We target improved financial performance. Our financials show increasing margins, a rising ROCE, strong cash flow and a strong balance sheet. We actively contribute to a more sustainable world.
Our financial targets reflect a step-up in operating performance supported by our new ways of working, triggering increased accountability, transparency speed in operating decisions
Our strong financial performance in 2021 showed that our “ABB Way” operating model, introduced in 2020, is the right one for our company. All of our four business areas contributed to the increased profitability. We also improved cash flow and strengthened our balance sheet.
With our 2030 sustainability strategy, we are actively enabling a low-carbon society as well as working with our customers and suppliers to implement sustainable practices across our value chain and the lifecycle of our products and solutions. We are equally committed to driving social progress, along with our suppliers and in our communities.
One year into ABB’s 2030 sustainability strategy, we are off to an excellent start in the pursuit of our ambitious targets as shown below. Additionally, compared with our baseline year of 2019, we have cut our greenhouse gas emissions by 39 percent and reduced lost time from injuries by 44 percent.
Alongside these headline achievements, we made strong progress in laying the foundations to embed sustainability across all of our Divisions as well as our value chain. Our 2030 GHG emissions reduction target was validated by the Science Based Targets initiative (SBTi) as being in line with the 1.5°C goal of the Paris Agreement. We also joined the SBTi’s Business Ambition for 1.5°C, an urgent call to action from a global coalition of United Nations agencies and business and industry leaders, in partnership with the “Race to Zero” campaign. Our participation in this initiative reinforces our longstanding support for the 10 core principles of the Global Compact, which covers human rights, labor, environment, anti-corruption and other societal goals.