Slide 1: Solid growth and improved profitability
Arna Station | Nominated for the Norwegian Lighting Prize 2024. Category: Best Outdoor Lighting Solid growth and improved profitability Third quarter 2024. CEO Egil Hogna and CFO Dag Fladby 7 November 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
Contents Highlights People and organisation Projects Financial presentation Outlook Appendix 3
Slide 4: Norconsult – Every day we improve everyday life
Norconsult – Every day we improve everyday life 6 500 ~140 Our business areas* Sectors Employees Q3 2024 Offices 8% 9% Norway Head Office 30% Norway Regions 8% Public 2024 Sweden 2024 Denmark Private 16% Renewable Energy 29% Digital & Technogarden Our markets Solid financial track record with strong
Slide 5: Q3 Financial highlights
DEG 14| Nominated for the Norwegian Lighting Prize 2024. Category: Sustainability Q3 Financial highlights Solid growth and improved profitability Net revenue* Net revenue increased to NOK 1 924m (1 705) No significant calendar effects 11 % organic growth adjusted for calendar effects Adj. EBIT
Slide 6: Market in line with last year
Market in line with last year Buildings & Architecture Infrastructure Energy & Industry Continued weak and uncertain private Infrastructure activity stable and in line High activity and strong demand market, given its dependency on with public plans. Continued focus on rail continues macroecon
Slide 7: People and organisation
People and organisation Photo: Bård Gudim
Slide 8: People and organisation
People and organisation Marisa Ruiz Retamar appointed EVP HR joining Group Management High participation rate and continued high score in general in the annual employee survey LiVEing Norconsult Norge AS certified for ISO 27001 for Information security Employees 7 000 6 500 6 300 6 000 5 600 5
Slide 9: Recruitment of students - Graduates and Summer interns
Recruitment of students - Graduates and Summer interns Graduates and summer interns ~150 graduate recruitments and ~120 summer interns in 2024 A significant number with permanent employment after the internship Preferred industry employer amongst students Awarded the most attractive engineerin
Slide 10: Recruitment of experienced professionals
Recruitment of experienced professionals Innovative environment and local presence Dynamic and innovative environment with exciting projects and a strong local presence Targeted recruitment campaign Preferred industry employer amongst professionals Awarded most attractive engineering consultin
Slide 11: Projects
Projects Illustration: Nordic/Norconsult New Sotra Bridge | In strong international competition, Norconsult's design for the New Sotra Bridge won in the category of "Most Innovative Use of Autodesk Platform Services
Slide 12: Renewed confidence at Mälarbanan
Photo: Kenneth Hellman Renewed confidence at Mälarbanan Mälarbanan is part of a large infrastructure investment in Stockholm, Sweden. Norconsult has been involved on the Project name: Mälarbanan project since 2018, working on the design of water and sewer systems, rerouting of 500 pipe objects, and
Slide 13: Liåsen transformer station
Illustration: Statnett Liåsen transformer station As part of Statnett upgrade of the central power grid in Oslo, a new transformer station will be established at Liåsen. Project name: Liåsen transformer station - detail The new transformer station will connect to the existing 420kV line and will be
Slide 14: Reconstruction of the Braskereidfoss dam
Photo: Hafslund Reconstruction of the Braskereidfoss dam The extreme weather event “Storm Hans” in August 2023, caused severe flooding in Norway's largest river Glomma, Project name: Reconstruction of the where Braskereidfoss Power Station is located. The dam's floodgates were not opened when the wa
Slide 15: Sørlige Nordsjø II
Photo: Adobe Stock Sørlige Nordsjø II In March, the developer Ventyr won Norway's first major offshore wind project, Sørlige Nordsjø II. The project will Project name: Ventyr SNII - Near- and onshore EIA have bottom-fixed installations in the southernmost part of the North Sea. The project will have
Slide 16: Financial presentation
Financial presentation CFO Dag Fladby New Government Quarter | Nordic Office of Architecture and Statsbygg win the Autodesk Design & Make Award for innovation in the new government quarter project.
Slide 17: Q3 2024: Solid growth and improved profitability
Q3 2024: Solid growth and improved profitability Net revenue : NOK 1 924m (1 705) Q3 2024 Q3 2023 Organic growth of 11%*** Net revenue* NOKm 1,924 1,705 Adj. EBITA** NOKm 162 108 Increased average billing rates and higher number of FTEs, Adj. EBITA margin %*** % 8.6% 6.4% partly mitigated by low
Slide 18: Q3 2024: EBITA contributors adjusted for calendar effects
Q3 2024: EBITA contributors adjusted for calendar effects EBITA contributors 11 2 -2 -4 162 Four of six segments contributed positively to adjusted EBITA 23 0 Solid operational performance and continuous focus on cost efficiency 26 -2 108 Adj EBITA Norway Norway Sweden Denmark Renewable Digital
Slide 19: Norway Head Office and Norway Regions
Norway Head Office 30% Norway Regions 29% Q3 2024 Q3 2024 Strong organic growth** of 10% Solid organic growth** of 9% Higher number of FTEs, higher average billing rates, and continued Increase in FTEs and billing rates strong billing ratios Limited calendar effect Limited calendar effect Ad
Slide 20: Sweden and Denmark
Sweden 16% Denmark 8% Q3 2024 Q3 2024 Continued strong organic growth** of 19% Organic growth** of 9% Higher number of FTEs, increased billing rates and higher billing Write-ups on fixed price projects ratio Increase in FTEs Limited calendar effect Adj. EBITA margin adjusted for calendar at
Slide 21: Renewable Energy and Digital and Technogarden
Renewable Energy 9% Digital and Technogarden 9% Q3 2024 Q3 2024 Continued strong organic growth** of 20% Total revenue increased by 3% FTE growth in core activities, increase in average billing rates, and Growth driven by higher volume in Technogarden and increased sales continued high billing r
Slide 22: Q3 2024: Seasonal variations affects cash from operations
Q3 2024: Seasonal variations affects cash from operations Cash flow from operating activities NOK -126m (-21) Net cash flow from Operating Activities Increased working capital due to revenue growth Lower accounts payable/other current liabilities NOKm 535 -105 YTD per Q3: NOK 559m (431) 492 50
Slide 23: Q3 2024: Strong balance sheet
Q3 2024: Strong balance sheet NOKm 30.09.2024 30.09.2023 31.12.2023 Cash and cash equivalents and other current financial Non-current assets 2,991 2,851 2,850 assets NOK 815m Receivables 2,611 2,434 2,550 Cash and equivalents and other current financial assets 815 1,098 947 NIBD / adj. EBITDA Q3
Slide 24: Order book of NOK 6.3bn (6.4bn in Q2 2024)
Order book of NOK 6.3bn (6.4bn in Q2 2024) Fewer very large projects in the market the recent quarters, in line with Norwegian National Transport Plan. Focus shifted from large/medium to smaller projects which affects the length of the orderbook and the total size Increasing share of revenue fro
Slide 25: Quarterly performances influenced by seasonality and number of working days
Quarterly performances influenced by seasonality and number of working days Net revenue* Billing ratio LTM 2 500 2,359 2,333 2,360 2,399 10 000 80% 2,110 2,097 1,924 76.2% 2 000 1,705 8 000 1,522 74.6% NOK million 75% 73.7% 74.0% 1 500 6 000 72.3% 72.3% 72.1% 71.4% 71.0% 1 000 4 000 70% 500 2 000 0
Slide 26: Outlook
Outlook The overall market is expected to be quite stable, but still uncertain due to macroeconomics. Small signs of improvement in the market for Buildings & Architecture Stable demand in Infrastructure Activity remains strong within Energy sector, and a mixed development in the Industry mark
Slide 27: Every day we improve everyday life
Every day we improve everyday life
Slide 28: Appendix
Appendix Norconsult
Slide 29: Consolidated Income Statement
CONSOLIDATED INCOME STATEMENT Amounts in NOK million Q3 2024 Q3 2023 YTD Q3 2024 YTD Q3 2023 FY 2023 Operating revenue 2 196 1 914 7 537 6 883 9 567 Other income 2 2 5 6 7 External project costs 273 211 858 728 1 080 Operating revenue and other income after external project costs 1 924 1 705 6 684 6
Slide 30: Consolidated Statement of Financial Position
CONSOLIDATED STATEMENT OF FINANCIAL POSITION Amounts in NOK million ASSETS 30.09.2024 30.09.2023 31.12.2023 EQUITY AND LIABILITIES 30.09.2024 30.09.2023 31.12.2023 Goodwill 1 078 1 029 1 003 Share capital 6 6 6 Treasury shares 0 -1 -1 Deferred tax assets 8 6 4 Share premium 221 221 221 Other intangi
Slide 31: Interim Consolidated Statement of Cash Flows
INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS Amounts in NOK million Q3 2024 Q3 2023 YTD Q3 2024 YTD Q3 2023 FY 2023 Profit before tax 71 104 386 569 674 Taxes paid -11 -4 -152 -143 -161 Depreciation, amortization and impairment 20 20 61 59 83 Depreciation right of use asset 101 96 301 281 376 Change
Slide 32: APM - reconciliations
APM - reconciliations Amounts in NOK million Reconciliation of adjusted EBIT, EBITA and EBITDA Q3 2024 Q3 2023 YTD Q3 2024 YTD Q3 2023 FY 2023 Operating profit (EBIT) 74 96 391 574 673 Depreciation and impairment of tangible and ROU assets 116 111 347 327 438 Amortisation and impairment of intangibl
Slide 33: Largest shareholders November 2024
Largest shareholders 4 November 2024 Shareholder Number of shares Percentage Country Type 1 DANSKE INVEST NORSKE INSTIT. II. 5 591 820 1.9% Norway Ordinary 2 The Bank of New York Mellon SA/NV 5 276 106 1.8% Belgium Nominee 3 VERDIPAPIRFONDET HOLBERG NORGE 5 200 000 1.8% Norway Ordinary 4 Nordea Bank
Slide 34: Every day we improve everyday life
Every day we improve everyday life