Veidekke Asa · OSL:VEI
Veidekke Asa — Q4 2021 Earnings Presentation
21 slides from Veidekke Asa's earnings presentation, Feb 9, 2022
Slide 1: Presentation Q4 2021
Presentation Q4 2021 6. mai 2021 9 February 2022 Jimmy Bengtsson, Group CEO Jørgen Wiese Porsmyr, Group CFO
Slide 2: Occupational health and safety
Occupational health and safety Our primary priority Number of serious injuries Sickness absence 12-month rolling, Veidekke employees, Veidekke employees hired staff and sub-contractors 14 6% 12 5% 10 4% 8 3% 6 2% 4 2 1% 0 0% 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 2 © Veidekke
Slide 3: Highlights Q4 2021
Highlights Q4 2021 ● Revenues on a par with Q4 2020 ● Solid results and 3.9% profit margin ● Order book on a par with a year ago ● Proposed dividend of NOK 7.0 per share for 2021 Veidekke is building a new nursing home in Moelv to the passive house standard. The project is a collaborative design and
Slide 4: Key financial figures: Q4 revenues and profits
Key financial figures Q4 revenues and profits Q4 revenues Q4 pre-tax profit NOK billion NOK million 12 500 400 9 300 200 391 393 6 9.8 10.0 10.3 10.2 100 180 0 3 -83 -100 0 -200 2018 2019 2020 2021 2018 2019 2020 2021 4 Historical figures have been restated in connection with the spin-off of the pro
Slide 5: Strong order book
Strong order book Revenues and order intake Order book Order book per segment 12-month rolling, NOK billion NOK billion Percent 40 40 100% 36 32 80% 36 28 24 60% 32 20 16 40% 12 28 8 20% 4 24 0 0% Dec-19 Dec-20 Dec-21 Dec-19 Dec-20 Dec-21 Dec-19 Dec-20 Dec-21 Construction Norway Construction Sweden
Slide 6: Results: Group and segments
Results Group and segments Jørgen Wiese Porsmyr, Group CFO Q4 2021
Slide 7: Revenues, profits and profit margins
Revenues, profits and profit margins Group and segments Q4 2021 Q4 2020 Amounts in NOK million Revenues Profit before tax Profit margin Revenues Profit before tax Profit margin Construction Norway 3 474 139 4.0 % 4 076 155 3.8 % Infrastructure Norway 2 448 134 5.5 % 2 049 82 4.0 % Construction Swede
Slide 8: Construction Norway
Construction Norway Revenues and margin 5 5% Profit before tax 3.9% 3.9% 4.0% 3.8% 4 3.3% 4% 155 3.6 138 139 3.5 117 3 3% 4.1 3.5 3.0 113 ● 15% year-on-year drop in revenues from Q4 2020 2 2% • Reflects drop in new orders in 2020 1 1% • Largely attributable to commercial building 0 0% segment in Osl
Slide 9: Infrastructure Norway
Infrastructure Revenues and margin 4 11.7% 15% Profit before tax Norway 14% 13% 3 5.5% 12% 11% 103 5.5% 10% 4.0% 2.8 9% 8% 2.4 2 2.5 7% 6% 5% 1 4% 1.5 3% 2.0 2% 1% 0 0% ● Revenues up 23% over Q4 2020 -1% 48 -2% -3% -1 -4% -9.1% -5% -6% 34 30 • Revenue boost in majority of operations -7% -2 -8% -9% -
Slide 10: Construction Sweden
Construction Sweden Revenues and margin 3 5% Profit before tax 4% 72 2.5 2 2.2 2.2 2.0 3% 3.3% 2.9 49 49 ● Revenues increased by 11% over Q4 2020 2.5% 2% 34 1 2.2% • Gothenburg operations accounted for the bulk 1.4% 1% of the increase 0.6% 11 0 0% Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q4 20 Q1 21 Q2 21 Q3 2
Slide 11: Infrastructure Sweden
Infrastructure Sweden Revenues and margin 5% Profit before tax 5.0% 54 4% 53 2 4.0% 49 3.8% 3.7% 3% 1.3 41 1.3 1.1 2% 1.1 1% ● Revenues up by 2% over Q4 2020 1 0.8 0% • Majority of operations contributed to the increase, -1% -14 while revenues from the Stockholm business -1.7% -2% dropped slightly -
Slide 12: Denmark/Hoffmann
Denmark/Hoffmann Revenues and margin 1 11.4% 12% Profit before tax 11.9% 11% 10% 8.0% 9% 78 7.0% 7.0% 8% 70 0.7 0.6 7% 0.6 0.6 6% 50 0.5 ● Revenues down 14% compared to Q4 2020 5% 43 4% 37 • Activities dropped in greater Copenhagen; 3% 2% but increased on Jutland 1% 0 0% Q4 20 Q1 21 Q2 21 Q3 21 Q4 2
Slide 13: Financial position: Balance sheet
Financial position Balance sheet Amounts in NOK million 31 December 2021 31 December 2020 Fixed assets 6 323 6 452 Current assets (excluding cash, cash equivalents and financial investments) 6 639 7 330 Cash, cash equivalents and financial investments 4 353 3 759 Assets 17 315 17 541 Equity 2 865 2
Slide 14: Financial position: Key points 2021
Financial position Key points 2021 Change in net interest-bearing assets NOK billion ● NOK 2.2 billion cash flow from operations in 2021 ● NOK 473 million net investment in fixed assets • Mainly related to investments in Infrastructure Norway ● Voluntary buy-back of bond loan completed after year-en
Slide 15: NOK 7.0 per share dividend proposed for 2021
NOK 7.0 per share dividend proposed for 2021 Equals 99% of dividend ratio Ordinary dividend NOK per share 12 140% ● Proposed dividend*: NOK 7.0 (5.75) 120% 10 100% 8 ● Earnings per share: NOK 7.1 (5.8)** 80% 7.00 6 5.75 60% ● Dividend ratio: 99% (100%) 4 4.50 5.00 5.00 4.00 40% 3.50 3.00 2 2.50 2.50
Slide 16: Closing comments
Closing comments Jimmy Bengtsson, Group CEO
Slide 17: Key financial figures: Revenues and profits 2021
Key financial figures Revenues and profits 2021 Revenues Pre-tax profit Profit margin NOK billion NOK million Percent 50 1500 5.0 % 40 1200 4.0 % 30 900 3.0 % 1,342 20 38.1 600 1,134 2.0 % 36.6 37.6 3.6% 34.0 3.0% 10 300 596 1.0 % 1.6% 189 0.6% 0 0 0.0 % 2018 2019 2020 2021 2018 2019 2020 2021 2018
Slide 18: Profitability performance improved
Profitability performance improved Providing a solid basis for 2022 Concrete measures have improved profitability ● Selective approach to projects and customers ● Risk management at all levels of the organisation ● Operations have been discontinued and divested ● Organisational structure ensures pro
Slide 19: Sustainability is at the core of Veidekke's achievements
Sustainability is at the core of Veidekke's achievements Vital progress along three axes E S G Climate adaptation and risk Safety and compliance Sustainability and governance ● 2021 decision to make Veidekke ● For the first time, Veidekke reports ● Update of materiality analysis climate neutral (net
Slide 20: Closing comments
Closing comments ● Solid profits and profit margin development ● Growth and profitability targets remain unchanged ● Proposed dividend of NOK 7.0 per share 20 © Veidekke
Slide 21: VEDLEGG
VEDLEGG • • •