Slide 1: Q2 January – June
THE NORDIC COMMUNITY BUILDER
Slide 2: Housing investments remain at a low level
MARKET OUTLOOK Housing investments remain at a low level Started-up housing investments, new and renovations 2024 2025 2026 Sweden ↑ 2024 i 2025 2026 Norway →( ) ↑ 2024 2025 2026 Finland Source: Navet
Slide 3: Varying investment levels in other building construction
MARKET OUTLOOK Varying investment levels in other building construction Started-up other building construction investments, new and renovations 2024 2025 2026 Sweden → 2024 2025 2026 Norway (→) (↑) 2024 2025 2026 Finland → Source: Navet
Slide 4: Stable market for civil engineering investments
MARKET OUTLOOK Stable market for civil engineering investments Civil engineering investments 2024 2025 2026 Sweden → (-) 2024 2025 2026 Norway → (-) 2024 2025 2026 Finland (-) Source: Navet
Slide 5: Unchanged investment levels in the Nordic market
MARKET OUTLOOK Unchanged investment levels in the Nordic market Total construction and civil engineering investments, new and renovations 2024 2025 2026 Sweden 2024 2025 2026 Norway → 2024 2025 2026 Finland → Source: Navet
Slide 6: Business area Construction
Business area Construction Sørvik Barnehag Harstad
Slide 7: Business area Construction
Business area Construction Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 Net sales 6,358 7,540 24,964 27,780 Operating profit excl. 123 141 -38 41 Mall of Scandinavia Operating margin excl. 1.9 1.9 -0.2 0.1 Mall of Scandinavia, % Operating profit 123 541 -38 441 Operating margin, %
Slide 8: Stable level of orders received
BUSINESS AREA CONSTRUCTION Stable level of orders received Orders received, MSEK 9,000 8,490 8,000 6,926 7,000 6,563 6,654 6,321 6,000 5,577 5,835 Order backlog 4,804 4,756 5,000 4,000 3,000 23.9 BSEK (25.8) 2,000 1,000 0,000 Q222 Q322 Q422 Q123 Q223 Q323 Q423 Q124 Q224
Slide 9: New contracts mainly from public customers
BUSINESS AREA CONSTRUCTION New contracts mainly from public customers New competence Rebuilding of Renovation of New jail center town hall swimming pool facility (499 MSEK) (390 MSEK) (240 MSEK) (12 MEUR) Skellefteå Strängnäs Borås Helsinki
Slide 10: Allocation per product area
BUSINESS AREA CONSTRUCTION Allocation per product area Net sales, rolling 12 months Order backlog per June 30, 2024 10% Housing 11% Housing Construction maintenance Construction maintenance 8% 27% Sports facilities 32% 10% Sports facilities Industrial Industrial Offices Offices 14% Logistics Logisti
Slide 11: Business area Civil Engineering
Business area Civil Engineering
Slide 12: Business area Civil Engineering
Business area Civil Engineering Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 Net sales 4,278 3,891 15,781 15,164 Operating profit 165 152 532 501 Operating margin, % 3.9 3.9 3.4 3.3
Slide 13: Record high level of orders received and order backlog
BUSINESS AREA CIVIL ENGINEERING Record high level of orders received and order backlog Orders received, MSEK 9,000 8,188 7,985 8,000 7,000 6,000 Order backlog 5,000 4,000 3,000 4,375 2,618 2,904 4,442 3,891 3,483 3,274 22.3 BSEK (15.1) 2,000 1,000 0,000 Q222 Q322 Q422 Q123 Q223 Q323 Q423 Q124 Q224
Slide 14: New contracts in the second quarter
BUSINESS AREA CIVIL ENGINEERING New contracts in the second quarter New roads and Water and waste New Bodø Airport Expansion of E20 railway water pipelines (3,300 MNOK) (848 MSEK) (812 MSEK) (296 MNOK) Bodø Mariestad Boden Nittedal
Slide 15: Allocation per product area
BUSINESS AREA CIVIL ENGINEERING Allocation per product area Net sales, rolling 12 months Order backlog per June 30, 2024 19% 20% Operations and Operations and maintenance 26% maintenance Energy Energy 44% Streets and 6% Streets and 5% groundwork groundwork Ports and sea 4% Ports and sea Industrial I
Slide 16: Business area Industry
Business area Industry
Slide 17: Business area Industry
Business area Industry Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 Net sales 6,033 5,347 20,280 19,962 Operating profit 449 333 1,034 962 Operating margin, % 7.4 6.2 5.1 4.8
Slide 18: Allocation per product area
BUSINESS AREA INDUSTRY Allocation per product area Net sales, rolling 12 months 7% Paving 9% Concrete Mineral Aggregates 9% Transportation and Machines 51% Rentals 14% Construction System 10%
Slide 19: High level of orders received in the second quarter
BUSINESS AREA INDUSTRY High level of orders received in the second quarter Orders received, MSEK 5,000 4,495 4,500 4,000 3,614 3,500 Order backlog 3,127 3,159 2,914 2,932 3,000 2,500 2,000 2,212 2,689 2,424 6.8 BSEK (6.1) 1,500 1,000 0,500 0,000 Q222 Q322 Q422 Q123 Q223 Q323 Q424 Q124 Q224
Slide 20: Lower level of capital employed and improved return on capital
BUSINESS AREA INDUSTRY Lower level of capital employed and improved return on capital Capital employed and return on capital employed* 14,000 12% 11,885 11,805 12,000 11,339 10% 10,807 10,957 10,807 10,762 10,699 10,806 10,000 8% Return on capital 8,000 employed 6% 9.3 6,000 4% 4,000 % (6.4) 2,000 2
Slide 21: Business area Project Development
Business area Project Development
Slide 22: Business area Project Development
Business area Project Development Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 Net sales 720 1,569 4,087 5,722 Operating profit -33 114 276 304 Operating margin, % -4.6 7.3 6.8 5.3 of which Housing Development -7.7 5.7 -2.5 3.8
Slide 23: Continued low demand for housing
BUSINESS AREA PROJECT DEVELOPMENT Continued low demand for housing Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 _ Total number of housing start-ups 185 3811 7272 of which tenant-owner associations, _ _ 1771 1212 ownership and residential limited companies _ of which in rental apar
Slide 24: Own housing development production
BUSINESS AREA PROJECT DEVELOPMENT Own housing development production Jun 30, Jun 30, Number 2024 2023 Total number of homes under production 2,366 4,665 of which tenant-owner associations, ownership 1,504 3,392 and residential limited companies of which in rental apartment projects 862 1,273 Share
Slide 25: Ongoing property projects in Property Development
BUSINESS AREA PROJECT DEVELOPMENT Ongoing property projects in Property Development Recognized Adopted Rentable Degree Completion Completion Type of project Location value, investment, area, m2 rented, % time point level, % MSEK MSEK * Office building Gothenburg 12,900 23 489 568 Q3-2024 86 Logistic
Slide 26: High but unchanging level of capital employed
BUSINESS AREA PROJECT DEVELOPMENT High but unchanging level of capital employed Capital employed and return on capital employed* 20,000 12% 18,017 18,093 18,334 18,408 18,000 17,351 16,226 10% 15,632 16,000 13,911 14,173 14,000 8% 12,000 Return on capital employed 10,000 6% 8,000 6,000 4% 1.9 % (5.6
Slide 27: The Peab Group
The Peab Group
Slide 28: Segment reporting
THE GROUP Segment reporting Apr-Jun Apr-Jun Jul 2023- Jan-Dec MSEK 2024 2023 Jun 2024 2023 Net sales 15,232 15,756 56,748 58,821 Operating profit 619 1,090* 1,432 1,853* Operating margin, % 4.1 6.9 2.5 3.2 * Includes effect of MSEK 400 from arbitration in Mall of Scandinavia
Slide 29: Geographic spread in the Nordic region
THE GROUP Geographic spread in the Nordic region Net sales, rolling 12 months 11% 72% 15% (13) (70) (15) 2% (2)
Slide 30: Increased share of public customers
THE GROUP Increased share of public customers Net sales , rolling 12 months 53% 47% (54) (46) Public customers Private customers
Slide 31: High order backlog and continued good risk diversification
THE GROUP High order backlog and continued good risk diversification Orders received Order backlog Share of projects under MSEK 500 34.3 50.6 71% BSEK (23.5) BSEK (43.6) (79)
Slide 32: Order backlog extended in time
THE GROUP Order backlog extended in time Order backlog allocated over time, MSEK 25,000 20,094 20,000 18,998 18,668 16,558 15,000 11,816 10,000 8,083 60% after current 5,000 financial year 0,000 (56) Current financial year Coming financial year Thereafter June 30, 2023 June 30, 2024 The potential wo
Slide 33: Improved cash flow in the quarter
THE GROUP Improved cash flow in the quarter Cash flow before financing, MSEK 2,000 1,462 1,500 1,000 805 450 0,500 0,000 -95 -0,500 -218 -1,000 -897 -908 -1,500 -1,540 -2,000 -2,500 -2,321 -3,000 Q222 Q322 Q422 Q123 Q223 Q323 Q423 Q124 Q224
Slide 34: Lower net debt and net debt/equity ratio
THE GROUP Lower net debt and net debt/equity ratio Net debt and net debt/equity ratio 14,000 0,9 0,8 12,000 0,7 10,000 2,868 0,6 2,918 2,272 8,000 2,649 0,5 Net debt 2,685 2,612 6,000 4,000 1,705 1,768 2,209 8,849 7,255 7,313 0,4 0,3 9.6 BSEK (11.7) 5,991 6,490 0,2 4,690 5,372 2,000 4,628 4,118 0,1
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: Target: Operating margin over 6 percent
MOST PROFITABLE COMPANY Target: Operating margin over 6 percent Operating margin, Group 7 6.2 Target: 6% 6 5.2 4.8 4.9 5 4.7 4.4 4.5 4.3 4 3.2 3 2.5 2.5 2 1 0 2016 2017 2018 2019 2020* 2021 2022 2023** 2024 Q2*** *Operating margin 4.5% excl. effect of the distribution of Annehem Fastigheter of MSEK
Slide 38: Target: Net debt/equity ratio within interval 0.3-0.7
MOST PROFITABLE COMPANY Target: Net debt/equity ratio within interval 0.3-0.7 Net debt/equity ratio, Group 1,0 0,8 0.6 0,6 0,6 0.6 0.5 Target interval: 0,4 0.3-0.7 0.3 0.3 0,2 0.2 0,2 0.1 0,0 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q2 Years 2016-2018 are not translated according to the changed
Slide 39: First choice for jobseekers
BEST WORKPLACE First choice for jobseekers eNPS, recommend Peab 35 29 30 28 27 26 27 24 25 20 22 21 20 Target: 19 19 19 18 18 20 Over 15 eNPS 15 13 Benchmark industry 10 10 10 8 8 8 benchmark 5 0 2018 2019 2019 2020 2021 2021 2022 2022 2023 2023 2024 Q4 Q2 Q4 Q4 Q2 Q4 Q2 Q4 Q2 Q4 Q2
Slide 40: Zero vision for workplace accidents
BEST WORKPLACE Zero vision for workplace accidents Serious accidents, rolling 12 months, category 4 60 54 48 48 49 48 50 43 44 39 40 34 42 40 36 32 32 33 Target: 30 30 30 30 30 30 28 25 27 27 26 24 26 Contracting trend 18 16 18 20 18 19 18 20 20 16 23 21 21 18 19 19 18 19 18 10 16 10 14 14 14 14 14
Slide 41: Continued strong level of orders received during the quarter
JAN-JUN 2024 Continued strong level of orders received during the quarter • Markets for civil engineering, paving and other building construction show good demand while the housing market is still weak • Continued high level of orders received during the quarter and order backlog for the first time
Slide 42: Q&A
Q&A
Slide 43: Next report: Third quarter 2024, October 25, 2024
Next report: Third quarter 2024 October 25, 2024
Slide 44: Thank you!
Thank you!