Slide 1: Continued solid performance
New Sotra Bridge – Winner of Norconsult Awards Category Digitalisation Continued solid performance Fourth quarter and full year 2023. CEO Egil Hogna and CFO Dag Fladby February 20, 2024
Slide 2: Disclaimer
Disclaimer Not for general release, publication or distribution, directly or indirectly in Australia, Canada, Japan, the United States or to US persons or in any other jurisdiction where such distribution would constitute a violation of the relevant laws or regulations of such jurisdiction. This rep
Slide 3: Contents
Photo: Herman Dreyer Contents Highlights Markets and projects Financial presentation Outlook Appendix 19/02/2024 Quarterly presentation - Fourth quarter
Slide 4: Norconsult – Every day we improve everyday life
Norconsult – Every day we improve everyday life 6 300 ~140 Our business areas* Sectors Employees Q4 23 Offices 9% 8% Norway Head Office 30% Norway Regions 8% Public 2023 Sweden 2023 Denmark Private 16% Renewable Energy 30% Technogarden & Digital * Share of net revenue Our markets Solid financial tra
Slide 5: Continued solid performance
Technical University of Denmark, building 112 – Winner of Norconsult Awards Category Sustainability Continued solid performance Financial highlights fourth quarter vs last year Net revenue* 11% growth to NOK 2,333m (2,110) 7% organic growth Adj. EBITA** Adj. EBITA of NOK 209m (208) Adj. EBIT
Slide 6: Organisation: The industry's most attractive employer
Organisation: The industry’s most attractive employer Successful employer branding at UKA 2023 in Trondheim, great Ranked number 1 in the industry feedback from students By Universum Professional 2023 (7 November) Attraction and retention Turnover in 2023 (8.7 %) is significantly lower than last yea
Slide 7: Announced acquisitions fourth quarter 2023
Announced acquisitions fourth quarter 2023 Total in 2023 SQM AS 22nd December 2023 LB Consult A/S Planråd AS Ingeniørværket A/S Number of acquisitions | 2012-2023 Franck Miljø- og Geoteknik A/S 5 5 11 4 SQM AS 12 7 82 8 5 5 11 5 4 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Slide 8: Markets and projects
BIR Terminal and Headquarters – Winner of Norconsult Awards “Open Category” Markets and projects
Slide 9: Q4: Strong demand within Infrastructure and Energy & Industry offsets weaker private building market
Q4: Strong demand within Infrastructure and Energy & Industry offsets weaker private building market Buildings & Architecture Energy & Industry Infrastructure Weaker private market eased by public Continued strong demand Remains stable demand Continued strong market in Energy & Continue to see stabl
Slide 10: C-block New Government Quarter
C-block New Government Quarter C-block New Government Quarter C-block is the first office building in phase 2 of the New Government Quarter in Grubbegata. The building is 27,000 Project name: C-block New Government Quarter square meters spread over 10 floors and will house four ministries and common
Slide 11: 400 kV Power line Letsi-Svartbyn
Variation orders Letsi-Svartbyn 400 kV Power line Letsi-Svartbyn Letsi-Svartbyn is a new 100 km long 400 kV overhead line which is instrumental in the green industrial transition in Project name: 400 kV overhead line Letsi-Svartbyn Northern Sweden. Letsi-Svartbyn is a pilot project for the customer
Slide 12: New swimming pool and new housing on the Beauvais grounds
New swimming pool and new housing on the Beauvais grounds New swimming pool and new housing on the Beauvais grounds Nordic Office of Architecture Danmark A/S has been appointed as architect and lead consultant for an indoor Project name: New swimming pool and new swimming pool and housing project lo
Slide 13: Halmstad Central station
Halmstad Central station Halmstad Central station Norconsult Sweden has signed an agreement with The Swedish Transport Administration regarding expansion of Project name: Halmstad Central Station, Halmstad Central station. The assignment includes reconstruction of railway yard, railway plans, projec
Slide 14: Financial presentation
Financial presentation CFO Dag Fladby Nordic Iceland: New residential, commercial recreational area, with focus on high technology, innovation, and sustainability.
Slide 15: Q4 2023: Continued revenue growth and healthy margins
Q4 2023: Continued revenue growth and healthy margins Net revenue increased with 11% y-o-y. Organic revenue growth of 7% Q4 2023 Q4 2022 Change Higher number of FTEs (+10.0%) and increased billing rates. Net revenue* NOKm 2 333 2 110 224 Adj. EBITA** NOKm 209 208 0 Adj. EBITA margin is 9.0% (9.9
Slide 16: FY 2023: Solid revenue growth and stable profitability
FY 2023: Solid revenue growth and stable profitability Net revenue increased with 13% to NOK 8,494m y-o-y. Organic revenue growth of 10%** FY 2023 FY 2022 Change Net revenue* NOKm 8 494 7 493 1 001 Calendar effect of NOK -34m due to one less working day this year Adj. EBITA NOKm 810 741 69 Adj. EB
Slide 17: Quarterly performance significantly influenced by seasonality and number of working days
Quarterly performance significantly influenced by seasonality and number of working days Net revenue* Billing ratio +10.6% LTM 2 500 2 359 2 333 10 000 80% 2 012 2 110 2 097 2 000 1 793 1 849 8 000 76.2% 1 705 75.1% 1 523 74.3% NOK million 75% 73.9% 73.7% 74.0% 1 500 6 000 72.3% 72.3% 71.4% 1 000 4
Slide 18: Norway Head Office / Norway Regions
Norway Head Office 30% Norway Regions 30% Solid organic growth and improved profitability Continued revenue growth Organic growth was 10% in Q4 Organic growth was 7% in Q4 Improved adj. EBITA margin 11.9% (10.4%) mainly due to increased Adj. EBITA margin 6.1% in Q4 (8.1%) mainly due to lower bil
Slide 19: Sweden / Denmark
Sweden 16% Denmark 8% Continued solid organic growth of 16% in Q4 Solid growth in net revenue driven by acquisitions and currency effects. Profitability in Q4 negatively affected by effect of senior recruitment Organic growth was -8% in Q4 (NOK -9m) Adj. EBITA margin improved to 7.7% (7.1%) in Q4 20
Slide 20: Renewable Energy / Technogarden & Digital
Renewable Energy 8% Technogarden & Digital 9% Solid underlying organic growth of 27% in Q4 Organic growth was 1% Q4 22 was affected by a project write-up affecting revenue with NOK 28m (NOK 17m in EBITA) Adj. EBITA margin increased to 6.4% (5.4%) in Q4 2023 mainly due to increased sales of license
Slide 21: Solid cash flow from operations
Solid cash flow from operations Cash flow from Operating Activities NOKm Q4 2023 Q4 2022 FY 2023 FY 2022 Increased working capital due to revenue growth Cash flows from Operating Activities 492 535 922 941 Cash flows from Investing Activities -21 -127 -165 -282 Cut-off effects (NOK ~70m). Cash flo
Slide 22: Strong financial position
Strong financial position NOKm 31.12.2023 31.12.2022 Non-current assets 2 850 2 732 Cash and cash equivalents and other current financial Receivables 2 550 2 203 assets NOK 947m Cash and equivalents and other current financial assets 947 1 343 Total assets 6 347 6 278 Lease liabilites (current and n
Slide 23: High payout ratio driven by consistently high cash conversion over time
High payout ratio driven by consistently high cash conversion over time Pay-out ratio1) ordinary dividends of net profit 2021-2023* Dividend policy to pay out >50% of net profit over time % Has historically paid out 60-80% of net profit in ordinary 254 271 343 annual dividends Proposed dividend of N
Slide 24: Good momentum in order intake: Orderbook of NOK 6.2bn
Good momentum in order intake: Orderbook of NOK 6.2bn (6.1bn in Q3 23) Among noticeable projects included in the order intake during the quarter were: Illustration: Momentum Arkitekter Haugesund hospital Åknes drainage, Stranda New wastewater treatment plant (WWTP), Tønsberg Helse Fonna has started
Slide 25: Outlook
Pre-feasibility study for green ammonia for Fortescue at Holmaneset, Norway – Winner of Norconsult Awards Category Collaboration Outlook
Slide 26: Outlook
E39 Fjellvegen – Hafstadvegen at Førde, Norway – Winner of Norconsult Awards Category Project management Outlook Project manager Andreas Relatively stable market outlook going forward Still low activity within the private residential and non-residential building markets Stable demand public buil
Slide 27: Appendix
Photo: Herman Dreyer Appendix
Slide 28: Consolidated income statement
CONSOLIDATED INCOME STATEMENT Amounts in NOK million Q4 2023 Q4 2022 FY 2023 FY 2022 Operating revenue 2 684 2 391 9 567 8 423 Other income 2 -2 7 1 External project costs 353 279 1 080 931 Operating revenue and other income after external project costs 2 333 2 110 8 494 7 493 Salaries and personnel
Slide 29: Consolidated statement of financial position
CONSOLIDATED STATEMENT OF FINANCIAL POSITION Amounts in NOK million ASSETS 31.12.2023 31.12.2022 EQUITY AND LIABILITIES 31.12.2023 31.12.2022 Goodwill 1 003 943 Share capital 6 6 Deferred tax assets 4 4 Treasury shares -1 -1 Other intangible assets 78 70 Share premium 221 221 Property plant and equi
Slide 30: Interim consolidated statement of cash flows
INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS Amounts in NOK million Q4 2023 Q4 2022 FY 2023 FY 2022 Profit before tax 105 104 674 612 Taxes paid -19 7 -161 -136 Depreciation, amortization and impairment 24 25 83 79 Depreciation right of use asset 95 83 376 325 Change in working capital items 255 264
Slide 31: APM - reconciliations
APM - reconciliations Amounts in NOK million Reconciliation of adjusted EBIT, EBITA and EBITDA Q4 2023 Q4 2022 FY 2023 FY 2022 Operating profit (EBIT) 98 104 673 626 Depreciation and impairment of tangible and ROU assets 111 99 438 384 Amortisation and impairment of intangible assets 8 9 21 20 EBITD
Slide 32: Long-term financial targets
Long-term financial targets Metric Financial targets Comment • Historical total net revenue growth of ~11% from 2012 to 2023 Growth N/A • Over-the-cycle split between organic growth and acquisitions around 2/3 and 1/3, respectively • Expected growth slightly above the market 10% Profitability • Hist
Slide 33: Largest shareholders February 16, 2024
Largest shareholders February 16, 2024 Rank Shareholder Number of shares Percentage Country Type 1 NC-ANSATTES HOLDING AS 65 675 058 23.0% Norway Ordinary 2 The Bank of New York Mellon SA/NV 6 716 213 2.4% Belgium Nominee 3 CACEIS Bank 6 396 958 2.2% France Nominee 4 DANSKE INVEST NORSKE INSTIT. II.
Slide 34: Every day we improve everyday life
Every day we improve everyday life