Skanska: Interim report, third quarter 2024
Rhea-AI Summary
Skanska reported strong Q3 2024 results with revenue reaching SEK 42.8 billion, a 9% increase adjusted for currency effects. Operating income rose significantly to SEK 1.3 billion, showing a 138% increase. Construction segment performed well with operating income of SEK 1.5 billion and a 3.6% margin. Order bookings surged 63% to SEK 50.8 billion with a book-to-build ratio of 124%. However, Project Development faced challenges with SEK -0.3 billion operating income and negative returns due to weak property markets. Operating cash flow improved substantially to SEK 6.2 billion, while earnings per share increased to SEK 2.28.
Positive
- Revenue increased 9% to SEK 42.8 billion
- Operating income grew 138% to SEK 1.3 billion
- Construction segment operating margin improved to 3.6%
- Order bookings increased 63% to SEK 50.8 billion
- Operating cash flow significantly improved to SEK 6.2 billion
- Book-to-build ratio strengthened to 124%
Negative
- Project Development posted operating loss of SEK -0.3 billion
- Property asset impairment charges of SEK -0.3 billion
- Return on equity declined to 7.9% from 9.5%
- Negative return on capital employed (-0.4%) in Project Development
News Market Reaction – SKBSY
On the day this news was published, SKBSY declined 1.48%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
STOCKHOLM, Nov. 6, 2024 /PRNewswire/ --
Highlights according to segment reporting
- Revenue amounted to SEK 42.8 billion (40.3); adjusted for currency effects, revenue increased 9 percent.
- Operating income amounted to SEK 1.3 billion (0.5); adjusted for currency effects, operating income increased 138 percent.
- Earnings per share amounted to SEK 2.28 (1.41).
- Operating cash flow from operations amounted to SEK 6.2 billion (0.3) for the period according to IFRS.
- Adjusted interest-bearing net receivables(+)/net debt(-) totaled SEK 6.5 billion (Jun 30, 2024: 1.8).
- Order bookings in Construction amounted to SEK 50.8 billion (32.7). Adjusted for currency effects, order bookings quarter over quarter increased 63 percent. Rolling 12-month book-to-build ratio was 124 percent (107).
- Operating income in Construction amounted to SEK 1.5 billion (1.4), representing an operating margin of 3.6 percent (3.3).
- Operating income in Project Development amounted to SEK -0.3 billion (-0.8), including property asset impairment charges of SEK -0.3 billion.
- Return on capital employed in Project Development was -0.4 percent (0.7), following weak property markets.
- Return on equity was 7.9 percent (9.5).
This report will also be presented at a telephone conference at 10:00 CET on November 6, 2024. The press conference will be webcast live at www.skanska.com/investors, where a recording of the conference will also be available later. Participate in the audio conference, with the possibility to ask questions. Preferred connection (web link), for best audio quality, please join the call from your phone via the HD Audio web link here: HD Audio link. If you need to call in via telephone line, please dial +46 (0) 8 5051 0031; +44 (0)207 107 06 13 or +1 (1) 631 570 56 13.
This and previous releases can also be found at www.group.skanska.com/investors.
This is information that Skanska AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the Senior Vice President Investor Relations set out below, at 07:30 CET on November 6, 2024.
For further information, please contact:
Pontus Winqvist, acting EVP and CFO, Skanska AB, tel +46 10 448 8900
Antonia Junelind, Senior Vice President, Investor Relations, Skanska AB, tel +46 10 448 6261
Karolina Cederhage, Senior Vice President, Communications, Skanska AB, tel +46 10 448 0880
Håkan Ström, acting Head of Media Relations and Public Affairs, Skanska AB, tel +46 10 449 1957
This information was brought to you by Cision http://news.cision.com
https://news.cision.com/skanska/r/interim-report--third-quarter-2024,c4061751
The following files are available for download:
Skanska interim report q3 2024 |