Sweco AB (publ) Year-end report 2017
Sweco’s strongest year so far
October – December 2017
Net sales increased to SEK 4,582 million (4,421)
EBITA increased to SEK 448 million (395), margin 9.8 per cent (8.9)
EBIT increased to SEK 431 million (378), margin 9.4 per cent (8.6)
Profit after tax increased to SEK 480 million (276), corresponding to SEK 4.02 per share (2.30)
January – December 2017
Net sales increased to SEK 16,887 million (16,531)
EBITA increased to SEK 1,492 million (1,336), margin 8.8 per cent (8.1)
EBIT increased to SEK 1,425 million (1,249), margin 8.4 per cent (7.6)
Net debt increased to SEK 1,698 million (1,558)
Net debt/EBITDA amounted to 1.0 times (1.0)
Profit after tax increased to SEK 1,223 million (931), corresponding to SEK 10.23 per share (7.78)
The Board of Directors proposes a dividend distribution of SEK 5.00 per share (4.30)
Comments from President and CEO Tomas Carlsson:
Sweco had a stable development during the quarter. An increased billing ratio and positive fee development contributed positively to EBITA. At the same time calendar effects, project write-downs and restructuring costs in Norway and Denmark impacted EBITA negatively. In summarising the 2017 full-year result, we can conclude that it is the best financial result in Sweco’s history, so far.
The positive development continues in the Netherlands. On the back of a solid trajectory in our Dutch business, we now recognise the tax value of historical losses in Grontmij. As a result, a one-off tax asset of SEK 161 million had a positive impact on net profit during the quarter. With a strong financial position, solid increase in earnings per share and a positive outlook for Sweco’s business, the Board of Directors proposes increasing the dividend to SEK 5.00 per share.
During and after the quarter, Sweco announced three acquisitions with a total of 300 employees: Dimensjon Rådgivning in Norway, HaskoningDHV in Belgium and Årstiderne Arkitekter in Denmark. Our strategy for the future is to repeat our history. We will continue to strengthen our European leadership through acquisitions and organic growth. Our focus remains on our customers, internal efficiency and having the best people in the business.
Overall, the market for Sweco’s services is good. The Swedish market remains strong in most segments, while residential construction is slowing down. The markets in Finland and the Netherlands have improved and are good. Essentially all other core markets remain good.
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Sweco plans and designs tomorrow’s communities and cities. Our work produces sustainable buildings, efficient infrastructure and access to electricity and clean water. With 14,500 employees in Europe, we offer our customers the right expertise for every project. We carry out projects in 70 countries annually throughout the world. Sweco is Europe’s leading engineering and architecture consultancy, with sales of approximately SEK 16.9 billion (EUR 1.8 billion). The company is listed on Nasdaq Stockholm. This information is information that Sweco is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons, at 07:20 CET on 13 February 2018.