In June 2021 we presented our .Grow strategy for 2021- 2024. It was a successor to the previous strategy called Orange.one which was successfully concluded in 2020 and which allowed us to reverse multi-year negative trends in sales and profitability and deliver turnaround.
We are well prepared for the future, with products that are demanded by customers, assets that support these products and a progressively more efficient cost structure.
Orange Polska is a strong leader in all key market segments. We are ready to exploit new opportunities and face future challenges.
The .Grow strategy is designed to stimulate and accelerate sales and profit growth, while laying the foundation for growth beyond 2024. Convergence remains a key growth lever on the consumer market, helping us gain and maintain customer trust and loyalty. The arrival of 5G will provide a new growth lever, adding an exciting dimension of connectivity for consumers and businesses. In this respect, we see ICT as a key growth driver in our B2B business.
As we manage the decline of our legacy business, we are adding new sources of profitable growth, including wholesale customers for our fibre and mobile networks. We will place selective bets on new and emerging trends and technology, knowing that not all will pay off, because we want to grow beyond 2024.
As part of .Grow, we are releasing our internal potential resulting from digital transformation. We are heading in the direction our customers expect, while improving our internal efficiency by leveraging more on big data and artificial intelligence.
Last but certainly not least, we are growing in social responsibility. We have set ourselves ambitious ESG goals, and our services put us in the ideal place both to help others reduce their environmental footprint and to ensure that no one is left behind.
In financial terms, with .Grow we embarked on a path of faster and more sustainable growth, based on solid foundations. EBITDAaL growth is to accelerate, driven by revenue expansion fuelled by commercial activity. It has proven to be a fundamental change from our previous strategy, when the turnaround – after years of decline – was generated by huge savings on indirect costs, while direct margin continued to fall. Our Capex structure will gradually evolve to incorporate a higher share of investments in mobile networks. However, we aim to keep eCapex at a steady annual level of PLN 1.7–1.9 billion on average over the period. This is how our business growth has begun to translate into increasing generation of cash flow. We will continue to share the benefits of this growth with our shareholders through the return to dividends.