Slide 1: Q3 January - September 2022
Q3 January - September 2022 October 28, 2022 RÅSUNDA SQUARE Solna 1
Slide 2: Decline in housing investments
MARKET OUTLOOK Decline in housing investments Started-up housing investments, new and renovations 2022 2023 2024 Sweden ↘ ↓(↘) →(↗) 2022 2023 2024 Norway → ↘ → 2022 2023 2024 Finland ↘ →(↘) ↗ Source: Navet 2
Slide 3: Decline also in other building construction
MARKET OUTLOOK Decline also in other building construction Started-up other building construction investments, new and renovations 2022 2023 2024 Sweden → ↘ ↗ 2022 2023 2024 Norway ↗(↑) ↘(↗) → 2022 2023 2024 Finland ↘ → ↗ Source: Navet 3
Slide 4: Civil engineering investments on a continued high level
MARKET OUTLOOK Civil engineering investments on a continued high level Civil engineering investments 2022 2023 2024 Sweden →(↗) ↗(↘) → 2022 2023 2024 Norway ↑ → → 2022 2023 2024 Finland → → → Source: Navet 4
Slide 5: Diminished market forecast
MARKET OUTLOOK Diminished market forecast Total construction and civil engineering investments, new and renovations 2022 2023 2024 Sweden ↘(→) ↘ ↗ 2022 2023 2024 Norway ↗ → → 2022 2023 2024 Finland ↘ → ↗(→) Source: Navet 5
Slide 6: Continued good management
Continued good management • Continued good management of cost increases in energy and input goods • Cost increases contribute to higher net sales • Costs not fully compensated • Operating margin slightly diluted • Our local business model reduces our vulnerability ULLS HUS Uppsala
Slide 7: Business area Construction
Business area Construction RØDTINDHALLEN Tromsø 7
Slide 8: Business area Construction
Business area Construction Jul-Sep Jul-Sep Oct 2021- Jan-Dec MSEK 2022 2021 Sep 2022 2021 Net sales 6,306 5,989 28,816 26,980 Operating profit 126 164 672 711 Operating margin, % 2.0 2.7 2.3 2.6 8
Slide 9: High level of orders received and order backlog
BUSINESS AREA CONSTRUCTION High level of orders received and order backlog Orders received, MSEK 12,000 Order backlog 10,000 9,561 8,000 6,259 6,620 7,029 6,088 8,225 5,995 6,926 8,490 31.1 BSEK (28.7) 6,000 4,000 2,000 0,000 Q320 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 CENTRUMHUSET Norrahammar 9
Slide 10: Good variation in type of product and geography
BUSINESS AREA CONSTRUCTION Good variation in type of product and geography New Rebuilding of the New swimming pool New transformer building for Sture area facility station long stay hotel (2 000 MSEK) (216 MSEK) (169 MNOK) (46 MEUR) Stockholm Malung Nordreisa Espoo 10
Slide 11: Allocation per product area
BUSINESS AREA CONSTRUCTION Allocation per product area Net sales, rolling 12 months Order backlog, September 30, 2022 9% 9% Housing Housing 6% 7% Construction maintenance Construction maintenance Sports facilities Sports facilities 11% 42% Industrial Industrial Offices 12% 46% Offices Logistics Logi
Slide 12: Business area Civil Engineering
Business area Civil Engineering RAILROAD Högdalen 12
Slide 13: Business area Civil Engineering
Business area Civil Engineering Jul-Sep Jul-Sep Oct 2021- Jan-Dec MSEK 2022 2021 Sep 2022 2021 Net sales 3,584 3,285 14,622 14,180 Operating profit 118 109 483 471 Operating margin, % 3.3 3.3 3.3 3.3 13
Slide 14: Stable level of orders received and high order backlog
BUSINESS AREA CIVIL ENGINEERING Stable level of orders received and high order backlog Orders received, MSEK 6,000 4,980 Order backlog 5,000 4,608 4,375 4,000 3,100 3,612 3,583 3,016 15.5 BSEK (15.1) 3,000 2,724 2,618 2,000 1,000 0,000 Q320 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 HARG’S HARBOUR Östh
Slide 15: Allocation per product area
BUSINESS AREA CIVIL ENGINEERING Allocation per product area Net sales, rolling 12 months Order backlog, September 30, 2022 17% Operations and 23% Operations and 28% maintenance maintenance Energy Energy 7% 40% Streets and groundwork Streets and groundwork Ports and sea Ports and sea 8% 6% Industrial
Slide 16: Business area Industry
Business area Industry SWEROCK’S ELECTRIC CONCRETE TRUCK Stockholm 16
Slide 17: Business area Industry
Business area Industry Jul-Sep Jul-Sep Oct 2021- Jan-Dec MSEK 2022 2021 Sep 2022 2021 Net sales 7,096 6,198 20,913 18,787 Operating profit 519 576 884 938 Operating margin, % 7.3 9.3 4.2 5.0 17
Slide 18: Allocation per product area
BUSINESS AREA INDUSTRY Allocation per product area Net sales, rolling 12 months 7% (6) (11) 10% (11) Paving (9) Concrete (48) 8% (9) 49% (48) Mineral Aggregates 13% (14) Transportation and Machines 13% (12) HIGWAY 15 Osby 18
Slide 19: Stable level of orders received and order backlog
BUSINESS AREA INDUSTRY Stable level of orders received and order backlog Orders received, MSEK 4,500 4,000 3,835 Order backlog 3,614 3,302 4.3 3,500 2,999 3,000 2,816 2,500 2,175 2,255 2,212 BSEK (4.4) 2,012 2,000 1,500 1,000 0,500 0,000 Q320 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 ASPHALT PLANT Lah
Slide 20: More tied-up capital in working capital
BUSINESS AREA INDUSTRY More tied-up capital in working capital Capital employed and return on capital employed* 12,000 14% 10,807 10,957 9,529 9,764 12% 10,000 9,388 9,266 9,376 8,822 8,871 10% Return on capital 8,000 employed 8% 6,000 6% 8.8 % (10.0) 4,000 4% 2,000 2% 0,000 0% Q320 Q420 Q121 Q221 Q
Slide 21: Business area Project Development
Business area Project Development GRANDKVARTALET LARVIK Larvik 21
Slide 22: Business area Project Development
Business area Project Development Jul-Sep Jul-Sep Oct 2021- Jan-Dec MSEK 2022 2021 Sep 2022 2021 Net sales 2,234 2,741 9,792 9,497 Operating profit 265 326 1,264 1,237 Operating margin, % 11.9 11.9 12.9 13.0 of which Housing Development 9.0 9.5 11.0 11.2 22
Slide 23: Fewer housing start-ups and sales
BUSINESS AREA PROJECT DEVELOPMENT Fewer housing start-ups and sales Jul-Sep Jul-Sep Oct 2021- Jan-Dec Number 2022 2021 Sep 2022 2021 Housing start-ups 428¹ 678¹ 2,575 3,020 Sold homes 257 747 2,348 3,047 Repurchased homes on the balance sheet 103 170 103 144 at the end of the period ¹Includes 56 (75
Slide 24: Examples of production-started homes
BUSINESS AREA PROJECT DEVELOPMENT Examples of production-started homes 106 apartments in 91 apartments in 91 apartments in 65 apartments in Partille Gothenburg Nacka Turku Brf Disponenten Turun Brf Östra Brf Celsius Station East Citygården 24
Slide 25: Housing Development after the third quarter
BUSINESS AREA PROJECT DEVELOPMENT Housing Development after the third quarter Number of homes Homes under in production construction sold 5,046 72% (4,487) (77) BRF LIMESTONE Klagshamn 25
Slide 26: Rentals on our own balance sheet
BUSINESS AREA PROJECT DEVELOPMENT Rentals on our own balance sheet Jul-Sep Jul-Sep Oct 2021- Jan-Dec Number of rentals 2022 2021 Sep 2022 2021 Production-started homes 42 - 630 676 Sold homes - - - 91 Converted to tenant-owner 56 75 292 426 associations Totalt number of homes in production, at the e
Slide 27: Total number of homes in production
BUSINESS AREA PROJECT DEVELOPMENT Total number of homes in production Number per September 30, of which sold 2022 Tenant-owner associations, ownership and 5,046 72 % residential limited companies Rentals 1,061 88 % Total number in 6,107 75 % production 27
Slide 28: Ongoing property projects in Property Development
BUSINESS AREA PROJECT DEVELOPMENT Ongoing property projects in Property Development Total Recognized investment Rentable Degree Timepoint of Level of Type of project Location value, at area, m2 rented, % completion completion, % MSEK completion, MSEK Warehouse Trollhättan 3,900 100 47 51 Q4-2022 92
Slide 29: Stable level of capital employed and returns
BUSINESS AREA PROJECT DEVELOPMENT Stable level of capital employed and returns Capital employed and return on capital employed* 16,000 18% 14,173 13,685 13,523 13,624 13,911 16% 14,000 13,174 12,853 13,258 12,189 14% 12,000 Return on capital 12% employed 10,000 10% 8,000 6,000 8% 6% 9.6 % (15.8) 4,0
Slide 30: The Peab Group
The Peab Group OSEBAKKEN PARK Porsgrunn 30
Slide 31: Segment reporting
THE GROUP Segment reporting Jul-Sep Jul-Sep Oct 2021- Jan-Dec MSEK 2022 2021 Sep 2022 2021 Net sales 16,685 16,121 63,607 60,026 Operating profit 993 1,101 3,134 3,098 Operating margin, % 6.0 6.8 4.9 5.2 31
Slide 32: Large presence in the Nordic region
THE GROUP Large presence in the Nordic region Net sales, rolling 12 months 71% 14% (17) 13% (70) (12) 2% (1) 32
Slide 33: Large portion of public customers
THE GROUP Large portion of public customers Net sales, rolling 12 months 41% Public customers 59% (46) Private customers (54) GLÖSTORP SCHOOL Gothenbourg 33
Slide 34: High level of orders received and good risk diversification
THE GROUP High level of orders received and good risk diversification Orders received Order backlog Share of projects under MSEK 500 13.1 48.8 82% BSEK (13.7) BSEK (46.3) (86) BRF DOCKPORTEN Malmö 34
Slide 35: High level of order backlog
THE GROUP High level of order backlog Order backlog allocated over time, MSEK 30,000 25,000 23,883 24,422 20,000 15,000 11,86011,432 7,037 9,187 77%after current 10,000 financial year (74) 5,000 0,000 Current financial year Coming financial year Thereafter Sep 30, 2021 Sep 30, 2022 35
Slide 36: Cash flow affected by seasonal patterns
THE GROUP Cash flow affected by seasonal patterns Cash flow before financing, MSEK 3,000 2,465 2,500 2,000 1,683 1,763 1,500 1,000 781 805 0,500 0,000 -108 -97 -0,500 -323 -1,000 -1,500 -1,540 -2,000 Q320 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 36
Slide 37: Net debt affected by more tied-up working capital and repurchase of own shares
THE GROUP Net debt affected by more tied-up working capital and repurchase of own shares Net debt and net debt/equity ratio 7,000 0,6 6,000 0,5 1,705 5,000 1,404 968 1,768 0,4 Net debt 4,000 968 3,000 4,376 1,055 0,968 4,456 958 4,628 0,3 0,2 5.9 BSEK (4.5) 2,000 947 4,118 3,514 2,818 3,077 1,000 0,
Slide 38: Target checkpoint
Target checkpoint 38
Slide 39: Four target areas, nine external targets
Four target areas, nine external targets Most satisfied Best workplace eNPS customers CSI always over benchmark always over 75 Zero vision Serious accidents Through a contracting trend Most profitable Operating margin Leader in social Carbon dioxide intensity Carbon dioxide intensity Input goods & c
Slide 40: Operating margin over six percent
MOST PROFITABLE COMPANY Operating margin over six percent Operating margin, Group 7 6.2 Target: 6% 6 5.2 4.8 4.9 4.9 5 4.7 4.4 4.5 4 3 2.3 2 1 0 2015 2016 2017 2018 2019 2020* 2021 2022 Q3** *Operating margin exclusive effect of the distribution of Annehem Fastigheter of MSEK 952. ** Based on rollin
Slide 41: Net debt/equity ratio within interval 0.3-0.7
MOST PROFITABLE COMPANY Net debt/equity ratio within interval 0.3-0.7 Net debt/equity ratio, Group 1,0 0,8 0,6 Target: 0.3-0.7 0,4 0,2 0,0 2015 2016 2017 2018 2019 2020 2021 2022 Q3 Years 2015-2018 are not translated according to the changed accounting principles for our own housing development pro
Slide 42: Zero vision for workplace accidents
BEST WORKPLACE Zero vision for workplace accidents Serious accidents, rolling 12 months, category 4 60 50 48 48 Target: Contracting trend 39 40 36 34 Target 2022: <28 32 32 30 30 30 30 28 27 25 20 18 18 20 18 19 18 20 16 16 14 23 21 18 19 10 10 14 14 14 14 11 0 2020 2021 2022 Jan Mar Jun Sep Dec Mar
Slide 43: Continued high net sales with stable profit
JAN-SEP 2022 Continued high net sales with stable profit • Continued rising in net sales • Continued good management of cost increases, although they are not fully compensated • Stable level of orders received and high order backlog • Significantly lower level of start-ups and sales of our own housi
Slide 44: Next report: Year-end report 2022
Q4 Next report: Year-end report 2022 February 3, 2023 44
Slide 45: Thank you!
Thank you! =PEAB=