markets day in December 2021. The company aims to achieve an adjusted earnings before interest and taxes (EBIT) margin of 4% to 6% in the medium term, along with a significantly positive free cash flow before mergers and acquisitions. Thyssenkrupp also plans to maintain a reliable dividend payment for its shareholders.
