Selvaag Bolig - Increased delivery rate strengthens results
A high pace of delivering homes and land sales yielded a record operating profit of NOK 191 million for Selvaag Bolig in the third quarter of 2012. The company expects this positive trend to continue in the final three months of the year.
Operating revenues for Selvaag Bolig totalled NOK 874 million in the third quarter, up NOK 380 million from the previous three-month period. This increase primarily reflected the growth in housing deliveries and NOK 122 million in revenues from land sales during the quarter. Sales in the same period of 2011 were NOK 37 million.
The EBITDA-margin for the third quarter was 25.8 per cent, compared to 14.6 per cent in the previous quarter and 18.2 per cent in the corresponding quarter last year.
Operating profit of NOK 191 million was up from NOK 59 million in the second quarter and from NOK 63 million in the third quarter of 2011. The figures last year and this are not directly comparable, since the company owned a number of projects in 2011 through associates.
- Last year's substantial growth in sales and production is now beginning to show results in the form of a higher pace of deliveries and a substantial profit improvement. Based on expectations of more than 300 deliveries in the fourth quarter, a similar development are expected in the final three months of the year, says Baard Schumann, chief executive of Selvaag Bolig.
The level of activity in the group is high and the order backlog good. Sales began during the quarter in four projects covering a total of 185 homes.
Construction started on 156 units, and 222 were completed. The company delivered a total of 210 homes during the period. Sales amounted to 303 homes collectively worth NOK 966 million.
At 30 September, the company had 993 homes under construction, of which 89 per cent had been sold. The total sales value of units under construction is put at just over NOK 3.4 billion.
For further information, please contact:
Baard Schumann, CEO Selvaag Bolig ASA
Telephone: +47 940 80 000, e-mail: bas@selvaagbolig.no
Haavard Rønning, CFO Selvaag Bolig ASA
Telephone: +47 400 20 019, e-mail: hroe@selvaagbolig.no
About Selvaag Bolig
Selvaag Bolig ASA is a residential property developer controlling the entire value chain from acquisition of land plots to sale of homes. The company has several thousand homes under construction and focuses on the growth areas Greater Oslo, Bergen and Stavanger. Selvaag Bolig continues the Selvaag Group's 60 years history, and offers a variety of property types marketed under the brand names Selvaag Start, Selvaag Hjem and Selvaag Pluss. The company is headquartered at Løren in Oslo.