Morgan Advanced Materials lays out growth plans
The FTSE 250 company, which was holding its capital markets day, said in terms of organic revenue growth, it was aiming towards the upper end of its 4% to 7% per annum guidance range over the next four years through strategic investments.
It added that it was looking to achieve an attractive adjusted operating profit margin ranging between 12.5% and 15%, with a clear path towards the higher end of that spectrum.
The company was also aiming to sustain a robust return on invested capital (ROIC) in the range of 17% to 20%.
Additionally, Morgan Advanced Materials said it intended to maintain a prudent leverage range between 1.0x and 1.5x, or up to 2.0x adjusted EBITDA post-acquisition.
That approach would leverage the company's solid balance sheet to fund organic growth initiatives and strategic acquisitions.
At 1137 BST, shares in Morgan Advanced Materials were up 1.51% at 303p.
Reporting by Josh White for Sharecast.com.
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