Global metal recycling firm Sims Metal Management has announced that it is embarking on a five-year strategic plan to increase earnings before interest and tax (EBIT).
The announcement comes after new group chief executive Galdino Claro (pictured) completed a strategic review of the company’s global operating portfolio.
Claro said: “We have completed a comprehensive review of the global operations of Sims Metal Management and developed a plan which will significantly improve operational performance and earnings, without relying on external cyclical recovery or acquisitions.”
He said that Sims’ plan was made up of “streamlining, optimising and growth” and added that restructuring measures introduced in June, which included the cutting of some WEEE operations in the UK, were already showing “initial benefits”.
Claro added that the company would not be making any more “significant restructuring changes”.
The plan will generate $32m (£18.8m) in EBIT benefits, with 50% set to be achieved over the course of 2015 and fully realised the following year.
Claro said: Our renewed focus on supplier relationships, logistics, operational efficiencies and product quality will allow us to better take advantage of the opportunities in the market over the long term. This is a new Sims Metal Management where, as the leader in our industry, we are about to start leading.”