Slide 1: Q4 January - December 2022
Q4 January - December 2022 February 3, 2023 SWING PLUS Esbo 1
Slide 2: Decline in housing investments
MARKET OUTLOOK Decline in housing investments Started-up housing investments, new and renovations 2022 2023 2024 Sweden ↓(↘) ↓ ↗(→) 2022 2023 2024 Norway ↘(→) ↘ ↗(→) 2022 2023 2024 Finland ↓(↘) ↘(→) →(↗) Source: Navet 2
Slide 3: Decline in other building construction
MARKET OUTLOOK Decline in other building construction Started-up other building construction investments, new and renovations 2022 2023 2024 Sweden ↘(→) ↘ ↗ 2022 2023 2024 Norway ↘(↗) ↘ ↗(→) 2022 2023 2024 Finland ↘ ↓(→) ↗ Source: Navet 3
Slide 4: Civil engineering investments on a stable level
MARKET OUTLOOK Civil engineering investments on a stable level Civil engineering investments 2022 2023 2024 Sweden ↗(→) ↘(↗) → 2022 2023 2024 Norway ↑ → → 2022 2023 2024 Finland → → → Source: Navet 4
Slide 5: Downgraded market forecast
MARKET OUTLOOK Downgraded market forecast Total construction and civil engineering investments, new and renovations 2022 2023 2024 Sweden ↘ ↘ →(↗) 2022 2023 2024 Norway →(↗) ↘(→) ↗(→) 2022 2023 2024 Finland ↘ ↘(→) ↗ Source: Navet 5
Slide 6: Business area Construction
Business area Construction VARVSSTADEN Malmö 6
Slide 7: Business area Construction
Business area Construction Oct-Dec Oct-Dec Jan-Dec Jan-Dec MSEK 2022 2021 2022 2021 Net sales 8,330 8,147 28,999 26,980 Operating profit 166 209 629 711 Operating margin, % 2.0 2.6 2.2 2.6 7
Slide 8: Somewhat lower level of orders received and order backlog
BUSINESS AREA CONSTRUCTION Somewhat lower level of orders received and order backlog Orders received, MSEK 12,000 Order backlog 10,000 9,561 8,000 6,620 7,029 6,088 8,225 5,995 6,926 8,490 6,321 29.1 BSEK (30.1) 6,000 4,000 2,000 0,000 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 MARIASTADEN Helsing
Slide 9: Good variation in type of product and geography
BUSINESS AREA CONSTRUCTION Good variation in type of product and geography Parking garage University facilities Hospital School (19 MEUR) (280 MSEK) (300 MSEK) (177 MNOK) Jyväskylä Umeå Eksjö Ålesund 9
Slide 10: Allocation per product area
BUSINESS AREA CONSTRUCTION Allocation per product area Net sales, 2022 Order backlog, December 31, 2022 9% 9% Housing Housing 6% 7% Construction maintenance Construction maintenance Sports facilities Sports facilities 12% 43% Industrial Industrial Offices 13% 45% Offices Logistics Logistics 3% Servi
Slide 11: Business area Civil Engineering
Business area Civil Engineering BRIDGE VÄSJÖN Sollentuna 11
Slide 12: Business area Civil Engineering
Business area Civil Engineering Oct-Dec Oct-Dec Jan-Dec Jan-Dec MSEK 2022 2021 2022 2021 Net sales 4,405 4,062 14,965 14,180 Operating profit 175 164 494 471 Operating margin, % 4.0 4.0 3.3 3.3 12
Slide 13: Stable level of orders received and high order backlog
BUSINESS AREA CIVIL ENGINEERING Stable level of orders received and high order backlog Orders received, MSEK 6,000 4,980 Order backlog 5,000 4,608 4,375 4,000 3,612 3,583 3,016 2,904 13.9 BSEK (14.0) 3,000 2,724 2,618 2,000 1,000 0,000 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 HARG’S HARBOUR Östh
Slide 14: Allocation per product area
BUSINESS AREA CIVIL ENGINEERING Allocation per product area Net sales, 2022 Order backlog, Decmber 31, 2022 17% Operations and 23% Operations and maintenance maintenance 29% Energy Energy 6% 40% Streets and groundwork Streets and groundwork Ports and sea Ports and sea 8% Industrial Industrial 7% Roa
Slide 15: Business area Industry
Business area Industry SWEROCK’S ELECTRIC CONCRETE TRUCK Stockholm 15
Slide 16: Business area Industry
Business area Industry Oct-Dec Oct-Dec Jan-Dec Jan-Dec MSEK 2022 2021 2022 2021 Net sales 5,658 5,138 21,433 18,787 Operating profit 283 420 747 938 Operating margin, % 5.0 8.2 3.5 5.0 16
Slide 17: Allocation per product area
BUSINESS AREA INDUSTRY Allocation per product area Net sales, 2022 7%(6) Paving 10% (10) Concrete 8% (9) Mineral Aggregates 49% (48) Transportation and 12% (14) Machines Rentals Construction 14% (13) System 17
Slide 18: Higher level of orders received and order backlog
BUSINESS AREA INDUSTRY Higher level of orders received and order backlog Orders received, MSEK 4,500 4,000 3,835 Order backlog 3,614 3,302 4.3 3,500 2,999 3,127 3,000 2,816 2,500 2,255 2,212 BSEK (3.9) 2,012 2,000 1,500 1,000 0,500 0,000 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 18
Slide 19: More capital tied-up in investments and working capital
BUSINESS AREA INDUSTRY More capital tied-up in investments and working capital Capital employed and return on capital employed* 12,000 14% 10,807 10,957 10,807 9,764 12% 10,000 9,388 9,266 9,376 8,822 8,871 10% Return on capital 8,000 employed 8% 6,000 6% 7.2 % (10.1) 4,000 4% 2,000 2% 0,000 0% Q420
Slide 20: Business area Project Development
Business area Project Development BRF SKRIFTE Gävle 20
Slide 21: Business area Project Development
Business area Project Development Oct-Dec Oct-Dec Jan-Dec Jan-Dec MSEK 2022 2021 2022 2021 Net sales 1,986 3,117 8,661 9,497 Operating profit 309 446 1,127 1,237 Operating margin, % 15.6 14.3 13.0 13.0 of which Housing Development 14.7 12.0 11.5 11.2 21
Slide 22: Low level of housing start-ups and sales
BUSINESS AREA PROJECT DEVELOPMENT Low level of housing start-ups and sales Oct-Dec Oct-Dec Jan-Dec Jan-Dec Number 2022 2021 2022 2021 Housing start-ups 130 895¹ 1,810² 3,020² Sold homes 141 846 1,643 3,047 Repurchased homes on the balance sheet at 105 144 105 144 the end of the period ¹Includes 89 h
Slide 23: Production-started homes in the fourth quarter
BUSINESS AREA PROJECT DEVELOPMENT Production-started homes in the fourth quarter 57 apartments in 57 apartments in 16 apartments in Helsingborg Ålesund Skien Brf Havsbrisen Borgundfjorden Kjellemo BRL Panorama 23
Slide 24: Housing Development after the fourth quarter
BUSINESS AREA PROJECT DEVELOPMENT Housing Development after the fourth quarter Number of homes Homes under in production construction sold 4,539 69% (4,702) (76) MIESTENTIE Esbo 24
Slide 25: Rentals on our own balance sheet
BUSINESS AREA PROJECT DEVELOPMENT Rentals on our own balance sheet Oct-Dec Oct-Dec Jan-Dec Jan-Dec Number of rentals 2022 2021 2022 2021 Production-started homes 184 288 526 676 Sold homes 66 - 66 91 Converted to tenant-owner - 89 203 426 associations Totalt number of homes in production, at the end
Slide 26: Total number of homes in production
BUSINESS AREA PROJECT DEVELOPMENT Total number of homes in production Number per December 31, of which sold 2022 Tenant-owner associations, ownership and 4,539 69 % residential limited companies Rentals 1,179 73 % Total number in 5,718 70 % production 26
Slide 27: Ongoing property projects in Property Development
BUSINESS AREA PROJECT DEVELOPMENT Ongoing property projects in Property Development Total investment Rentable Degree Recognized Scheduled Level of Type of project Location at area, m2 rented, % value, MSEK completion completion, % completion, MSEK Office building Malmö 7,400 55 223 331 Q1-2023 67 Of
Slide 28: Higher investments and level of working capital
BUSINESS AREA PROJECT DEVELOPMENT Higher investments and level of working capital Capital employed and return on capital employed* 18,000 18% 16,000 15,632 16% 14,173 13,258 13,685 13,523 13,624 13,911 14,000 12,853 14% 12,189 Return on capital 12,000 12% employed 10,000 10% 8,000 6,000 8% 6% 8.3 %
Slide 29: The Peab Group
The Peab Group OSEBAKKEN PARK Porsgrunn 29
Slide 30: Segment reporting
THE GROUP Segment reporting Oct-Dec Oct-Dec Jan-Dec Jan-Dec MSEK 2022 2021 2022 2021 Net sales 17,048 17,520 63,135 60,026 Operating profit 853 1,246 2,741 3,098 Operating margin, % 5.0 7.1 4.3 5.2 30
Slide 31: Good presence in the Nordic region
THE GROUP Good presence in the Nordic region Net sales, 2022 70% 15% (15) 13% (71) (13) 2% (1) 31
Slide 32: Large portion of public customers
THE GROUP Large portion of public customers Net sales, 2022 43% Public customers 57% (42) Private customers (58) GLÖSTORP SCHOOL Gothenbourg 32
Slide 33: High number of orders with good risk diversification
THE GROUP High number of orders with good risk diversification Orders received Order backlog Share of projects under MSEK 500 10.5 44.4 81% BSEK (14.4) BSEK (45.3) (89) 33
Slide 34: High level of order backlog
THE GROUP High level of order backlog Order backlog allocated over time, MSEK 35,000 29,883 28,789 30,000 25,000 20,000 15,000 35%after coming 11,618 11,445 10,000 financial year (34) 5,000 3,817 4,155 0,000 Coming financial year Next financial year Thereafter Dec 31, 2021 Dec 31, 2022 34
Slide 35: Cash flow affected by investments and working capital
THE GROUP Cash flow affected by investments and working capital Cash flow before financing, MSEK 3,000 2,465 2,500 2,000 1,763 1,500 1,000 781 805 0,500 0,000 -108 -97 -0,500 -323 -1,000 -897 -1,500 -1,540 -2,000 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 35
Slide 36: Net debt affected by working capital, investments and repurchase of own shares
THE GROUP Net debt affected by working capital, investments and repurchase of own shares Net debt and net debt/equity ratio 8,000 0,6 7,000 0,5 6,000 2,209 1,705 0,4 Net debt 5,000 0,968 1,768 4,000 3,000 1,055 0,968 0,947 0,3 6.9 BSEK (2.4) 0,2 4,456 1,573 4,628 4,690 2,000 0,958 4,118 3,514 2,818
Slide 37: Target checkpoint
Target checkpoint 37
Slide 38: 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 Most profitable Operating margin Leader in social Carbon dioxide intensity Carbon dioxide intensity Input goods & c
Slide 39: Financial targets
Financial targets
Slide 40: Operating margin over 6 percent
MOST PROFITABLE COMPANY 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 1 0 2015 2016 2017 2018 2019 2020* 2021 2022 *Operating margin exclusive effect of the distribution of Annehem Fastigheter of MSEK 952. Years 2015-2018 are not
Slide 41: Net debt/equity ratio within interval 0.3-0.7
MOST PROFITABLE COMPANY Net debt/equity ratio within interval 0.3-0.7 Net debt/equity ratio, Group 1,0 0,8 0,6 0,6 0,5 Target: 0.3-0.7 0,4 0,4 0,3 0,3 0,2 0,2 0,2 0,1 0,0 2015 2016 2017 2018 2019 2020 2021 2022 Years 2015-2018 are not translated according to the changed accounting principles for ou
Slide 42: Dividend more than 50 percent of profit for the year
STRATEGIC TARGET Dividend more than 50 percent of profit for the year Dividend, % of profit for the year Dividend, SEK 120 96 97 100 8,00 7.00 80 7,00 67 6,00 61 58 59 59 58 5.00 60 4.50 Target: >50% 5,00 4.00 4.20 4,00 4,00 3.60 40 3,00 2.60 20 2,00 1,00 0 2015 2016 2017 2018 2019* 2020 2021 2022**
Slide 43: Non-financial targets
Non-financial targets LILLA LIDINGÖ BRIDGE Stockholm 43
Slide 44: Focus on quality in our delivery
MOST SATISFIED CUSTOMERS Focus on quality in our delivery Customer Satisfied index (CSI) 82 81 80 80 80 78 78 76 75 75 Target: >75 74 73 73 72 70 68 2015 2016 2017 2018 2019 2020 2021 2022 44
Slide 45: First choice for jobseekers
BEST WORKPLACE First choice for jobseekers eNPS, recommend Peab 35 29 30 28 24 25 22 20 Target: 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 Q4 Q2 Q4 Q4 Q2 Q4 Q2 Q4 45
Slide 46: Zero vision for workplace accidents
BEST WORKPLACE Zero vision for workplace accidents Serious accidents, rolling 12 months, category 4 60 48 48 49 50 39 40 34 36 Target: 32 32 30 30 30 30 28 27 30 Contracting 25 20 trend 18 18 20 18 19 18 20 16 16 14 23 21 18 19 19 10 10 14 14 14 14 11 0 2020 2021 2022 Jan Mar Jun Sep Dec Mar Jun Sep
Slide 47: Climate targets for our own production
LEADER IN SOCIAL RESPONSIBILITY Climate targets for our own production Carbon dioxide intensity, own production (Scope 1 + 2) 120 100 80 60 Actual 2022: -43 % Target 2030: -60% 40 20 0 * Direct and indirect emissions as a result of using fuel and energy in our own production 47
Slide 48: Climate targets for input goods and purchased services
LEADER IN SOCIAL RESPONSIBILITY Climate targets for input goods and purchased services Carbon dioxide intensity, input goods and purchased services (Scope 3) 120 100 Actual 2022: -2% 80 60 Target 2030: -50% 40 20 0 * Includes concrete/cement, asphalt/bitumen, transportation and machine services, ste
Slide 49: Equal opportunity recruitment: Number of women always over education market
LEADER IN SOCIAL RESPONSIBILITY Equal opportunity recruitment: Number of women always over education market Production and processing* (SW), % 50% 45.0% 45.3% 40% 34.9% Target 2022: >30% 30% Actual 2022: 45.3% 20% Target 2023: >30% 10% 0% 2020 2021 2022 *27 years or younger Production management and
Slide 50: Stable profit in a challenging time
JAN-DEC 2022 Stable profit in a challenging time • Stable profit • Profit and margin affected negatively by higher material and energy costs • Fewer production starts and sales of own housing developments • Downgraded market outlook for 2023, particularly for the housing market but public building c
Slide 51: Next report: First quarter 2023
Q1 Next report: First quarter 2023 May 4, 2023 51
Slide 52: Thank you!
Thank you! =PEAB=