A year of progress

Kai Wärn, President and CEO

Husqvarna Group’s products are enabling performance in nature and its business has significant impact on the environment and on society. Thus, sustainability is being integrated into our operations because we regard it as a prerequisite for conducting profitable and responsible business, now and in the future.

During the year, top management has been involved in refining our sustainability strategy. We added divisional sustainability goals to embed sustainability into the new organizational structure. The next step is to develop Group-common sustainability goals which we plan to have finalized by mid-year 2016. Naturally, we aim at objectives and goals that are both measurable and inspirational and that are driving our contribution to getting a more sustainable world and yet feels feasible to achieve. In parallel, we have continued executing on actions related to previously defined goals.

The Group has the greatest environmental and social impact through innovating and manufacturing high quality products that help consumers and end-customers enhance their local environments. This is where we can make the biggest difference, and this is where we are – and for many years have been  – focusing our ambitions. Across our offering, we are focusing is on creating ergonomic and more energy-efficient products. A growing number of our products have lower fuel consumption and CO2 emissions compared to previous product generations, such as our handheld construction products, our robotic mowers and our battery-powered range of lawn mowers, blowers, trimmers and chainsaws. We want to make more end-customers aware of the advantages with battery-powered products, such as less noise and no emissions during use – advantages suitable for products being used in urban areas.

Husqvarna Group is also continuously improving its petrol-powered products. Husqvarna’s professional chainsaws have AutoTune™ with micro-processor control to regulate the flow of the fuel to the engine, optimizing performance and minimizing exhaust emissions. The X-TORQ® engine technology, reduces fuel consumption for two-stroke engines by up to 20 percent and exhaust emissions by 60 to 75 percent compared to a conventional engine.;

Connectivity will be part of changing the future and how we care for green spaces. With the help of connectivity, operators get guidance on how to perform tasks while staying on top of health and safety. It alert technicians about maintenance needs before there is a need for service, information that can be shared with a dealer to enable fast and accurate support. Husqvarna Fleet Services™ also allow landscaping management companies to plan and drive their businesses in a much more efficient way. In 2016 Gardena launches its new smart system for garden use. The Gardena smart sensor collects live data on soil moisture, outdoor temperatures and light intensity, making it easier for gardeners not only to plan when to mow or water their lawns and plants, but also to adapt to all weather conditions, thus making sure water is used as efficiently as possible.

To further enhance the benefits the Group can deliver the benefit of the Group, we must also understand our impacts and bring value right along the value chain. The Group aim to improve working conditions in the supply chain, provide a safe and attractive workplace for employees, realize shared objectives for our business partners, dealers and retailers, reduce negative impacts from our operations, and contribute to dealing with the challenges facing society. Through this holistic approach, Husqvarna Group can also deliver long-term investment returns for shareholders.

At every level of the organization, we are putting the processes in place to ensure that our operations are conducted sustainably. We strive to be a company that acts responsibly in respect of people, products and processes along our value chain. Husqvarna Group is a signatory to the UN Global Compact’s ten principles on human rights, labor, environment and anticorruption. We will continue our dedicated work to promote good workplaces, reduce negative operational environmental impacts and ensure responsible sourcing and good business ethics.

With a century of experience from innovating products that are caring for green spaces, we are prepared to continue pushing the industry in an ergonomic and sustainable way. I am also proud to say that our Group is prepared to embed sustainability in all aspects of conducting our business. Caring for all dimensions – economic, environmental, social and governance - might not be easy, but we are confident that we are on a path to contributing to a more sustainable society.

Stockholm, March 2016
Kai Wärn,

President and CEO

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