Wärtsilä plans structural changes to streamline the marine customer offering and improve profitability

Wärtsilä Corporation, Press release 14 February 2023 at 10:00 UTC+2

Wärtsilä plans to further focus on end-to-end voyage optimisation and to move part of Voyage business activities to Portfolio Business

Following the announcement in October 2022, Wärtsilä has integrated the Voyage business into Wärtsilä Marine Power since the beginning of 2023 to strengthen its lifecycle offering and to accelerate the turnaround of Voyage business. Based on the now-completed Voyage strategy review, the Voyage offering is planned to be streamlined focusing on fleet and port optimisation and related simulation and training services. The planned business unit in formation, Voyage Services, will secure a strong strategic fit with Wärtsilä Marine Power.

A strengthened port-to-port voyage optimisation can further lower costs and reduce emissions in marine operations. Customers can benefit from Wärtsilä Marine Power’s unique set of capabilities to optimise vessel operations with port and traffic management and performance-based services for port-to-port operations. 

According to the plan, NACOS Navigation, NACOS Automation, Dynamic Positioning and sensors would be merged into a new business unit and moved to Wärtsilä Portfolio Business during April 2023. Wärtsilä Portfolio Business consists of business units, which are run independently with the aim of accelerating performance improvement and unlocking value through divestments or other strategic alternatives. Business continuity will be ensured, and current customer commitments will not be impacted. 

“We are committed to drive decarbonisation in the maritime industry and accelerate the turnaround of our former Voyage business. By combining digital capabilities with performance-based services, we plan to unlock synergies and offer our customers unique end-to-end solutions to optimise their vessel and port operations. The planned integration of these specific voyage offerings to our existing Marine Power portfolio will provide customers the strongest decarbonisation offering available,” says Roger Holm, President of Wärtsilä Marine Power.

Wärtsilä has initiated a formal process globally with a plan to reduce maximum of 300 positions in the current Voyage organisation, while at the same time opening approximately 150 new positions.

The business unit Marine Electrical Systems, currently part of the Marine Systems business, is planned to be moved to Portfolio Business

In addition to the strategy review of Voyage, Wärtsilä has continued to review the strategic fit of other business units in Wärtsilä. As an outcome, Marine Electrical Systems, focusing on electrical integration, is planned to be moved to Portfolio Business during April 2023.

“Marine Electrical Systems largely serves different markets and customers than the rest of Wärtsilä and has limited strategic fit with the rest of the group. Therefore, we believe that an independent set-up and potential new ownership will be the best way forward for Marine Electrical Systems to develop and create shareholder value. Business continuity will be ensured, and current customer commitments will not be impacted,” says Tamara de Gruyter, EVP of Marine Systems and Portfolio Business.

Wärtsilä will publish a restatement of financials according to new planned organisational structure later.

For further information, please contact:

Saara Smura 
Vice President, Corporate Communications
Communications & Branding
Wärtsilä Corporation
Tel: +358 50 363 5577

Wärtsilä in brief:
Wärtsilä is a global leader in innovative technologies and lifecycle solutions for the marine and energy markets. We emphasise innovation in sustainable technology and services to help our customers continuously improve their environmental and economic performance. Our dedicated and passionate team of 17,500 professionals in more than 240 locations in 79 countries shape the decarbonisation transformation of our industries across the globe. In 2022, Wärtsilä’s net sales totalled EUR 5.8 billion. Wärtsilä is listed on Nasdaq Helsinki.