NCC Group plc (NCC) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, everybody, and welcome to this presentation of the first quarter for 2026 for the NCC Group. I'm Thomas Karlsson, CEO of NCC, and with me here I have Susanne Litton, the CFO of the NCC Group. And Susanne will come back and give you all the details of this quarter. I will start with something I have never done before. I will start with the reader's manual of the Q1 report because there are some things that may confuse in understanding what's going on. And what is important to understand is this. You need to separate the different business areas that we have or business models that we have. And I like to talk about contracting industry and property development in particular because contracting business we have an operating profit earnings that is good it's 177 million and that despite the fact that revenues are down heavily and that's because we have managed to get rid of a number of large projects with zero margins so what happens is this Earnings is the same, net sales is down, and margins goes up and continued good market demand. And since contracting represents roughly 90% of the revenue in the first quarter, industry, as you know, we always have low earnings in the industry in the first quarter. We have slightly more in this quarter, and that is important. for all practical purposes, related to stone sales in January and February. In March, it came back to normal patterns. We don't see that that will have an impact on the full year, but it has an impact on the earnings in the first quarter. So industry always had strongly negative earnings in the first quarter, a little bit more now, but we know the source of that. What I like to point out is this. We have really strong orders received. We have that for the group, but particularly for industry with 1...