Why Arbonia?

In addition to its ongoing efforts to create value for shareholders through its Climate and Doors Divisions, Arbonia AG is intensifying its efforts to increase transparency with regard to its sustainability performance as well as its corporate governance.

Sustainability Divisions

Market leadership in Central Europe for doors (wood and glass) and steel panel radiators as well as a strong challenger position in fast growing, sustainable heating & ventilation systems as an integrated systems provider.

With its two divisions, Climate and Doors, Arbonia AG has a market-leading position in its core markets in Central Europe. This applies to both Business Units of the new Doors Division, which, following the integration of the former Sanitary Equipment Division, consists of the two Business Units Wood and Glass Solutions. In the case of the Climate Division, this applies above all to the traditional products related to the Division's flat panel radiator business. The two divisions will continue to expand this strong market position and also significantly increase their market shares in the neighbouring target markets of Eastern Europe. In the Climate Division, the traditional products are joined by the area of sustainable and integrated growth products. In addition to ventilation solutions, these fast-growing products include heat generators such as the heat pump, but also underfloor heating systems, heat storage units and the new energy storage system.

Future-oriented product portfolio with growth products catering to mega trends as well as cash generating mature products.

Arbonia's product portfolio comprises, on the one hand, established or traditional products that generate significant cash flow and, on the other hand, growth products that are growing strongly and therefore still require investments. The first group (cash-flow generating mature products) mainly includes the flat panel radiators of the Climate Division as well as other radiators. The second group includes heat pumps, heat storage units, ventilation products such as air handling units or residential ventilation, underfloor heating and the newly developed energy storage unit, which will be launched in the calendar year 2022. The Doors Division and its doors and frames also generate an attractive cash flow. However, this is significantly dampened by the ongoing investment programme to increase production capacities, which will be completed by 2023, so that cash flow will increase significantly thereafter.

Arbonia addresses the persisting megatrends of urbanisation, energy efficiency and CO2 neutrality, as well as digitalisation and automation, both with its traditional and, above all, with its growth products.



Cost leadership through well-invested, highly automated production facilities, vertical integration and leading production footprint.

In recent years, Arbonia has invested significantly in the automation of its door and panel radiator production, laying the foundation for its cost leadership. Added to this were the plant relocations to consolidate production at a smaller number of well-utilised sites. These sites in Central and Eastern Europe have short distances and attractive cost structures and are therefore also in an optimal geographical location. 

In addition, Arbonia has also repeatedly invested in vertical integration and thus incorporated certain processes from the value chain, which on the one hand have had a positive impact on margins and on the other hand have also simplified processes. One example of this is the construction of an in-house painting line at RWD Schlatter in Roggwil (CH) or, most recently, the acquisition of GVG in Deggendorf (D), which supplies single-pane safety glass for the Glass Solutions Business Unit.    

Very positive market prospects for housing driven by urbanisation and old building stock, supported by European Green Deal.

Both residential construction and renovation have been able to catch up on a large part of their construction activity after the protective measures imposed during the pandemic. But also in the medium to long term, the (Central) European markets offer excellent prospects. On the one hand, there is the strong trend towards urbanisation, which applies to almost all countries and results in such a high demand for housing that new construction cannot keep up with it. Due to the high demand, craftsmen's capacities are so heavily utilised that renovation activity can hardly be increased either. As a result, the building stock in Europe continues to age and renovations have to be made up for as soon as the demand is reasonably met. At the same time, a large part of the building stock must be renovated, at least in terms of energy efficiency, so that the climate targets of the European states can be achieved. In Germany, for example, such a development is not foreseeable even in the medium term, because about 3 years' worth of housing completions (~ 750,000) are waiting for construction to begin.

In addition, there are the subsidies from the EU's Green Deal, which are being converted into national subsidy programmes and are supposed to at least double the renovation rate. 


Proven track record of our highly stock-incentivised management to execute the right investments to raise productivity and profitability - thus generating value for investors.

With the sale of the Windows Division, Arbonia's management has completed a transformation process that has taken around five years. Beginning with the first investments and the acquisition of Wertbau in 2015, through production consolidations and relocations to the sale of the division, a loss-making business unit was transformed into a profit-generating business unit. Including these investments, a value of more than CHF 350 million was created for the shareholders, which also includes Arbonia's senior management. In the case of the Board of Directors, 50% is paid in shares and the Executive Board receives 50% of its variable compensation in shares. In both cases, shareholders are subject to a vesting period of 4 years.

Currently (as of 31 December 2022), the shareholdings of the Board of Directors, group and senior management (also with a share component in the variable remuneration) amount to around 2.7% of the share capital. With this orientation, Arbonia ensures that the management creates value in the long-term interest of the shareholders.

Based on the growth initiatives of the two divisions and the economic environment, the Board of Directors, together with the Executive Board, has set the following targets, which were presented at the Capital Markets Day in 2021, updated in 2023 and are to be achieved by the 2026 financial year at the latest: 


Financial per CMD 2021 per CMD 2023
Annual organic growth (CAGR 2021 - 2026) > 5% p.a.

> 3.5% p.a. (> 5% p.a.) 1

Group EBITDA (excluding M&A) > CHF 200 M > CHF 170 M 2
Capex in % of net revenues (maintenance and growth) 4 - 5% < 4%
Cash Conversion Ratio (FCF in % of net profit) > 100% (as of 2024) > 100% (as of 2024)
Pay-out per CMD 2021 per CMD 2023
Annual dividend growth 15% (as of financial year 2022) 15% 3
Innovation per CMD 2021 per CMD 2023
Revenues from new products in % of total revenues
(over last three years)
> 20% > 20%
ESG per CMD 2021 per CMD 2023
CO2 reduction targets for Scope 1 & 2 emissions
based on the Science Based Targets initiative
Communication of targets in
Sustainability Report 2021
Avg. CO2 reduction of 4.2% 
per year (Scope 1 and 2)
Scope 3 emissions N.A. Reporting of relevant Scope 3
emissions as of 2023