
7
Strategic report
Governance
Financial statements
As in previous years, the engagement
survey we conducted during the year
showed that we have a motivated
workforce, committed to delivering on
our goals. It remains the case that our
people are at the heart of Vesuvius.
Members of the Board had another busy
year, visiting sites in Belgium, the Czech
Republic, France, Japan, Mexico, Poland
and the USA, and the entire Board made
a week-long trip to China. It is during
these visits that the Directors can speak
firsthand with our people, holding ‘town
hall’ meetings, listening to their questions
and feedback, and taking the temperature
of the organisation, as well as engaging
directly with our customers and other
stakeholders on the ground.
Safety
The number one priority at Vesuvius is to
provide our employees with a safe place
to work, and we are proud of the steps we
have taken over the years to ensure safety
is at the core of everything we do. Although
we are pleased that our Lost Time Injury
Frequency Rate continued to reduce this
year to 0.52 per million hours worked, which
is another improvement in performance,
we are aware that there is always more
work to be done. Only the highest levels
of safety performance can be accepted.
Progress on our
sustainability objectives
The Group has set clear internal
operational targets around sustainability
performance, particularly in relation to our
CO
2
emissions and energy consumption.
Our focus on sustainability is increasingly
intertwined with our R&D capabilities,
where our research enables us to continue
to develop innovative and energy efficient
solutions for our customers. We continue
to deliver positive progress against these
objectives, whilst recognising that the
Group’s ambitions for diversity remain
challenging, and as yet unfulfilled.
A highlight of the year was the
inauguration of our first carbon-free major
manufacturing site, for Flow Control and
Advanced Refractories products in Brazil.
This shows clearly what we can achieve as
we focus on our CO
2
e intensity reduction
targets. We continue to take steps towards
reaching our target of a net zero carbon
footprint by 2050, and have identified
priorities, targets and milestones as we
progress on this journey.
The Board and governance
In 2024, we welcomed two new
Independent Non-Executive Directors
to the Board. Eva Lindqvist joined in May,
as Senior Independent Director, following
her election at the AGM. She has over
35 years of experience in global industrial
and service businesses, including senior
leadership roles at Ericsson and Telia, and
brings strategic insight and governance
expertise, having served on numerous
listed company boards. Then in June, we
were pleased to welcome Italia Boninelli to
the Board. An experienced HR executive
with extensive international exposure
across the mining, healthcare, and
financial services sectors, Italia’s expertise
will be invaluable in her role as Chair
of the Remuneration Committee.
This year we also saw Douglas Hurt step
down as Senior Independent Director and
Chair of the Audit Committee after nine
years of dedicated service, with Robert
MacLeod succeeding him in the latter role.
Similarly, Kath Durrant, who joined the
Board in 2020, stepped down in July as
Chair of the Remuneration Committee
having served three years on the Board.
On behalf of the Directors, I would like to
thank both Douglas and Kath for their
significant contributions, wise counsel
and steadfast commitment to Vesuvius
during their tenure.
Dividend
Vesuvius has a progressive dividend policy.
As a minimum we will maintain our
dividend per share year-on-year and
increase it, through the cycle, in line with
earnings per share growth. The Board
has recommended a final dividend of
16.4 pence per share, bringing the total
dividend for the year to 23.5 pence per
share, which is a 2.2% year-on-year
increase on the total dividend for 2023
of 23.0 pence per share. If approved
at the Annual General Meeting, this final
dividend will be paid on 6 June 2025
to shareholders on the register at
25 April 2025.
Following the successful completion of
our first share buyback programme
in 2024, we were pleased to launch
a new programme for a second tranche
of £50 million, which we anticipate
completing over the next three months.
This decision underscores our confidence
in the ongoing strength of Vesuvius’ free
cash flow generation and reaffirms our
commitment to return value to our
shareholders while maintaining
a strong balance sheet.
Annual General Meeting
The Annual General Meeting will be
held on 16 May 2025. The Notice of
Meeting and explanatory notes
containing details of the resolutions to
be put to the meeting accompany this
Annual Report and are available on
our website: www.vesuvius.com.
Looking ahead
Vesuvius remains steadfast in its
strategy for growth and is confident in the
long-term attractiveness of global steel
and foundry market fundamentals.
We are committed to executing our
strategic ambitions with a primary focus
on safety, driving innovation through our
dedicated R&D capabilities, and delivering
market-leading, technologically advanced
products and solutions. Alongside these
priorities, we will maintain a robust
financial framework that supports
continued investment in the business and,
where appropriate, targeted acquisitions.
While the year ahead may bring
economic, commercial and operational
challenges, we continue to deliver on
self-help measures that enhance our
resilience and position us to capitalise on
opportunities as end-markets improve.
With our talented people, advanced
products and industry expertise,
we are well placed to deliver long-term
value for our shareholders.
On behalf of the Board, I would like to
thank our shareholders, employees and
customers for their continued support,
and I look forward to reporting on
further successes in the coming year.
Carl-Peter Forster
Chairman
5 March 2025