Our targets

Vattenfall aims to contribute to a sustainable energy system in all parts of the value chain.

Vattenfall's goals are based on the five strategic focus areas that guide our strategic direction.

In 2020, six strategic goals were set for the group until 2025. Vattenfall is taking the next step to enable the fossil-free future that drives society forward by introducing updated strategic goals for 2030.
Strategic targets for 2025
Strategic targets for 2030

Vattenfall's financial targets are intended to ensure that we create value and generate a market rate of return, that our capital structure is efficient, and that financial risk is kept at a reasonable level.
Financial targets

Strategic targets for 2025

	Target for 2025	Outcome 2025	Comments
Driving decarbonisation with our customers and partners
	+18 Customer engagement, Net Promoter Score (NPS)¹	+19 (+15)	Increase in NPS mainly as a result of improvments in the German customer business.
Securing fossil-free energy supply
	≤ 86 gCO₂e/kWh CO₂e emissions intensity²	33 (50)	Improvement due to lower fossil-based generation, mainly due to divestment of the heat business in Berlin. For more information, see page 88 in the Annual and sustainability report.
Motivating and empowering our people
	≤1.0 Lost Time Injury Frequency (LTIF)³	1.7 (1.4)	The target was not achieved as the outcome exceeded the target level. Continued efforts to improve safety are underway. For more information, see page 111 in the Annual and sustainability report.
	≥ 75 Employee Engagement Index⁴	81 (82)	Outcome above target level after continued improved performance with more engaged employees. For more information, see page 28 in the Annual and sustainability report.
Conduct high-performing operations, target over a business cycle⁵
	≥ 25% Adjusted Funds from operations (FFO)/adjusted net debt⁶	53.4% (41.5%)	Above target interval and outcome in 2024 due to higher adjusted FFO as a result of higher underlying EBITDA.
	≥ 8% Return on capital employed (ROCE) excl. items affecting comparability⁷	10.2% (5.4%)	Outcome above target mainly due to an increase in the underlying operating profit. This is primarily a result of an improved development of price hedging in Vattenfall’s continental markets and an improved result from the nuclear power operations.

^{Figures in parentheses refer to 2024.}

^{1. NPS is a tool for measuring customer loyalty and for gaining an understanding of customers’ perceptions of Vattenfall’s products and services.}^{2. Includes CO₂ and other greenhouse gases such as N₂O and SF₆, as well as indirect emissions from electricity and heat use (Scope 2). The target for 2025 is to be on track to achieving the 1.5° C target by 2030, according to SBTi.}^{3. Lost Time Injury Frequency (LTIF) is expressed as the number of lost time work injuries (per 1 million hours worked), that is, work-related accidents resulting in absence longer than one day, and accidents resulting in fatality. The ratio pertains only to Vattenfall employees.}^{4. Documentation for measurement of target achievement is derived from the results of the My Opinion employee survey, which is conducted on an annual basis.}^{5. 5–7 years.}^{6. As of 2024, the outcome is reported according to the new definition of the capital structure target. The new definition is based on adjusted FFO excluding dividends attributable to non-controlling interests and adjusted net debt excludes margin calls.}^{7. The key ratio is based on underlying EBIT and average capital employed. More information on page 218 in the Annual andsustainability report.}

Strategic targets for 2030

	Target for 2030	Definition	Outcome 2025	Comments
Driving decarbonisation with our customers and partners
	+20 Customer engagement, Net Promoter Score (NPS)	NPS is a tool that measures customer loyalty and for gaining an understanding of customers’ perceptions of Vattenfall’s products and services.	+19	Increase in NPS (+15 in 2024) mainly as a result of improvements in the German customer business.
Securing a fossil-free energy supply
	18.2 Mt. Absolute CO₂eemissions (includes scope 1, 2 and 3)	Total absolute CO₂e emissions including Scope 1, 2 and 3, as covered by Vattenfalls 2040 net zero targets validated by SBTi.	23.2	Total emissions decreased compared with 2024, when they amounted to 24.6Mt. The reduction is mainly due to more fossil-free electricity sales in the Netherlands.
Conduct high-performing operations, target over a business cycle¹
	≥25% Adjusted funds from operations (FFO)/adjusted net debt	Capital structure metric based on proportional fund from operations excluding dividend attributable to non-controlling interests. Adjusted net debt is exclusing margin calls.	53.4%	Above target interval and outcome in 2024 due to higher FFO as a result of higher underlying EBITDA.
	≥8% Return on capital employed (ROCE) excl. items affecting comparability	Profitability metric based on underlying EBIT excluding items affecting comparability.	10.2%	Outcome above target mainly due to an increase in the underlying operating profit. This is primarily a result of an improved development of price hedging in Vattenfall’s continental markets and an improved result from the nuclear power operations.
Motivating and empowering our people
	<2,0 Total recordable injury frequency (TRIF+) with a zero fatality threshold²	Workplace safety metric that includes occupational fatal accidents, injuries resulting in lost workdays, accidents requiring medical treatment beyond first aid, and incidents that restrict people's ability to perform their regular duties.	3.5	High focus on actions in order to enhance safety. For more information see pages 111-112 in the Annual and sustainability report.
	86 Employee Engagement Index³	Employee engagement is measured as the degree of employees’ connection to their organisation, reflected in their commitment to achieving goals.	85	The outcome was at a high level and continued efforts to maintain and strengthen employee engagement are underway.
	40% Driving diverse leadership	Target that focuses on increasing female representation in leadership roles. This metric is measured by the Female Manager Ratio, which reflects progress toward gender diversity in leadership.	34	Outcome was unchanged compared with 2024 and continuous work ongoing to reach the target.

^{1. 5–7 years.}^{2. Per 1 million hours worked. This metric includes both Vattenfall employees and contractors. In case of fatality, this target can not be achieved.}^{3. 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 2025	Comments
Profitability	≥8% Return on capital employed (ROCE) excl. items affecting comparability²	10.2%	Outcome above target mainly due to an increase in the underlying operating profit. This is primarily a result of an improved development of price hedging in Vattenfall’s continental markets and an improved result from the nuclear power operations.
Capital structure	≥25% Adjusted funds from operations (FFO)/ adjusted net debt³	53.4%	Above e target interval and outcome in 2024 due to higher FFO as a result of higher underlying EBITDA.
Dividend policy	40%–70% Of adjusted net profit⁴	8.0 SEK billion	The Board of Directors has a dividend of SEK 8.0 billion, corresponding to 40% of the adjusted net profit.

^{1. 5–7 years.}^{2. Based on underlying EBIT exclusing items affecting comparability and average capital employed. More information on page 218 in the Annual and sustainability report.}^{3. Metric based on adjusted FFO excluding dividends attributable to non-controlling interests. Adjusted net debt is excluding margin calls.
4. Adjusted net profit is excluding fair values and return from nuclear waste fund. The dividend policy takes into account future developments
in capital structure and investment needs.}