Inside information: F-Secure updates its medium-term financial targets and dividend policy

Inside information: F-Secure updates its medium-term financial targets and dividend policy

F-Secure Corporation’s Board of Directors has approved the company's updated medium-term financial targets and dividend policy, which will take effect immediately. The updated medium-term financial targets reflect the company’s growth ambitions and strategic direction. 2025 is still a business ramp-up year, after which the journey towards achieving the financial targets is expected to accelerate.

Updated medium-term financial targets of F-Secure

• Growth: High single digit growth (CAGR) with additional significant upside from major Tier 1 deals
• Profitability: Adjusted EBITA margin approaching 40% as revenue reaches EUR 200 million
• Dividend yield: Around or above 50% of net profit; which can be adjusted as long as leverage is higher than the targeted level
• Leverage: Net debt / adjusted EBITDA ratio below 2.5x, excluding temporary impact from acquisitions

Previous medium-term financial targets (by 2026)

• Growth: Total revenue of more than EUR 200 million by 2026
• Profitability: After initial growth investments, adjusted EBITA margin of above 42%
• Dividend yield: Around or above 50% of net profit on an annual basis
• Leverage: Net debt / adjusted EBITDA ratio below 2.5x, excluding temporary impact from acquisitions

F-Secure Corporation continues to follow the Rule of 40 metric as internal performance measurement and guiding principle, according to which the combined revenue growth rate and profitability margin should be equal to or greater than 40%.

“The acquisition of Lookout Life gave us the needed strength to better capture Tier 1 opportunities, setting the stage for future growth. Over the past year, F-Secure has undergone fundamental changes to build the necessary capabilities and focus on enhanced partner-centricity, developing our organizational set-up, and accelerating our commercial momentum. Now we have full focus on leveraging these capabilities and delivering future growth,” says Timo Laaksonen, CEO of F-Secure Corporation.

Investor Day

F-Secure hosts an Investor Day for analyst and investors on Wednesday, November 20, 2024, to provide deeper information on the company’s sales and product strategy and drivers for growth and profitability. For virtual participation, please register at https://fsecure.videosync.fi/investor-day-11-2024. A recording of the event and the presentation materials will be available after the event. The event will be held in English.

For more information:

Sari Somerkallio, Chief Financial Officer
tel. +358 40 3569251
[email protected]

F-Secure in Brief

F-Secure is Finland headquartered and globally operating consumer cyber security company. F-Secure offers award-winning security and privacy products and services that make every digital moment more secure, for everyone. F-Secure operates in over 100 countries, has ~200 Service Provider partners and is the global leader providing security through Communication Service Providers. F-Secure Corporation is listed on Nasdaq Helsinki Ltd. Read more: www.f-secure.com.