Veidekke ASA: Record residential sales for Veidekke
So far in 2013, Veidekke has sold residential units at a value of NOK 2.2 billon. "We have had great success with a number of new sales in both Norway and Sweden in the last quarter, and we have never previously achieved higher turnover on the sale of residential units than in the second quarter of 2013," says President and CEO of Veidekke, Arne Giske.
In the second quarter of 2013, Veidekke's property operations in Scandinavia sold a total of 304 units. The combined sales value for the quarter was NOK 1.43 billion, of which Veidekke's share was
NOK 925 million.
Residential sales in Q2 saw a marked increase from Q1, driven by high residential sales in Sweden. This is because several new projects reached the market, while sales remain high in existing projects. Among other things, 97 units of phase 1 of Svea Fanfar in Stockholm came on the market, and 60% of the units were sold in the course of the first month at a value of approx. NOK 440 million. "This is a new record for Veidekke such a short period after start of sale, and it is very pleasing that we are now starting to see good results from the land bank we have acquired in Sweden," Arne Giske says.
Sales in Norway remain high and stable. In the second quarter we have had successful sales kick-offs in several of our geographic focus areas. In Trondheim, Sandnes, Lillestrøm and Oslo we have presented projects for sale that have been well received by the market.
At the end of the quarter 1,664 residential units were under construction, of which Veidekke`s share was 1,242. The sale ratio of the portfolio is 76%.
As of Q2 2013, residential sales figures for Veidekke are as follows:
| Residential sales | Gross Q2 2013 (2012) | Net Q2 2013* (2012) | Total 2013 - gross (2012) | Total 2013 - net *(2012) |
| Norway | 157 (178) | 106 (129) | 297 (357) | 201 (275) |
| Sweden | 147 (63) | 113 (49) | 219 (119) | 181 (105) |
| Total | 304 (241) | 219 (178) | 516 (476) | 382 (380) |
*Veidekke`s share of sales in joint ventures, and own-account projects
For more information please contact:
Director of business development with Veidekke Eiendom, Audun Blegen, tel. +47 959 79 664, audun.blegen@veidekke.no
SVP Finance Jørgen Michelet, tel. +47 917 43 856, jorgen.michelet@veidekke.no
Veidekke is one of Scandinavia's leading contractors and property developers with a turnover of NOK 20 billion (2012) and 6,300 employees. Activities include building and construction projects, residential developments, asphalt plants, gravel and crushed stone and road services. Our values are professional, honest, enthusiastic and ground-breaking. Our goals for health, safety and the environment, HSE, have equal status with our financial goals. Veidekke is characterised by a strong corporate culture with employee involvement and co-ownership as important cornerstones. More than half of the employees are co-owners, holding around 20 per cent of the Group's shares between them. The company is listed on the Oslo Stock Exchange and has always posted a profit since it was founded in 1936.