We have reached our full-year targets despite a difficult environment in 2014. Our revenues grew 7 per cent, mainly thanks to the consolidation of Invensys, and were up 1.4 per cent organically. Short-cycle businesses and services were the key growth drivers. Adjusted EBITA margin improved by 0.4 point at constant scope and FX, particularly thanks to a sustained high level of industrial productivity.
We did a major acquisition in 2014, Invensys, which reinforced our industrial automation and software capabilities and strengthened our positions in key electro-intensive segments. The integration of Invensys is well on track and creates significant opportunities for synergies with our Industry and Infrastructure businesses. We could consider bolt-on and value creating acquisitions in our core businesses, in areas of growth. We are also contemplating the potential disposal of non-core businesses, as we have done in the past with CST and the Appliance division of Invensys.
We continue to target a solid balance sheet in the long term, corresponding to an A- rating, with the flexibility to move to BBB+ on a temporary basis. We also intend to benefit from the historically low financing conditions to increase our debt maturity and lower our average cost of debt. Moreover, we commit to buy back shares for a total amount ranging from €1.0 to 1.5 billion in the next two years. We intend to give greater visibility to our shareholders by introducing a progressive dividend policy, with no year on year decline.
We target to grow 3 to 6 per cent organically per year on average through the cycle. We maintain our operational margin target range of 13 to 17% and our Return on Capital Employed (ROCE) target range of 11 to 15 per cent. We intend to maintain our focus on cost control. Our company has grown significantly in the past 10 years, with revenues almost tripling, and has become more complex. Our focus will therefore be on simplification and cost savings. Our goal over the next three years is to generate approximately €1 billion of supply chain productivity gains and €400 to 500 million of savings in support function costs, which we will partly reinvest in growth.
Address: B.P. 2037, ZIS LOT 206, Djibouti
Tel: 00253-21353083 Fax: 00253-21355258