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According to ISS’ annual report 2021 the company’s financial results were in line with expectations. and the company says it is now turning to the next phase of its OneISS strategy.
Organic growth in 2021 was 2.0% (2020: (6.6)%) supported by solid demand for both portfolio and above-base services in Q4 2021. Operating margin before other items in 2021 was 2.5% compared to 0.5% adjusted for restructuring and one-offs in 2020. Free cash flow in 2021 amounted to DKK 1.7 billion (DKK (1.8) billion in 2020).
For 2022, organic growth is expected to be above 2%. The operating margin is expected to be above 3.5% driven by continued underlying business improvements and Free cash flow is expected above DKK 1.3 billion.
The company says commercial momentum has strengthened throughout 2021, and the pipeline is improving. ISS’ two largest contracts due to expire in 2022 have also been successfully extended.
It added that short-term turnaround initiatives continue to progress according to plan, and financial performance is on track to deliver on turnaround targets by the end of 2022.
The execution of the OneISS strategy continues to develop as planned. ISS says key milestones were achieved during 2021, and the foundation for the future execution of the operating model has been established. ISS is now turning to the next phase in the strategy execution with five updated strategic priorities.
A new IT & Digitalisation strategy and organisation have been introduced with the first early deliverables and applications introduced in the market. With the strategy, ISS says it will develop high-quality digital solutions for customers and employees, build scalable and secure cloud-based technology platforms, and run stable IT operations and services.
The company’s divestment programme is now nearing completion with the remaining programme consisting of two smaller business units and three countries. The expected total divestment proceeds of DKK 2 billion is unchanged, of which DKK 1.8 billion has been signed or completed.
Jacob Aarup-Andersen Group CEO, ISS A/S, commented: “2021 was an exciting year as the OneISS strategy came to life and progressed according to plan.
“Several key milestones were achieved with the divestment programme nearing completion, and we made solid operational and financial progress. Furthermore, we took significant steps in fulfilling our strategic ambitions with a sharper focus on key segments, investments in technology and a more aligned operating model.
“Despite another year in light of the pandemic, our many placemakers played a vital role in making the world work better – meeting our customers’ demands for dedicated services and improved solutions. ISS is well positioned for a Covid-19 recovery and to become an even stronger business in the future – to the benefit of all our stakeholders.”
FMJ in conjunction with Grundon Waste Management have launched the 2022 survey into how FMs approach their waste management and recycling responsibilities.
It’s the fifth year for the annual appraisal, and as we return to normal, there is a real opportunity for FMs to reappraise their waste and recycling operations and look at new, smarter waste management strategies.
In order to understand how FMs have navigated their way through the last year and their plans for meeting stringent waste and recycling targets we’ve posed a series of questions which include insights into FMs’ waste management strategy and targets, such as zero waste and landfill, the types of waste organisations produce and what helps FMs promote waste management in their organisations?
Please share your experiences and opinions on waste management. The survey will take just five minutes to complete, and as a thank you for taking part, respondents will be entered into a prize draw to win a £150 Amazon gift card.
To take part click here.
