Veidekke

Earnings Release • Mar 27, 2023

Veidekke: Annual and sustainability report 2022

Veidekke: Annual and sustainability report 2022

Veidekke published its annual and sustainability report for 2022 today. The

group achieved solid results, and proposes to distribute nearly all annual

profits for 2022 in dividends to shareholders.

In 2022, Veidekke's revenues increased by 3% over the previous year, while the

profit margin was raised to 3.8%, from 3.6% in 2021. All business areas except

Construction Sweden boosted their profitability over the previous year. The

group entered 2023 with a solid and balanced project portfolio and is well

positioned to handle a more uncertain market.

"Behind us is another year characterised by unforeseen global events, with

rising interest rates, energy prices at all-time highs, restricted commodity

supplies and galloping inflation. But despite these circumstances, Veidekke's

determined and painstaking pursuit of improvements throughout the group secured

an annual profit in line with the expectations

we communicated to the market two years ago," says Jimmy Bengtsson, Group CEO of

Veidekke.

The annual report also includes a sustainability report that covers

environmental, social and governance impacts. Veidekke was among the first

companies listed on the Oslo Stock Exchange to adopt the climate goals set out

in the Paris Agreement in 2015. Two years ago, the group raised its own climate

targets, to achieving net zero GHG emissions throughout its supply chains by

2045. As the first contractor in Scandinavia, Veidekke reached an important

milestone in 2022, when both short- and long-term climate targets were verified

by the renowned Science Based Targets initiative. The climate targets are

monitored in line with financial targets and occupational health and safety

targets.

Occupational health and safety is a key priority for Veidekke, and all tools,

systems, training, equipment and attitudes are aimed at ensuring that life and

health is not put at risk at the group's construction sites. Nevertheless, two

serious injuries occurred during in 2022 - two more than in the preceding year.

Veidekke is also working to encourage more women to apply to the industry and to

generally increase diversity on its construction sites:

"People are at the forefront of all our operations, and we continue to depend on

our ability to attract and retain committed, motivated and inspired colleagues.

Construction is still a male-dominated industry. We have everything to gain from

recruiting more women and generally becoming more diverse, and we will intensify

this effort going forward," says Jimmy Bengtsson.

Veidekke's annual and sustainability report for 2022 (pdf) and the company's

annual accounts in European Single Electronic Format (ESEF) are attached to this

release and are also available for download (https://www.veidekke.com/investor

-relations/reports-and-presentations/). The report responds to statutory

requirements for annual reports and accounts, and contains additional

information on corporate governance, shareholder information and sustainability

work.

This information is subject to a disclosure duty pursuant to section 5-12 of the

Securities Trading Act.

For more information, contact:

Jimmy Bengtsson, Group CEO +47?984 70?000

Lars Erik Lund, EVP, +47?413 31 369

Jørgen Wiese Porsmyr, CFO,+47?907 59 058

Veidekke press photos (https://veidekke.fotoware.cloud/fotoweb/archives/5028

-Pressebilder-Veidekke/)

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Veidekke is one of Scandinavia's largest contractors. In addition to undertaking

all types of building and civil engineering assignments, the group also

maintains roads and produces asphalt and aggregates. Veidekke emphasises

stakeholder involvement and local experience. Its annual turnover is

approximately NOK 39 billion, and half of its 8,000 employees own shares in the

company. Veidekke is listed on the Oslo Stock Exchange, and has posted a profit

every year since its inception in 1936.