Yit Oyj · OMXHEX:YIT
Yit Oyj — Shareholder Meeting (March 2018)
27 slides from Yit Oyj's shareholder meeting presentation, Mar 16, 2018
Slide 1: Annual General Meeting 2018
Annual General Meeting 2018 Kari Kauniskangas, President and CEO
Slide 2: Contents
Contents 1 Year 2017 in brief 2 Financial Statements 2017 3 The merger of YIT and Lemminkäinen 4 Outlook 2 Annual General Meeting, March 16, 2018
Slide 3: Year 2017 in brief
1 Year 2017 in brief Lauttis Shopping Centre Helsinki, Finland
Slide 4: Living services
Renewed strategy for 2017–2019: More life in sustainable cities INNOVATOR ANNUAL GROWTH FOR LIVING 5–10% in Housing Solutions for urban living e.g. affordable Living services apartments Renovation services Performance leap Higher value-add for customers e.g. hybrids, big infra, alliances GROWTH INNO
Slide 5: Key highlights in 2017
Key highlights in 2017 The successful Strong growth in Preparations for the completion and residential Earnings per share merger of YIT and sale of the consumer sales in (EPS) multiplied Lemminkäinen Kasarmikatu 21 Finland and CEE project 59.3% +37% 56.3 0.50 combined illustrative gearing adjusted o
Slide 6: Year 2017 was successful in many ways
Year 2017 was successful in many ways Financially strong year Strategic development programmes proceeded • Strong growth (+7%) and significant • The acquisition of Talon Tekniikka Oy improvement in adjusted operating supports growth in renovation services profit (+53%) (POC) • Multiple successful pi
Slide 7: Financial targets and the outcome in 2017
Financial targets and the outcome in 2017 • The revenue growth target Long-term financial target Target level 2017 2016 was achieved 5–10% annually on • Return on investment Revenue growth 7% 8% average strengthened significantly • Cash flow was strong Return on investment 15% 8.8% 4.7% • Equity rat
Slide 8: Financial Statements 2017
2 Financial Statements 2017 Stein II residential project Bratislava, Slovakia
Slide 9: Revenue and profitability improved in 2017
Group Revenue and profitability improved in 2017 • Revenue increased by 7% in 2017 • Profitability improved in all segments • Order backlog remained stable on a high level, the weight of Russia decreased Revenue and adjusted operating profit margin (EUR million, %) Order backlog (EUR million) +7% 2,
Slide 10: EBIT-bridge 2016 – 2017
EBIT-bridge 2016 – 2017 • Operating profit improved in all segments, growth boosted both by improved volume and profitability • In Housing Finland and CEE, operating profit was boosted by strong sales and shift from investor sales to consumer sales • In Housing Russia, the operating profit was posit
Slide 11: Cash flow and return on investment improved
Cash flow and return on investment improved • The positive development of operative cash flow was supported by the change in construction stage financing to meet market practice • Invested capital remained stable, the improvement of return on investment was supported by better capital turnover and h
Slide 12: Net debt and financial key figures
Net debt and financial key figures • Net debt decreased due to positive operating cash flow and change in construction stage financing to meet market practice • All key ratios were positively impacted by the decrease in net debt Interest-bearing debt (EUR million), IFRS Equity ratio and gearing, % 1
Slide 13: Proposal to AGM: Dividend of EUR 0.25 per share
Proposal to AGM: Dividend of EUR 0.25 per share Dividend / share (EUR) The proposed dividend would be EUR 31,453,802.25, 373% corresponding 55.6% of the net result 2017 (IFRS) and 50.0% of net profit 2017 (POC) which is in accordance with the long-term financial targets ** Considering the number of
Slide 14: The merger of YIT and Lemminkäinen
3 The merger of YIT and Lemminkäinen
Slide 15: Combined portfolio 2017 (IFRS)
Combined portfolio 2017 (IFRS) Geographic revenue split, 2017* (EUR million) Illustrative combined revenue splits 2017* FINLAND Paving Revenue: 2,650 Geographic split* Operational split* No of personnel: 5,847 Baltics, CEE Infrastructure Paving and and others projects maintenance SCANDINAVIA Housing
Slide 16: Combined income statement information (IFRS)
Combined income statement information (IFRS) IFRS 1–12/2017 1.1 - 31.3.2017 EUR million Combined YIT Lemminkäinen Combined YIT Lemminkäinen Revenue 3,841.0 1,993.8 1,847.2 692,5 452,2 240,3 Adjusted operating 152.2 105.6 46.6 -24,7 4,7 -29,5 profit Adjusted operating 4.0% 5.3% 2.5% -3,6 % 1,0 % -12,
Slide 17: YIT Group organisation as of February 1, 2018
YIT Group organisation as of February 1, 2018 President and CEO Kari Kauniskangas Urban Paving Infrastructure Business Partnership Housing Housing Russia development Heikki projects premises properties Finland Teemu Juha Kostiainen Vuorenmaa Harri Kailasalo Esa Neuvonen Esa Neuvonen and CEE Helppola
Slide 18: Group Management Team as of February 1, 2018
Group Management Team as of February 1, 2018 Kari Ilkka Salonen Jan Gustafsson Teemu Kauniskangas CFO EVP, Strategy and Helppolainen President and Deputy to CEO development EVP, Housing CEO Russia Antti Inkilä Harri Kailasalo Juha Kostiainen Esa Neuvonen EVP, Housing EVP, EVP, Urban EVP, Business Fi
Slide 19: Urban development boosts the growth of balanced business portfolio
Urban development boosts the growth of balanced business portfolio ASPECTS OF URBAN DEVELOPMENT Project development HOUSING Execution Ownership and services Urban INFRASTRUCTURE Development BUSINESS PROJECTS PREMISES PAVING PARTNER- SHIP PROPERTIES 19 Annual General Meeting, March 16, 2018
Slide 20: Synergy development to be disclosed starting from Q1 Interim Report
Synergy development to be disclosed starting from Q1 Interim Report Description • One top management and Group administration, savings from being one stock listed company • Lowered financing costs based on improved key figures Short-term • Harmonizing the IT systems and diminishing the number of sys
Slide 21: Outlook
4 Outlook
Slide 22: Market outlook stable in the next 12 months
Market outlook stable in the next 12 months Housing Finland and Housing Business Infrastructure Partnership CEE Russia premises projects Paving properties Finland Russia The CEE countries The Baltic countries The Czech Republic, Slovakia, Poland Scandinavia Sweden Norway Denmark Weakened outlook com
Slide 23: Outlook for 2018
Outlook for 2018 • Due to the merger of YIT and Lemminkäinen, YIT does not issue numerical guidance for the Group but is issuing a general outlook that describes future development instead. • YIT’s outlook is based on assumptions and the management’s estimates of the development of demand in the Gro
Slide 24: Highlights from past months
Highlights from past months • Significant tenancy agreements signed • 11,000 sq.m. office premises in Keilaniemi, Finland to Accountor • 11 000 sq.m. business premises in Otaniemi, Finland to the City of Espoo • The occupancy rate of the Mall of Tripla rose already to almost 70% • Won contracts (agr
Slide 25: Together we aim to be the leading urban developer in Northern Europe
Together we aim to be the leading urban developer in Northern Europe YIT: Vuorimiehenkatu 1, YIT: the conversion of Jugendstill Renovation of the YIT: building on premium housing Kasarminkatu 21, LEED LEMMINKÄINEN: Suomenlinna tunnel certified office complex Renovations of the Parliament House of Fi
Slide 26: Disclaimer
Disclaimer This presentation has been prepared by, and the information contained herein (unless otherwise indicated) has been provided by YIT Corporation (the “Company”). By attending the meeting or event where this presentation is made, or by reading the presentation slides, you agree to be bound b
Slide 27: yitgroup.com
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