Our targets

At Vattenfall we aspire to contribute to a sustainable energy system in all parts of the value chain.

Our goal is to be a truly customer-centric company as we transition towards a long-term sustainable production portfolio.

Strategic targets for 2025

Vattenfall’s targets are based on the five strategic focus areas that guide our strategic direction. Read more about our strategic focus areas

In 2020 Vattenfall set six strategic targets for 2025 for the Group.

Strategic focus area	Target for 2025	Outcome 2023 (2022)	Comments
Driving decarbonisation with our customers and partners
	+18 Customer engagement, Net Promoter Score (NPS)¹	+11 (+16)	Decrease in absolute NPS due to longer response times in customer services during the beginning of 2023.
Securing fossil-free energy supply
	≤ 86 gCO₂e/kWh CO₂ emissions intensity^{2, 3}	69⁴ (78)	Improvement due to lower fossil-based generation.
Conducting high-performing operations
	22%–27% Funds from operations (FFO)/adjusted net debt	21.5% (55.0%)	Below target interval as a result of lower underlying EBITDA, and the adjusted net debt mainly increased due to increased investments.
	8% Return On Capital Employed (ROCE)⁵	5.3% (4.2%)	Outcome below target due to lower electricity prices and also lower generation volumes from hydro power and lower availability from nuclear power. The negative price effects from the Continental hedging also had a negative impact.
Motivating and empowering our people
	≤1.0 Lost Time Injury Frequency (LTIF)⁶	1.5 (1.1)	Below target levels. Further actions required to enhance safety.
	75 Employee Engagement Index⁷	80 (80)	Outcome above target level after continued improved performance with more engaged employees.

Notes to strategic targets

^{1. NPS is a tool for measuring customer loyalty and for gaining an understanding of customers’ perceptions of Vattenfall’s products and services.}^{2. Including other greenhouse gases, such as N2O and SF6.}^{3. Direct emissions (Scope 1) and indirect emissions from purchased electricity and heat (Scope 2) as defined in the Greenhouse Gas Protocol standard.}^{4. Deviates from the preliminary reported value as communicated in the year-end report 2023.}^{5. The key ratio is based on EBIT and average capital employed.}^{6. Lost Time Injury Frequency (LTIF) is expressed in terms of the number of lost time work injuries (per 1 million hours worked), i.e. work-related accidents resulting in absence longer than one day, and accidents resulting in fatality. The ratio pertains only to Vattenfall employees.}^{7. Documentation for measurement of target achievement is derived from the results of the My Opinion employee survey, which is conducted on an annual basis.}

Financial targets

Vattenfall's owner has set three financial targets for the group.

Targets over a business cycle¹		Outcome 2023 (2022)	Comments
Profitability	≥8% Return on capital employed (ROCE)²	5.3% (4.2%)	Outcome below target due to lower electricity prices and also lower generation volumes from hydro power and lower availability from nuclear power. The negative price effects from the Continental hedging also had a negative impact.
Capital structure	22%–27% Funds from operations (FFO)/adjusted net debt	21.5% (55.0%)	Below target interval as a result of lower underlying EBITDA, and the adjusted net debt mainly increased due to increased investments.
Dividend policy	40%–70% Dividend: share of the year’s profit after tax	4.0 SEK billion³(4.0)	The Board of Directors has proposed a dividend of SEK 4 billion.