Interim Report Rejlers AB January–March 2014
Focus on profitability
» Revenue increased by 20 per cent to SEK 438.9 million (364.7)
» Operating profit was SEK 13.4 million (26.6)
» One-off costs of SEK 9 million included in operating profit
» Operating margin amounted to 3.1 per cent (7.3)
» Profit after tax was SEK 8.3 million (24.1)
» Earnings per share before dilution were SEK 0.70 (2.13)
» Diluted earnings per share were SEK 0.67 (2.13)
» Peter Rejler was reinstated as President and CEO from 1 April
Statement from President and CEO Peter Rejler
Rejlers has shown growth of 20 per cent over the quarter, the majority of which came through acquisitions. The market remains good for infrastructure and energy services in all three segments, and the telecommunications business is growing especially strongly. Demand is also good within building and property-related services in major urban areas.
Results for the first quarter have been affected by one-off costs of SEK 9 million, mainly related to the change of President and CEO.
The focus is now on increasing profitability, particularly in Norway and Finland. Addressing the market and concentrating on profitable assignments should improve margins.
Operations are developing well in Sweden. The level of activity has risen and the operating margin was 9.5 per cent, a clear improvement on the previous quarter. The view is that demand for our industrial assignments will also improve in 2014.
In Finland we are adapting our operations to the prevailing market situation. Results for the Finnish operations are affected by a continuing weak economy in that country. The demand for our services has decreased especially within Industry.
From the first quarter onwards, Rejlers Norway is reported as a separate segment, and in terms of revenue the operation is the same size as Rejlers Finland. During the quarter we focused on gathering the acquisitions in Norway under one roof, which had a negative effect on results. There are now good prospects for growth and increased profitability.
It feels good to be back as President. My task now is to develop the business and restore profitability and organic growth to historical levels.
For further information, please contact:
Peter Rejler, President and CEO, tel. +46 (0)70 602 34 24, e-mail: email@example.com
Eva K Nygren, CFO, tel. +46 (0)73 412 59 60, e-mail: firstname.lastname@example.org
Rejlers is one of the largest engineering consultancy firms in the Nordic region. Our 1,800 experts work with projects within the areas of Building and property, Energy, Industry and Infrastructure. With us, you will meet specialist engineers with the breadth, cutting edge expertise and not least energy to create the results you want. We are continuing to grow rapidly and our activities are spread across 80 locations in Sweden, Finland, Norway and Russia. In 2013 Rejlers had revenue of approx. SEK 1.5 billion and its Class B share is listed on the Nasdaq OMX, Nordic list.
The information in this interim report is that which Rejlers AB is required to publish in compliance with the Swedish Securities Market Act and/or the Swedish Financial Instruments Trading Act. This information was released for publication on 29 April 2014 at 4.00 pm. This interim report is also available in Swedish. The English version is a translation of the Swedish original. In the case of any discrepancy between the two, the Swedish version takes precedence.