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48 SAAB ANNUAL REPORT 2011
ADMINISTRATION REPORT > FINANCIAL INFORMATION
FINANCIAL REVIEW 2011
Saab AB (publ.), corporate identity number 556036-0793, with its
registered address in Linköping, Sweden. e address of the com-
pany’s head oce is Gustavslundsvägen 42, Stockholm, with the
mailing address Box 12062, SE-102 22 Stockholm, Sweden, and the
telephone number +46 8 463 00 00.
Saab has been listed on NASDAQ OMX Stockholm since 1998
and on the Large Cap list since October 2006. e principal owner
is Investor AB, with 30 per cent of the shares, corresponding to
40.8 per cent of the votes. e total number of shares in the com-
pany is 109,150,344, distributed between 1,907,123 Series A shares
with ten votes each and 107,243,221 Series B shares with one vote
each. At year-end, a total of 3,818,386 Series B shares had been
repurchased to guarantee the Group’s various share matching plans.
e repurchased shares are held as treasury shares.
In accordance with the Swedish Annual Accounts Act, Saab has
prepared a corporate governance report separate from the annual
report. It can be found in this document on pages 134-143. e cor-
porate governance report contains the Board of Directors’ report on
internal control of nancial reporting, which includes information
for both the Parent Company and the Group. See pages 139-140 in
this document.
Operations
As one of the world’s leading high technology companies, Saab
oers products, solutions and services for military defence and civil
security. In 2011, we had customers in over 100 countries, while
research and development are principally carried out in Sweden.
We are primarily active in Europe, South Africa, Australia and the
US. Saab is organised in six business areas: Aeronautics, Dynam-
ics, Electronic Defence Systems, Security and Defence Solutions,
Support and Services, and Combitech. Combitech, which provides
consulting services, is an independent, wholly owned subsidiary of
Saab and is reported as a business segment.
In addition to the business areas, Corporate comprises Group
sta and departments and secondary operations. It also includes
the leasing eet of Saab 340 and Saab 2000 aircra.
Long-term financial objectives
e long-term nancial goals as of 2011 consist of goals for organic
sales growth, operating margin aer depreciation and amortisation
(EBIT) and the equity/assets ratio.
LONG-TERM FINANCIAL GOAL PERFORMANCE IN 2011
Growth
Goal: Our organic sales growth will average 5 per cent per year over
a business cycle.
Result 2011: In 2011, organic sales growth was -4 per cent (-1).
Sales decreased compared to 2010 as a result of lower activity
levels in major projects and the challenging business climate in
South Africa.
Operating margin
Goal: We have a margin goal formulated as an average over a busi-
ness cycle. e operating margin aer depreciation/amortisation
will be at least 10 per cent.
Result 2011: e operating margin aer depreciation/amortisation
(EBIT) in 2011 was 12.5 per cent (4.0).
Operating income in 2011 included capital gains of MSEK 1,169.
It also included structural costs for Saab Sensis totalling MSEK 27
and costs related to the acquisition process of Sensis of MSEK 25.
In 2010, operating income was impacted negatively by structural
costs and other non-recurring items of MSEK 616 and capital gains
of MSEK 14.
Equity/assets ratio
Goal: Our goal is an equity/assets ratio exceeding 30 per cent.
Result 2011: At year-end 2011, the equity/assets ratio was 41.1
per cent (39.1).
e equity/assets ratio increased as a result of stronger income
in 2011.
DIVIDEND AND DIVIDEND POLICY
Proposal for 2011 dividend and dividend policy
Saab’s long-term dividend objective is to distribute 20–40 per cent
of net income over a business cycle to shareholders.
For 2011, the Board of Directors proposes a dividend of
SEK4.50 per share (3.50). is would represent 21 per cent of net
income in 2011 (85).
OUTLOOK 2012
In 2012, we estimate that sales will increase slightly compared to 2011.
We expect the operating margin in 2012, excluding material
net capital gains, to be in line with the operating margin in 2011,
excluding material net capital gains, of 7.5 per cent.