Danish medical device maker Coloplast on Tuesday tempered its long-term growth forecast as it unveiled a new five-year strategy, dubbed "Impact4."
The company said it is targeting a compound annual organic revenue growth rate of 7-8% until its 2029/30 fiscal year.
The new target is a step down from the 8-10% long-term growth guidance the company provided in July 2023 after its acquisition of wound-care firm Kerecis.
Prior to that acquisition, under its "Strive25" strategy launched in 2020, Coloplast had aimed for 7-9% annual organic growth.
Alongside the revised sales target, Coloplast said it expects growth in absolute earnings before interest and taxes to be in line with or exceed revenue growth over the period.
The company also set a new goal for return on invested capital, targeting a rate of more than 20% by the end of the plan in fiscal 2029/30.
According to the company, the new financial ambitions assume overall market growth of 4-5% and a stable macroeconomic environment.
Coloplast also stated that its M&A strategy will focus on smaller, bolt-on acquisitions rather than significant deals during the five-year period.
The new strategy was presented to investors and analysts at the company's Capital Markets Day.
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Danish medical device maker Coloplast on Tuesday unveiled a new five-year strategy that tempers its long-term growth forecast.