Af Gruppen Asa Class A · OSL:AFG
Af Gruppen Asa Class A — Q1 2025 Earnings Presentation
35 slides from Af Gruppen Asa Class A's earnings presentation, May 15, 2025
Slide 1: AF Gruppen ASA Q1 2025
AF Gruppen ASA Q1 2025 15 May 2025 AF Decom demolishes Engeløybrua in Nordland. Photo: Max Emanuelson
Slide 2: Overview
1st quarter 2025 Overview Improved results and stable order backlog ▪ Revenue of NOK 7,129 (7,187) million in Q1 ▪ Earnings before tax of NOK 214 (186) million in Q1 ▪ Profit margin of 3.0% (2.6%) in Q1 ▪ Cash flow from operations of NOK 330 (128) million in Q1 ▪ Order intake of NOK 11,010 (5,472) m
Slide 3: Health and Safety
1st quarter 2025 Health and Safety Total recordable injury frequency Lost-time injury frequency (LTIF) Sick leave (TRIF) 1.5 10.0 5.0% 4.8% 4.1% 8.0 7.0 4.0% 6.9 1.0 0.9 6.0 3.0% 0.5 4.0 2.0% 0.5 2.0 1.0% 0.0 0.0 0.0% 2022 2023 2024 Q1 25 2022 2023 2024 Q1 25 2022 2023 2024 Q1 25 Number of lost-time
Slide 4: Revenues and earnings
1st quarter 2025 Revenues and earnings Revenues Earnings before tax Profit margin NOK million NOK million Margin 9,000 700 7.0% 8,000 600 7,187 7,129 6.0% 7,000 500 5.0% 6,000 5,000 400 4.0% 3.0% 4,000 300 3.0% 2.6% 3,000 214 200 186 2.0% 2,000 100 1.0% 1,000 0 0 0.0% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q
Slide 5: Return on capital employed
1st quarter 2025 Return on capital employed Earnings before tax and interest Average capital employed * Return on capital employed expense * NOK million NOK million 2,000 6,000 40% 5,000 4,816 4,771 1,500 30% 1,197 1,220 4,000 24.8% 25.6% 1,000 3,000 20% Target 2,000 500 10% 1,000 0 0 0% 2021 2022 2
Slide 6: Cash flow statement
1st quarter 2025 Cash flow statement Cash flow from operations NOK million Q1 2025 Q1 2024 2024 EBIT 223 201 1,149 NOK million Depreciation, amortisation and impairment 183 156 701 Change in net working capital -25 -158 700 2,500 2,217 Taxes paid -45 -58 -298 2,000 Other -5 -13 -35 Cash flow from op
Slide 7: Net interest-bearing debt and liquidity
1st quarter 2025 Net interest-bearing debt and liquidity Net interest-bearing receivables (debt) Components net interest-bearing receivables (debt) NOK million NOK million 290 400 290 1,500 200 1,000 -974 1,037 0 500 -200 0 -400 -500 -600 -1,000 -800 -1,500 -1 000 -2,000 -974 Q1 24 Q2 24 Q3 24 Q4 24
Slide 8: Balance sheet
1st quarter 2025 Balance sheet Equity share NOK million 31.03.24 31.03.23 31.12.23 Long term debt Non-current assets 8,465 8,543 8,451 Equity Current assets, ex. cash 5,504 6,146 5,519 Cash and cash equivalents 1,037 348 1,033 Equity-share*: 24.2% Total assets 15,006 15,038 15,003 (21.9%) Equity 3,6
Slide 9: Climate and environment
1st. quarter 2025 Climate and environment Greenhouse gas emissions Recycled contaminated masses and Source separation rate (scope 1 and 2) metal from demolition services Tonnes CO2e Tonnes 50,000 100% 93% 96% 95% 95% 100,000 45,019 42,954 83,270 40,000 80% 80,000 69,861 2 30,000 60% 60,000 1 20,000
Slide 10: Business Areas
Business Areas 1st quarter 2025 10 AF Decom demolishes Engeløybrua in Nordland. Photo: Max Emanuelson
Slide 11: Civil Engineering: Impacted by cancelled Stockholm contract
Civil Engineering Impacted by cancelled Stockholm contract NOK million Q1 25 Q1 24 2024 Revenues 2,366 2,044 9,590 EBIT 65 116 655 EBT 88 131 723 EBIT % 2.8% 5.7% 6.8% EBT % 3.7% 6.4% 7.5% ▪ Civil Engineering has high activity and revenue growth of 16% from Q1 last year. ▪ AF Anlegg reports a result
Slide 12: Cancellation of contract at Lovö in Stockholm
Civil Engineering Cancellation of contract at Lovö in Stockholm ▪ The 19th of February the Swedish Transport Administration terminated the contract with AF Anläggning AB regarding the project E4 Förbifart Stockholm. The business unit has since been subject to legal proceedings. ▪ AF has performed wo
Slide 13: Construction: Results somewhat below expectations in Q1
Construction Results somewhat below expectations in Q1 NOK million Q1 25 Q1 24 2024 Revenues 2,114 2,203 8,881 EBIT 69 64 337 EBT 77 66 351 EBIT % 3.3% 2.9% 3.8% EBT % 3.7% 3.0% 4.0% ▪ Construction has stable activity in Q1, with a result somewhat below expectations. ▪ AF Byggfornyelse, AF Bygg Østf
Slide 14: Betonmast: Stable activity and improved profitability
Betonmast Stable activity and improved profitability NOK million Q1 25 Q1 24 2024 Revenues 1,044 1,005 4,367 EBIT 42 -20 120 EBT 55 -11 163 EBIT % 4.0% -2.0% 2.8% EBT % 5.3% -1.1% 3.7% ▪ Betonmast has stable activity and an improved profitability compared to Q1 of last year. ▪ Betonmast Oslo, Busker
Slide 15: Property: Low activity
Property Low activity NOK million Q1 25 Q1 24 2024 Revenues 5 6 23 EBIT -8 -7 -39 EBT -5 -3 -25 Capital employed 794 870 846 ▪ A challenging property market with high interest has continued to contribute to low sales in the quarter. Sales contracts for 25 (19) residential units were signed in the qu
Slide 16: Sweden: Improved result and increased order backlog
Sweden Improved result and increased order backlog NOK million Q1 25 Q1 24 2024 Revenues 960 1,361 5,399 EBIT 40 2 79 EBT 38 0 65 EBIT % 4.2% 0.1% 1.5% EBT % 3.9% 0.0% 1.2% ▪ Sweden has improved profitability compared to the same quarter last year with a lower activity level. ▪ Kanonaden and AF Pref
Slide 17: Energy and Environment: Revenue growth and increased order intake
Energy and Environment Revenue growth and increased order intake NOK million Q1 25 Q1 24 2024 Revenues 365 338 1,510 EBIT 18 17 93 EBT 18 17 90 EBIT % 5.0% 5.1% 6.2% EBT % 4.9% 5.1% 5.9% ▪ Energy and Environment increased activity levels by 8% compared to Q1 last year. ▪ AF Energi and AF Decom had r
Slide 18: Offshore: Reduced revenue and weak profitability
Offshore Reduced revenue and weak profitability NOK million Q1 25 Q1 24 2024 Revenues 261 295 1,081 EBIT 2 14 -201 EBT -5 7 -236 EBIT % 0.9% 4.7% -18.6% EBT % -2.1% 2.3% -21.8% ▪ Offshore has reduced revenue and weak profitability in the quarter. ▪ Aeron maintains a high level of activity and delive
Slide 19: Strong order backlog
1st quarter 2025 Strong order backlog Development in order backlog Order backlog distribution NOK million NOK million Offshore 44,232 Civil 45,000 1,830 Engineering 40,000 Sweden 20,651 5,351 35,000 Energy and 30,000 Environment 1,265 Order 25,000 backlog 20,000 Betonmast 44,232 15,000 4,958 (40,275
Slide 20: Group Strategy AF Gruppen 2025–2028
Group Strategy AF Gruppen 2025–2028 Theme presentation Q1 25
Slide 21: Our strategy and priorities are influenced by our surroundings
Our strategy and priorities are influenced by our surroundings Green transition Global Competition for Economic cycles and technological uncertainty qualified resources progress
Slide 22: AF Gruppen holds a three-part goal towards 2028
AF Gruppen holds a three-part goal towards 2028 nnsomhet Profitability 77% EBIT-margin IT mar in 20 20% av return SiSafety erhet 7% 7 annual astnin growth rli ve st Fotavtry Footprint 0 alvorli e persons 0 serious injuriesader Halvingalvere fotavtry onetthe the footprint o andarwork-related eidsrela
Slide 23: Clearing up the past, building for the future
Clearing up the past, building for the future
Slide 24: AF Gruppen has two strategic initiatives
AF Gruppen has two strategic initiatives that will strengthen our ability to achieve our goals Leadership and Innovation expertise We will attract, develop and retain We will lead the way in solving the industry's best management critical societal challenges and technical expertise. THE BEST TEAMS P
Slide 25: Leadership and expertise
Preferred employer Strong culture and high job satisfaction Leadership and Targeted skills development expertise We will attract, develop and retain the industry's best management and technical expertise. Robust organization and good managerial capacity
Slide 26: We must ensure compliance with the core principles of our project operations
We must ensure compliance with the core principles of our project operations Project selection Customer relations Calculation Project organization Planning Procurement Financial management Contract management 26
Slide 27: Innovation
Halve the carbon footprint Improve production and project operations Business Innovation opportunities We will lead the way in solving critical societal challenges Expertise and insight
Slide 28: Productivity
Productivity: We will strengthen our competitiveness by improving our production and project activities Measuring and improvement of core processes and critical operations Industrialisation and technology, utilisation of data and artificial intelligence
Slide 29: We will halve our total greenhouse gas emissions
Greenhouse gas emissions: We will halve our total greenhouse gas emissions Target for emissions BY 2028 BY 2030 Scope 1 and 2 7% Halve Halve Scope 3: 21% absolute emissions total emissions Purchased goods and Other scope 3 categories for scope 1 and 2 relative to revenue services Emissions from mach
Slide 30: Circular economy
Circular economy: We will prepare for re-use or recycling Status 2024 Total ~270,000 tonnes of waste Prevention Re-use 70% of non-hazardous waste shall be Recycling prepared for reuse or material recycling Recovery 50% Disposal reduction of waste sent for energy recovery or landfill by 2030
Slide 31: Our goals are ambitious
Our goals are ambitious Our compass is clear: Competitiveness New business Profitability 31
Slide 32: AF will seek new strategic positions
AF will seek new strategic positions that develop and differentiate us as an industrial player ▪ Industrial ownership ▪ Project related business ▪ Long term value creation ▪ Differentiating ▪ Develop competence 32
Slide 33: Clearing up the past, building for the future
Clearing up the past, building for the future Profitability 7% EBIT-margin 20% return Safety 7% annual growth Footprint 0 serious injuries Halving the footprint on the and work-related absence climate and environment Management and Innovation disciplines We will lead the way in solving We will attra
Slide 34: Summary
1st quarter 2025 Summary NOK million Q1 25 Q1 24 2024 Revenues 7,129 7,187 30,638 EBIT 223 201 1,149 EBT 214 186 1,085 EBIT % 3.1% 2.8% 3.8% EBT % 3.0% 2.6% 3.5% ▪ Improved results ▪ Strong financial position ▪ Order intake: NOK 11,010 (5,472) million ▪ Solid order backlog: NOK 44,232 (40,275) milli
Slide 35: Thank you for your attention
Thank you for your attention Presentation of Q2 29 August 2025 Helsfyr Atrium. Photo: Hans Fredrik Asbjørnsen