Slide 1: Q1 January - March 2023
Q1 January - March 2023 May 4, 2023 HALDEN HIGH SCHOOL Halden 1
Slide 2: Further decline in housing investments
MARKET OUTLOOK Further decline in housing investments Started-up housing investments, new and renovations 2023 2024 2025 Sweden ↓ ↗ ↑ 2023 2024 2025 Norway ↓(↘) →(↗) ↗ 2023 2024 2025 Finland ↓(↘) → ↗ Source: Navet 2
Slide 3: Decline for other building construction, but Norway is up
MARKET OUTLOOK Decline for other building construction, but Norway is up Started-up other building construction investments, new and renovations 2023 2024 2025 Sweden ↘ →(↗) ↗ 2023 2024 2025 Norway ↑(↘) ↗ ↗ 2023 2024 2025 Finland ↓ ↗ ↗ Source: Navet 3
Slide 4: Civil engineering investments on a stable level
MARKET OUTLOOK Civil engineering investments on a stable level Civil engineering investments 2023 2024 2025 Sweden ↘ ↗(→) ↗ 2023 2024 2025 Norway ↗(→) ↗(→) → 2023 2024 2025 Finland → ↗(→) → Source: Navet 4
Slide 5: Downgraded market forecast, Norway exception
MARKET OUTLOOK Downgraded market forecast, Norway exception Total construction and civil engineering investments, new and renovations 2023 2024 2025 Sweden ↓(↘) ↗(→) ↗ 2023 2024 2025 Norway ↗(↘) ↗ ↗ 2023 2024 2025 Finland ↓(↘) →(↗) ↗ Source: Navet 5
Slide 6: Business area Construction
Business area Construction SOLNA SWIMMING POOL Solna 6
Slide 7: Business area Construction
Business area Construction Jan-Mar Jan-Mar Apr 2022- Jan-Dec MSEK 2023 2022 Mar 2023 2022 Net sales 7,422 6,735 29,686 28,999 Operating profit 162 160 631 629 Operating margin, % 2.2 2.4 2.1 2.2 7
Slide 8: Lower level of orders received and order backlog
BUSINESS AREA CONSTRUCTION Lower level of orders received and order backlog Orders received, MSEK 12,000 Order backlog 10,000 9,561 8,000 7,029 6,088 8,225 5,995 6,926 8,490 6,321 26.6 BSEK (29.5) 6,000 4,804 4,000 2,000 0,000 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 Q123 BERGSGÅRD Halmstad 8
Slide 9: New assignments, not least from public customers
BUSINESS AREA CONSTRUCTION New assignments, not least from public customers Indoor swimming Police building Rental apartments Ice rink facility (448 MSEK) (146 MSEK) (114 MSEK) (265 MSEK) Malmö Nacka Stockholm Halmstad 9
Slide 10: Allocation per product area
BUSINESS AREA CONSTRUCTION Allocation per product area Net sales, rolling 12 months Order backlog, March 31, 2023 Housing Housing 9% 9% Construction Construction maintenance 7% maintenance 6% Sports facilities Sports facilities Industrial Industrial 12% 43% Offices 12% 42% Offices Logistics Logistic
Slide 11: Business area Civil Engineering
Business area Civil Engineering LILLA LIDINGÖ BRIDGE Lidingö 11
Slide 12: Business area Civil Engineering
Business area Civil Engineering Jan-Mar Jan-Mar Apr 2022- Jan-Dec MSEK 2023 2022 Mar 2023 2022 Net sales 3,328 3,083 15,210 14,965 Operating profit 59 53 500 494 Operating margin, % 1.8 1.7 3.3 3.3 12
Slide 13: Stable level of orders received, good order backlog
BUSINESS AREA CIVIL ENGINEERING Stable level of orders received, good order backlog Orders received, MSEK 6,000 4,980 Order backlog 5,000 4,608 4,375 4,442 4,000 3,612 3,583 3,016 2,904 15.1 BSEK (15.9) 3,000 2,618 2,000 1,000 0,000 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 Q123 HARGS HARBOUR Östhamma
Slide 14: Allocation per product area
BUSINESS AREA CIVIL ENGINEERING Allocation per product area Net sales, rolling 12 months Order backlog, March 31 2023 17% Operations and Operations and 29% maintenance 26% maintenance Energy Energy 36% 6% Streets and groundwork Streets and groundwork Ports and sea Ports and sea Industrial 9% Industr
Slide 15: Business area Industry
Business area Industry LJUNGBYHED AIRPORT Ljungby 15
Slide 16: Business area Industry
Business area Industry Jan-Mar Jan-Mar Apr 2022- Jan-Dec MSEK 2023 2022 Mar 2023 2022 Net sales 2,779 2,571 21,641 21,433 Operating profit -435 -396 708 747 Operating margin, % -15.7 -15.4 3.3 3.5 16
Slide 17: Allocation per product area
BUSINESS AREA INDUSTRY Allocation per product area Net sales, rolling 12 months 7% Paving 10% Concrete 8% Mineral Aggregates 49% Transportation and Machines 13% Rentals Construction System 13% 17
Slide 18: Lower level of orders received
BUSINESS AREA INDUSTRY Lower level of orders received Orders received, MSEK 4,500 4,000 3,835 Order backlog 3,614 3,302 6.1 3,500 2,999 3,127 3,000 2,689 2,500 2,255 2,212 BSEK (7.0) 2,012 2,000 1,500 1,000 0,500 0,000 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 Q123 18
Slide 19: More capital tied-up in investments and working capital
BUSINESS AREA INDUSTRY More capital tied-up in investments and working capital Capital employed and return on capital employed* 12,000 12% 10,807 10,957 10,807 10,762 9,764 10,000 9,388 9,266 9,376 10% 8,871 Return on capital 8,000 8% employed 6,000 6% 6.6 % (10.0) 4,000 4% 2,000 2% 0,000 0% Q121 Q2
Slide 20: Business area Project Development
Business area Project Development LEDVOLTEN Solna 20
Slide 21: Business area Project Development
Business area Project Development Jan-Mar Jan-Mar Apr 2022- Jan-Dec MSEK 2023 2022 Mar 2023 2022 Net sales 1,841 2,464 8,038 8,661 Operating profit 127 289 965 1,127 Operating margin, % 6.9 11.7 12.0 13.0 of which Housing Development 7.3 10.6 10.8 11.5 21
Slide 22: Low level of housing start-ups and sales
BUSINESS AREA PROJECT DEVELOPMENT Low level of housing start-ups and sales Jan-Mar Jan-Mar Apr 2022- Jan-Dec Number 2023 2022 Mar 2023 2022 Total number of housing start-ups 298¹ 724¹ 1,910 2,3362 of which tenant-owner associations, ownership 811 7241 1,167 1,8102 and residential limited companies
Slide 23: Production-started homes in the first quarter
BUSINESS AREA PROJECT DEVELOPMENT Production-started homes in the first quarter 45 apartments 86 apartments 40 apartments 91 apartments in Vänersborg in Västerås in Gothenburg in Malmö Brf Skeppsklockan Västra Vakten Kvibergs Sjöormen 23
Slide 24: Own housing development production
BUSINESS AREA PROJECT DEVELOPMENT Own housing development production Mar 31, Mar 31, Dec 31, Number 2023 2022 2022 Total number of homes under production 5,061 5,606 5,718 of which tenant-owner associations, ownership and 3,854 4,831 4,5392 residential limited companies of which in rental apartment
Slide 25: Ongoing property projects in Property Development
BUSINESS AREA PROJECT DEVELOPMENT Ongoing property projects in Property Development Total Recognized investment Rentable Degree Scheduled Level of Type of project Location value, at area, m2 rented, % completion completion, % MSEK completion, MSEK Office building Malmö 7,400 55 257 331 Q2 2023 78 Of
Slide 26: Increased investments and level of working capital
BUSINESS AREA PROJECT DEVELOPMENT Increased investments and level of working capital Capital employed and return on capital employed* 18,000 18% 16,226 16,000 15,632 16% 14,173 13,258 13,685 13,523 13,624 13,911 14,000 12,853 14% Return on capital 12,000 12% employed 10,000 10% 8,000 6,000 8% 6% 6.9
Slide 27: The Peab Group
The Peab Group 27
Slide 28: Segment reporting
THE GROUP Segment reporting Jan-Mar Jan-Mar Apr 2022- Jan-Dec MSEK 2023 2022 Mar 2023 2022 Net sales 12,690 12,544 63,281 63,135 Operating profit -156 10 2,575 2,741 Operating margin, % -1.2 0.1 4.1 4.3 28
Slide 29: Good presence in the Nordic region
THE GROUP Good presence in the Nordic region Net sales, rolling 12 months 70% 15% (15) 13% (71) (13) 2% (1) 29
Slide 30: The share of public customers increases
THE GROUP The share of public customers increases Net sales, rolling 12 months 44% Public customers 56% (41) Private customers (59) GLÖSTORPS SCHOOL Göteborg 30
Slide 31: Order backlog with good risk diversification
THE GROUP Order backlog with good risk diversification Orders received Order backlog Share of projects under MSEK 500 11.0 44.6 82% BSEK (15.4) BSEK (50.0) (89) 31
Slide 32: Good level of order backlog
THE GROUP Good level of order backlog Order backlog allocated over time, MSEK 35,000 30,000 29,208 25,984 42% 25,000 20,000 15,175 15,000 12,412 after current financial year 10,000 5,765 6,200 (42) 5,000 0,000 Current financial year Coming financial year Thereafter Mar 31, 2022 Mar 31, 2023 32
Slide 33: Cash flow affected by season, investments and working capital
THE GROUP Cash flow affected by season, investments and working capital Cash flow before financing, MSEK 3000 2,465 2500 2000 1500 1000 781 805 500 0 -108 -97 -500 -323 -1000 -897 -908 -1500 -1,540 -2000 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 Q123 33
Slide 34: Net debt affected by investments and working capital
THE GROUP Net debt affected by investments and working capital Net debt and net debt/equity ratio 9,000 0,6 8,000 0,5 7,000 2,612 Net debt 6,000 2,209 0,4 1,573 5,000 4,000 0,968 0,968 0,947 1,705 0,3 8.0 BSEK (3.0) 3,000 0,2 5,372 4,456 0,947 0,958 4,628 4,690 2,000 4,118 3,077 3,514 0,1 1,000 1,46
Slide 35: Target checkpoint
Target checkpoint
Slide 36: 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 Operating margin Most profitable Leader in social Carbon dioxide Carbon dioxide intensity company >6 % responsibilt
Slide 37: Operating margin over 6 percent
MOST PROFITABLE COMPANY Operating margin over 6 percent Operating margin, Group 7 6.2 Target: 6% 6 5.2 4.8 4.9 4.7 5 4.4 4.5 4.3 4.1 4 3 2.3 2 1 0 *Operating margin exclusive effect of the distribution of Annehem Fastigheter of MSEK 952. Years 2015-2018 are not translated according to the changed a
Slide 38: 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 0.6 0.5 0.5 Target: 0.3-0.7 0,4 0.4 0.0 0.3 0,2 0.2 0.2 0.1 0,0 Years 2015-2018 are not translated according to the changed accounting principles for our own housing development projects 3
Slide 39: Zero vision for workplace accidents
BEST WORKPLACE Zero vision for workplace accidents Serious accidents, rolling 12 months, category 4 60 48 48 49 54 50 39 40 34 36 33 Target: 32 32 30 30 30 30 28 27 30 Contracting 25 20 trend 18 18 20 18 19 18 20 16 16 14 23 21 21 18 19 19 10 10 14 14 14 14 11 0 2020 2021 2022 2023 Jan Mar Jun Sep D
Slide 40: The divided market trend continues
JAN-MAR 2023 The divided market trend continues • First quarter affected by season • The trend with an ever weaker housing market continues. Investments connected to the public sector on a stable level • Further downgraded market outlook for 2023 • Lower level of orders received but order backlog on
Slide 41: Next report: Second quarter 2023
Q2 Next report: Second quarter 2023 July 14, 2023 41
Slide 42: Thank you!
Thank you! =PEAB=