tial prerequisite for us to achieve our strategic growth
targets. Should opportunities arise in the future that exceed
our expectations, this can help us strengthen our market
positions and open up new market segments. This can have
an additional positive impact on the achievement of our
strategic goals.
Synergies
The ALTANA Group is decentralized to a large extent. Still,
in some areas of the value-creation chain and in certain
management functions, central units support the divisions
and play a coordinating role. To the extent that we man-
age to push forward the networks within the Group more
strongly than expected, this may spawn further potential
to improve efficiency.
The Management Board’s Overall Statement
on the Anticipated Development of the
Group Including Its Overall View of the Risk
and Opportunity Situation
We assume that the coronavirus pandemic will be further contained
in 2021 and that the global economy will recover. In
this environment, we forecast operating sales growth for ALTANA
in the low to mid single-digit percentage range. The acquisitions
already agreed will give rise to additional sales growth. We
assume that pandemic-related one-time effects, which benefitted
earnings in 2020, will not be repeated in 2021, or at least
not to the same extent. Therefore, we expect lower earnings
profitability and a temporary weakening of the company’s value-
related key performance indicators compared to 2020.
We believe that the risk of negative impacts from a deterioration
or even recession in the global economy or important core
regions, in contrast with our expectations, continues to exist. In
addition, considerable risks to our short-term sales and earnings
performance are posed by the higher price volatility on the
raw-material markets, by short-term exchange-rate fluctuations,
and by impairments for intangible assets acquired within
the framework of acquisitions.
Overall, we have not found any risks that could endanger the
continued existence of the Group. The risks we face are set
against opportunities that could enable us to achieve sales and
earnings performance surpassing our forecasts.
84 Expected Developments