Veidekke ASA: Strong home sales for Veidekke

"Veidekke is experiencing continued strong demand and a good residential market in Norway, and in addition there are positive signs in the Swedish market," says Deputy President and CEO Arne Giske of Veidekke ASA. The figures from the first quarter give reason for optimism for residential sales in the time ahead.

Veidekke's property development operations in Scandinavia sold a total of 212 residential units in the first quarter of 2013 (Veidekke's share 163). Total sales value was NOK 785 million, of which the relative proportion for Veidekke was NOK 574 million.

"Residential sales are still doing very well in Norway. Several of the large wholly owned projects are about to close sales, resulting in a slightly lower sales of residential units in Norway than in the corresponding quarter of 2012. At the same time, an increasing number of collaborative projects entail that Veidekke's share of residential sales will drop somewhat. Several large projects will come onto the market in the second and third quarters. This applies both to Oslo and several of the other major cities in Norway," says Deputy President and CEO of Veidekke ASA, Arne Giske.

Veidekke's residential sales in the beginning of 2013 also indicate that activity is on the rise in the Swedish market.  In the first quarter, 72 residential units were sold in Sweden, compared to 53 last year. "It finally seems that the Swedish market is starting to pick up again, especially in Greater Stockholm. Viewings have been well-visited, and it appears to take less time to close sales. Several projects will come onto the market in Sweden as well in the time ahead, and we are pleased about the signs of optimism," Arne Giske says.

At the end of the quarter 1,622 units were under construction (Veidekke's share 1,239). The sales ratio of the portfolio is 80% (Veidekke's share).

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
EVP Communication Kai Krüger Henriksen, tel +47 905 19 360, kai.henriksen@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 aggregates and road maintenance. Our values are professional, honest, enthusiastic and pioneering. 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% of the Group's shares between them. The company is listed on the Oslo Stock Exchange and has never declared a loss since it was founded in 1936.