Neles delivers mission-critical flow control innovations, technologies, and services for the continuously evolving needs of global process industries. We help our customers to improve their process performance and ensure the safe flow of materials. We drive profitable growth and sustainable productivity across our customer industries.

Neles Annual report

GRI Supplement

Highlights of 2020

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Sales 

MEUR 576 

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Employees

2,840 

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Adjusted EBITA

14.8% of sales

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100%

of R&D projects had set sustainability targets

Year 2020 in a nutshell

In our line of business, reliability is everything. We draw on our long heritage and knowhow to continuously develop and innovate solutions that redefine how process industries experience reliable flow control performance.

Watch the video and discover our key highlights of 2020.

Going forward with reliability

2020 was a period of great change for Neles. Reborn as an independent flow control company on July 1, 2020, we ensured an uninterrupted business transition and maintained profitability despite the challenging global situation. 

Exceptional year for business in a mixed market

We started the year with a strong order backlog and a positive business outlook, and we reacted quickly when the pandemic hit globally. From the start, our priority was to protect our employees and customer deliveries. We also took early resolute action to ensure profitability and cash generation in preparation for all scenarios.

Thanks to our proactive measures, we kept our profitability and cash flows at a good level despite the reduced orders and sales. Our adjusted EBITA for the full year was a solid 14.8% of sales.

Our new technology center in Jiaxing, China, started its operations in July and was fully operational throughout the second half of 2020.

We achieved remarkable results in our customer survey in 2020 as our customers gave us an overall Net Promoter Score (NPS) of 38, this is a significant improvement from last year’s score of 29. 

Strategy for profitable growth

Prior to the demerger, we defined the new strategy and financial targets for Neles, which were presented during our first, fully virtual Capital Markets Day in May. Our main ambition is to grow faster than the market by expanding our offering and diversifying the valves and valve controls businesses to new customer segments. We aim to do this while maintaining the best profitability.

With this solid foundation, we can continue ‘Reinventing Reliability’ together for a successful future.

From CEO's review

Customer success is our success

"After leading Neles team for a year, I started as the CEO of the company in July 2020. Before the world went into lockdown, I had the opportunity to visit several Neles locations around the world, meet hundreds of colleagues, and discuss their expectations, challenges and ideas. I was impressed by how dedicated our employees and channel partners are to our customers.

The feedback from our annual customer satisfaction survey echoed the same message: in addition to product quality, our customers strongly value the technical expertise and the never-walkaway mentality of our employees."

Olli Isotalo, President and CEO, Neles

Different views to 2020

CEO Olli Isotalo interviewed Simo Sääskilahti, CFO; Timi Nieminen, Director of Helsinki plant; and Rita Uotila, Head of Investor relations, to discuss the following themes:

  • CFO’s point of view to 2020 - including the key highlights and compliance
  • Operations point of view to 2020 - including the key challenges and how we tackled them
  • Investor point of view and first impressions as a valves business newbie

Reliable partner - sustainable solutions

Sustainability is integrated into everything we do. We do things efficiently and responsibly in terms of the environment, people and the economy. We are committed to the continuous improvement of safety and the goal of zero harm in all activities at our own and customers’ premises.

Our sustainability agenda is being integrated into our HSEQ management system, thus ensuring the consistency and efficiency of the implementation of our targets. We drive our targets for a brighter tomorrow in these three areas: Health and safety, Environment, Society and People.

Industries we serve

Neles offers valve and valve automation technologies and services to all process industries. Valves play an important role in our everyday lives, and they allow various industries to produce materials that keep our societies and infrastructures up and running. Wherever liquid or gas is moved in a pipe, there are valves involved.

Valves are used to secure safety in process plants or to regulate and control process flows in, e.g., pulp or bioproduct mills or oil refineries. The important role they play in the productivity and safety of process plants makes them mission-critical.

Read more about Neles

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