Fortum Oyj Fundamental Company Report Including Financial, SWOT, Competitors and Industry Analysis

April 2024 | 50 pages | ID: F292937C17FBEN
BAC Reports

Abstracts

Fortum Oyj Fundamental Company Report provides a complete overview of the company’s affairs. All available data is presented in a comprehensive and easily accessed format. The report includes financial and SWOT information, industry analysis, opinions, estimates, plus annual and quarterly forecasts made by stock market experts. The report also enables direct comparison to be made between Fortum Oyj and its competitors. This provides our Clients with a clear understanding of Fortum Oyj position in the Industry.

• The report contains detailed information about Fortum Oyj that gives an unrivalled in-depth knowledge about internal business-environment of the company: data about the owners, senior executives, locations, subsidiaries, markets, products, and company history.
• Another part of the report is a SWOT-analysis carried out for Fortum Oyj. It involves specifying the objective of the company's business and identifies the different factors that are favorable and unfavorable to achieving that objective. SWOT-analysis helps to understand company’s strengths, weaknesses, opportunities, and possible threats against it.
• The Fortum Oyj financial analysis covers the income statement and ratio trend-charts with balance sheets and cash flows presented on an annual and quarterly basis. The report outlines the main financial ratios pertaining to profitability, margin analysis, asset turnover, credit ratios, and company’s long-term solvency. This sort of company's information will assist and strengthen your company’s decision-making processes.
• In the part that describes Fortum Oyj competitors and the industry in whole, the information about company's financial ratios is compared to those of its competitors and to the industry. The unique analysis of the market and company’s competitors along with detailed information about the internal and external factors affecting the relevant industry will help to manage your business environment. Your company’s business and sales activities will be boosted by gaining an insight into your competitors’ businesses.
• Also the report provides relevant news, an analysis of PR-activity, and stock price movements. The latter are correlated with pertinent news and press releases, and annual and quarterly forecasts are given by a variety of experts and market research firms. Such information creates your awareness about principal trends of Fortum Oyj business.

About Fortum Oyj

Fortum Oyj operates as an energy company in the Nordic region, including the Baltic Rim. Its activities cover the generation, distribution and sale of electricity and heat, the operation and maintenance of power plants, as well as energy-related services. The main products are electricity, heat and steam. The company has primary operations in Finland, Sweden and Norway. It operates in four segments: Power Generation, Heat, Distribution, and Markets.

Power Generation

The business area comprises power generation and sales in the Nordic countries and the provision of operation and maintenance services in the Nordic area and selected international markets. The Power Generation segment sells its production to Nord Pool. The segment includes business units Generation, Portfolio Management and Trading (PMT), and Service.

In January-March, the segment's power generation in the Nordic countries was 12.8 TWh, of which about 5.6 TWh or 44% was hydropower-based, 7.0 TWh or 55% nuclear power-based and 0.2 TWh or 1% thermal powerbased.

Heat

The business area comprises heat generation and sales in the Nordic countries and other parts of the Baltic Rim. Fortum is the major heat producer in the region. The segment also generates power in the combined heat and power plants (CHP) and sells it to end-customers mainly by long-term contracts, as well as to Nord Pool. The segment includes business units Heat and Varme.

In January-March, power sales at combined heat and power plants (CHP) totaled 1.6 TWh. Fortum acquired an 85% share of a Polish district heating company PESC Czestochowa, with annual sales of some 780 GWh.

Distribution

Fortum owns and operates distribution and regional networks and distributes electricity to a total of 1.4 million customers in Sweden, Finland, Norway and Estonia. As of March 31, 2005, the volume of distribution and regional transmissions totaled 7.2 TWh and 5.1 (5.2) TWh, respectively. Electricity transmissions via the regional distribution network to customers outside the company totaled 4.2 TWh in Sweden and 0.9 TWh in Finland.

Markets

Markets is responsible for retail sales of electricity to a total of 1.1 million private and business customers, as well as to other electricity retailers in Sweden, Finland and Norway. The company buys its electricity through Nord Pool.

Significant Events

On May 12, 2009, Fortum Oyj and Metso Corp. have partnered to explore oxyfuel combustion technology. Oxyfuel combustion is part of a technical concept which enables carbon capture in power and heat generation.

The company and Metso Corp. have agreed on collaboration to develop an electric concept car and the related recharging technology.

The company and Metsähallitus have jointly begun developing a wind power project in the Kuolavaara-Keulakkop area, located in the Kittil and Sodankyl municipalities in northern Finland.

On October 14, 2009, Fortum Oyj and Teollisuuden Voima Oy are collaborating with Siemens Energy in the field of carbon capture and storage. Siemens Energy was chosen as the capture technology partner for the FINNCAP-Meri-Pori Carbon Capture and Storage (CCS) project by the owners of Meri-Pori power plant, Fortum and TVO.

In November 2009, the company and ABB Ltd. started a joint development project to design and install Europe's first large-scale urban smart electricity grid in a new district in the city of Stockholm.

History

Fortum Oyj was founded in 1998.

The above Company Fundamental Report is a half-ready report and contents are subject to change.
It means that we have all necessary data in our database to prepare the report but need 2-3 days to complete it. During this time we are also updating the report with respect to the current moment. So, you can get all the most recent data available for the same price. Please note that preparation of additional types of analyses requires extra time.

Contents

RESEARCH METHODOLOGY

DISCLAIMER

1. FORTUM OYJ COMPANY PROFILE

1.1. Key facts
1.2. Financial Performance
1.3. Key Executives
1.4. Ownership and Major Holders
1.5. Company History

2. FORTUM OYJ BUSINESS OVERVIEW

2.1. Business Description
2.2. Major Products and Services
2.3. Markets and Sales Activities
2.4. Locations, Subsidiaries, Operating Units

3. FORTUM OYJ SWOT ANALYSIS

3.1. Overview
3.2. Strengths
3.3. Weaknesses
3.4. Opportunities
3.5. Threats

4. FORTUM OYJ FINANCIAL ANALYSIS

4.1. Financial Statements
4.1.1. Income Statement
4.1.2. Balance Sheet
4.1.3. Cash Flow
4.2. Financial Ratios
4.2.1. Profitability
4.2.2. Margin Analysis
4.2.3. Asset Turnover
4.2.4. Credit Ratios
4.2.5. Long-Term Solvency
4.2.6. Growth Over Prior Year
4.2.7. Financial Ratios Charts
4.3. Stock Market Snapshot

5. FORTUM OYJ COMPETITORS AND INDUSTRY ANALYSIS

5.1. Fortum Oyj Direct Competitors
5.2. Comparison of Fortum Oyj and Direct Competitors Financial Ratios
5.3. Comparison of Fortum Oyj and Direct Competitors Stock Charts
5.4. Fortum Oyj Industry Analysis
5.4.1. Industry Snapshot
  5.4.2. Fortum Oyj Industry Position Analysis

6. FORTUM OYJ NEWS & EVENTS

6.1. News & PR Activity Analysis
6.2. IR Corporate News
6.3. Marketing News
6.4. Corporate Events

7. FORTUM OYJ EXPERTS REVIEW¹

7.1. Experts Consensus
7.2. Experts Revisions

8. FORTUM OYJ ENHANCED SWOT ANALYSIS²

9. FINLAND PESTEL ANALYSIS²

9.1. Political Factors
9.2. Economic Factors
9.3. Social Factors
9.4. Technological Factors
9.5. Environmental Factors
9.6. Legal Factors

10. FORTUM OYJ IFE, EFE, IE MATRICES²

10.1. Internal Factor Evaluation Matrix
10.2. External Factor Evaluation Matrix
10.3. Internal External Matrix

11. FORTUM OYJ PORTER FIVE FORCES ANALYSIS²

12. FORTUM OYJ VRIO ANALYSIS²

APPENDIX: RATIO DEFINITIONS

LIST OF FIGURES

Fortum Oyj Annual Revenues in Comparison with Cost of Goods Sold and Gross Profit
Profit Margin Chart
Operating Margin Chart
Return on Equity (ROE) Chart
Return on Assets (ROA) Chart
Debt to Equity Chart
Current Ratio Chart
Fortum Oyj 1-year Stock Charts
Fortum Oyj 5-year Stock Charts
Fortum Oyj vs. Main Indexes 1-year Stock Chart
Fortum Oyj vs. Direct Competitors 1-year Stock Charts
Fortum Oyj Article Density Chart

1 – Data availability depends on company’s security policy.
2 – These sections are available only when you purchase a report with appropriate additional types of analyses.
The complete financial data is available for publicly traded companies.

List Of Tables

LIST OF TABLES

Fortum Oyj Key Facts
Profitability
Management Effectiveness
Income Statement Key Figures
Balance Sheet Key Figures
Cash Flow Statement Key Figures
Financial Performance Abbreviation Guide
Fortum Oyj Key Executives
Fortum Oyj Major Shareholders
Fortum Oyj History
Fortum Oyj Products
Revenues by Segment
Revenues by Region
Fortum Oyj Offices and Representations
Fortum Oyj SWOT Analysis
Yearly Income Statement Including Trends
Income Statement Latest 4 Quarters Including Trends
Yearly Balance Sheet Including Trends
Balance Sheet Latest 4 Quarters Including Trends
Yearly Cash Flow Including Trends
Cash Flow Latest 4 Quarters Including Trends
Fortum Oyj Profitability Ratios
Margin Analysis Ratios
Asset Turnover Ratios
Credit Ratios
Long-Term Solvency Ratios
Financial Ratios Growth Over Prior Year
Fortum Oyj Capital Market Snapshot
Fortum Oyj Direct Competitors Key Facts
Direct Competitors Profitability Ratios
Direct Competitors Margin Analysis Ratios
Direct Competitors Asset Turnover Ratios
Direct Competitors Credit Ratios
Direct Competitors Long-Term Solvency Ratios
Industry Statistics
Fortum Oyj Industry Position
Company vs. Industry Income Statement Analysis
Company vs. Industry Balance Sheet Analysis
Company vs. Industry Cash Flow Analysis
Company vs. Industry Ratios Comparison
Fortum Oyj Consensus Recommendations¹
Analyst Recommendation Summary¹
Price Target Summary¹
Experts Recommendation Trends¹
Revenue Estimates Analysis¹
Earnings Estimates Analysis¹
Historical Surprises¹
Revenue Estimates Trend¹
Earnings Estimates Trend¹
Revenue Revisions¹

ANALYSIS FEATURES

SWOT Analysis

SWOT, which stands for Strengths, Weaknesses, Opportunities and Threats, is an analytical framework that identifies the internal and external factors that are favorable and unfavorable for a company.

Enhanced SWOT Analysis

Enhanced SWOT is a 3×3 grid that arranges strengths, weaknesses, opportunities and threats into one scheme:

• How to use the strengths to take advantage of the opportunities?
• How to use the strengths to reduce likelihood and impact of the threats?
• How to overcome the weaknesses that obstruct taking advantage of the opportunities?
• How to overcome the weaknesses that can make the threats a reality?

Upon answering these questions a company can develop a project plan to improve its business performance.

PESTEL Analysis

PESTEL (also termed as PESTLE) is an ideal tool to strategically analyze what influence different outside factors – political, economic, sociocultural, technological, environmental and legal – exert on a business to later chart its long term targets.

Being part of the external analysis when carrying out a strategic assessment or performing a market study, PESTEL gives an overview of diverse macro-environmental factors that any company should thoughtfully consider. By perceiving these outside environments, businesses can maximally benefit from the opportunities while minimizing the threats to the organization.

Key Factors Examined by PESTEL Analysis:

• Political – What opportunities and pressures are brought by political bodies and what is the degree of public regulations’ impact on the business?
• Economic – What economic policies, trends and structures are expected to affect the organization, what is this influence’s degree?
• Sociological – What cultural and societal aspects will work upon the demand for the business’s products and operations?
• Technological – What impact do the technological aspects, innovations, incentives and barriers have on the organization?
• Environmental – What environmental and ecological facets, both locally and farther afield, are likely to predetermine the business?
• Legal – What laws and legislation will exert influence on the style the business is carried out?

IFE, EFE, IE Matrices

The Internal Factor Evaluation matrix (IFE matrix) is a strategic management tool helping audit or evaluate major weaknesses and strengths in a business’s functional areas. In addition, IFE matrix serves as a basis for identifying and assessing relationships amongst those areas. The IFE matrix is utilised in strategy formulation.

The External Factor Evaluation matrix (EFE matrix) is a tool of strategic management that is typically utilised to assess current market conditions. It is an ideal instrument for visualising and prioritising the threats and opportunities a firm is facing.

The essential difference between the above mentioned matrices lies in the type of factors incorporated in the model; whilst the latter is engaged in internal factors, the former deals exceptionally with external factors – those exposed to social, political, economic, legal, etc. external forces.

Being a continuation of the EFE matrix and IFE matrix models, the Internal External matrix (IE matrix) rests upon an investigation of external and internal business factors integrated into one suggestive model.

Porter Five Forces Analysis

The Porter’s five forces analysis studies the industry of operation and helps the company find new sources of competitive advantage. The analysis surveys an industry through five major questions:

1. What composes a threat of substitute products and services?
2. Is there a threat of new competitors entering the market?
3. What is the intensity of competitive rivalry?
4. How big is the bargaining power of buyers?
5. How significant is the bargaining power of suppliers?

VRIO Analysis

VRIO stands for Value, Rarity, Imitability, Organization. This analysis helps to evaluate all company’s resources and capabilities and bring them together into one aggregate table that includes:

• Tangible resources
  • Financial
  • Physical
  • Technological
  • Organizational
• Intangible resources
  • Human
  • Innovation and Creativity
  • Reputation
• Organizational capabilities

The result of the analysis gives a clear picture of company’s competitive and economic implications, answering the questions if the resources mentioned above are:

• Valuable?
• Rare?
• Costly to imitate?
• Organized properly?