Veidekke ASA: Sold residential units valued at NOK 1.7 billion

Veidekke sold homes valued at NOK 1.7 billion in the first quarter of 2020, compared to NOK 2.5 billion last year. The number of residential units under construction was 1,864, with a sales ratio of 80%.

Veidekke sold 299 residential units during the first quarter of 2020, of which 167 units were in Sweden and 132 in Norway.

“The first quarter was a good one in terms of sales for Veidekke Eiendom. In Sweden a boost in sales in Stockholm contributed to the strongest sales since the spring of 2016. Activity levels in Norway were high as well, and sales increased compared to previous quarters,” says Jørgen Wiese Porsmyr, EVP of Veidekke.

The authorities have introduced restrictions to prevent the spread of the coronavirus in both Norway and Sweden. Veidekke is adjusting market activities to the situation, and online viewings in both Oslo, Gothenburg and Stockholm have already attracted considerable interest.

“Activity remained high up to the final week of the quarter, and all projects under construction and planned handovers will take place according to plan. It is however too early to say how much economic uncertainty as a result of the COVID-19 pandemic will affect sales over the next quarters,” Porsmyr concludes.

The value of the sold residential units was NOK 1.7 billion in the first quarter of 2020, of which Veidekke’s share was NOK 1.2 billion.

The number of residential units currently under construction is 1,864 at the end of the quarter, of which Veidekke’s share is 1,314 units. The sales ratio for units under construction is 80%.

Residential unit sales figures for Veidekke in Q1 2020:

1) Number of sales including joint venture projects

2) Veidekke's share of sales

3) The decrease in sales in Norway compared with the first quarter 2019 is due to the strong start of sales at Middelthunet in Oslo in February 2019.
 

For more information, please contact:
EVP Jørgen Wiese Porsmyr, tel. +47 907 59 058, Jorgen-Wiese.Porsmyr@veidekke.no
Director of Business Development at 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 largest construction and property development companies. The company undertakes all types of building and civil engineering contracts, develops residential projects, maintains roads, and produces asphalt and aggregates. The company is characterised by involvement and local knowledge. Revenue is around NOK 39 billion, and half of the 8,600 employees own shares in the company. Veidekke is listed on the Oslo Stock Exchange and has always posted a profit since it was founded in 1936.

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