Strategy and objectives
HES Beheer’s policy is aimed at retaining and expanding an important position as a handler of bulk products. These services comprise the transhipment, storage and processing of dry and liquid bulk products in the main Dutch seaports. HES also has a smaller storage and transhipment business for dry bulk products in the UK. At present, the work focuses heavily on dry bulk cargoes, with the energy market (primarily coal) as the main market segment. HES is still only a small player in the liquid bulk segment. Although the energy market will clearly grow in the coming years, HES aims to broaden its activities in order to become less dependent on certain product flows and to use opportunities to grow faster in the future. HES aims to be more strongly represented in the liquid bulk segment in the Netherlands, which closely matches its core activity since its formation 1908.
HES holds participating interests in the main independent Dutch stevedoring companies in the dry bulk segment. It also has a British associate. These associates must remain or become leaders in terms of efficiency, speed and quality. With the aid of investments in transhipment and storage equipment, they can continually improve their operating performance and further expand their activities. HES aims to reinforce its strong position in the dry bulk market, which remains promising and attractive, through acquisitions in the Netherlands and the UK, independently and/ or with partners. Where possible, the holdings in the existing associates will be increased. HES will respond to new goods flows and, if opportunities arise, is interested in developing new locations.
At present, HES is a marginal player in the liquid bulk segment. Through growing consumption of edible oils, mineral oils and bio fuels, this market presents attractive prospects. HES has aspirations to become an important player in this market, which will have to generate a substantial part of the growth and profitability in the future. The liquid bulk segment must become the second key pillar of HES’s business. The strong expansion of BTT should be seen as a first step in that direction. The ambitions must also materialise through the development of new terminals and the acquisition of new sites and companies in the Netherlands, with or without partners.
Other important policy points are:
- Promoting synergies between associates
- Optimising use of existing locations
- Investing in people and resources for further quality improvements.
All potentially attractive investments must meet certain requirements. The deciding factors are strategic considerations, risks, profitability and synergy.
HES Beheer exerts an influence on the policy of the underlying companies through shareholdings and supervisory directorships, with the aim of creating added value for the company concerned.
In 2009, the focus lay on cost control, limiting the diminution of revenue, improving operational performance, increasing efficiency and on projects, primarily in the liquid bulk segment.
The financial objectives are a return on shareholders’ equity of at least 15%, a capital ratio of at least 35% and annual growth of total results and earnings per share. Barring exceptional circumstances, the company intends to pay a dividend of 50% of the adjusted net result. This should make it possible to maintain a financially sound company with stable growth, which generates long-term shareholder value.