Quarterly Report • Apr 25, 2018
Quarterly Report
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| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| Group, SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Orders received | 17,521 | 11,431 | 62,867 | 56,777 |
| Order backlog | 58,851 | 49,386 | 58,851 | 51,734 |
| Net sales | 10,894 | 11,748 | 53,588 | 54,441 |
| Operating profit/loss | -364 | 244 | 466 | 1,075 |
| Profit/loss after financial items | -372 | 225 | 386 | 983 |
| Net profit/loss for the period | -296 | 193 | 390 | 877 |
| Profit/loss per share after dilution, SEK | -2.73 | 1.80 | 3.55 | 8.07 |
| Cashflow before financing | -815 | 1,737 | -1,191 | 1,361 |
| Equity/asset ratio, % | 18 | 22 | 18 | 19 |
| Net cash +/net indebtedness - | -1,011 | 1,519 | -1,011 | -149 |
For definitions of key figures, see www.ncc.group/ Investor-relations/ Financial-data/ Financial-definitions
Comparative figures for NCC Building and NCC Infrastructure have been recalculated due to the introduction of new accounting policies according to IFRS15; also refer to Note 1 Accounting policies.
In the first quarter, we continued to focus on profitability-enhancing measures. Work to reduce overhead costs continues. During the quarter, we took steps towards improving the long-term profitability of construction and civil engineering operations.
The result after financial items in the first quarter deteriorated to a loss of SEK 372 M (profit: 225), which was primarily due to NCC Property Development reporting lower operating profit of SEK 16 M (593). The long winter had a negative impact on NCC Industry's results. NCC Building and NCC Infrastructure reported improved earnings.
The Nordic construction market has shown strong growth in recent years. The growth rate is now declining somewhat and the market is estimated to grow by some 3 percent in 2018. Orders received by NCC were strong in the first quarter, primarily in our construction and civil engineering operations, where orders received rose 70 percent year-on-year. The order backlog increased SEK 7 billion to nearly SEK 59 billion, a historically high level that provides stability the coming years.
Operations in this business area improved during the quarter. Increases were noted in sales and earnings. The operating margin also improved, in part due to lower overhead costs.
The business area's earnings improved as a result of increased sales and lower overhead costs. However, due to a low margin in ongoing projects, an operating loss was still reported. Since the time for working through the order backlog is longer than in NCC Building, reversing NCC Infrastructure's negative earnings trend is taking longer.
NCC Property Development reported lower earnings year-on-year because only one minor project, in Finland, was recognized in profit for the quarter. Four projects were recognized in profit in the year-earlier period, including the major office project, Torsplan 2 in Stockholm.
The Industry business area's results were impacted negatively by the long winter. Both the asphalt and stone materials operations reported lower sales. The business area also had higher overhead costs due to increased capacity and lower earnings from the foundation engineering operations.
As Acting CEO, I have focused on profitability and safety. We now see signs that profitability is slowly returning. We have intensified safety efforts generally in the Group and particularly in the units not achieving their targets. This will eventually generate results.
Håkan Broman, acting President and CEO Solna, April 25, 2018
Most recent period January-March 2018
Orders received totaled SEK 17,521 M (11,431) in the first quarter, as a result of increases in NCC Infrastructure and NCC Building. Changes in exchange rates increased orders received in the first quarter by SEK 101 M (120) year-on-year.
The Group's order backlog totaled SEK 58,851 M (49,386). Changes in exchange rates increased the value of the order backlog by SEK 883 M (neg: 134).
Net sales in the first quarter amounted to SEK 10,894 M (11,748). Net sales in the Building, Infrastructure and Industry business areas were higher year-on-year, because NCC Property Development reported lower sales and significantly fewer property projects were recognized in profit during the quarter. Changes in exchange rates had a positive impact of SEK 86 M (155) on first-quarter sales.
NCC's operating result for the first quarter was a loss of SEK 364 M (profit: 244). The earnings decline was due primarily to NCC Property Development reporting lower operating profit during the period because it recognized more and larger projects in profit during the first quarter of 2017. NCC Building improved its operating profit through higher sales, lower impairment losses on projects and lower overhead costs. The increase in NCC Infrastructure's earnings was due primarily to higher sales and lower overhead costs. NCC Industry's weaker earnings resulted primarily from lower earnings in both the asphalt and stone materials operations.
Net financial items were an expense of SEK 8 M (expense: 19). Lower interest rates on loans had a positive impact on the financial net. The equity/assets ratio declined in the first quarter due to the seasonal loss and the introduction of IFRS15.
Cash flow from operating activities was a negative SEK 584 M (pos: 1,868). The seasonally weak operating profit had a negative impact on cash flow. During the quarter, one project was recognized in NCC Property Development's profit, which had a positive impact on cash flow, while continued investments in property projects had a negative impact. Four property projects were recognized in profit in the year-earlier period. During the quarter, seasonally improved cash flow from accounts receivable had a positive impact on other changes in working capital. Total cash and cash equivalents at the end of the quarter amounted to SEK 2,818 M (4,665).
The Group's net indebtedness at March 31 amounted to SEK 1,011 M (cash: 1,519).
The Group's total assets at March 31 amounted to SEK 27,803 M (25,013).
The average maturity period for interest-bearing liabilities, excluding pension debt according to IAS 19, was 27 months (35) at the end of the quarter. At the same date, NCC's unutilized committed lines of credit totaled SEK 3.6 billion (3.4), with an average remaining maturity of 41 (52) months.
Capital employed at March 31 totaled SEK 9,584 M (9,229), with the rise primarily due to increased investments in ongoing projects in NCC Property Development. The return on capital employed was 5.3 percent (77.0) in the first quarter.
Safety has a high priority and NCC has a zero vision with respect to worksite accidents. The trend in accidents at NCC has pointed downwards since 2011 and the objective is that the accident frequency rate will be less than 3.5 in 2020. On a rolling 12-month basis, the accident frequency rate increased year-on-year during the first quarter of 2018. It was the volume of minor injuries that increased; meaning those leading to one to three days of absence. This was due to the long winter, which resulted in, among other consequences, a higher number of weather-related accidents. The most common accidents were slips, slides and falls, as well as accidents involving handheld machines and cuts.
Accident frequency
* Accident frequency: Worksite accidents resulting in one day or more of absence from work per million worked hours.
| Net indebtedness, SEK M | 2018 Jan.-Mar. |
2017 Jan.-Mar. |
Apr. 17- Mar. 18 |
2017 Jan. -Dec. |
|---|---|---|---|---|
| Net indebtedness, opening balance | -149 | -222 | 1,519 | -222 |
| - Cash flow from operating activities | -584 | 1,868 | -293 | 2,158 |
| - Cash flow from investing activities | -231 | -132 | -898 | -797 |
| Cash flow before financing | -815 | 1,737 | -1,191 | 1,361 |
| Acquisition/Sale of treasury shares | -4 | -4 | ||
| Change of provisions for pensions | -50 | 20 | -470 | -399 |
| Currency exchange differences in cash and cash equivalents | 3 | -17 | -1 | -20 |
| Paid dividend | -865 | -865 | ||
| Net cash + /net indebtedness - closing balance | -1,011 | 1,519 | -1,011 | -149 |
GDP in the Nordic region is expected to grow by about 2.3 percent annually in 2018 and 2019. The growth rate in the Nordic construction market is expected to decline following several years of strong growth. The forecast rate of growth is some 3 percent for 2018 and nearly 1 percent for 2019.
Infrastructure initiatives are driving the civil engineering market. The market in Norway is expected to show the highest growth in 2018–2019, while healthy growth is also expected in Sweden. In Finland and Denmark, lower growth is expected in the civil engineering market in 2018.
Growth in new production in the Nordic region was very high in 2017. The estimate for 2018 is that growth will weaken and the market for new production is expected to decline somewhat in 2019. The refurbishment market is expected to show stable development with annual growth of some 2 percent in 2018–2019.
A strong civil engineering market is driving growth in demand for asphalt and stone materials in the Nordic region. Growth of 4–8 percent is expected in 2018 and 2019, with Norway and Sweden showing the highest growth. The market for foundation engineering companies was expanding in 2017; however, in 2018 and 2018 a decline in housing investments is expected to impact the market.
Transaction volume in the Nordic region was at a historically high level in 2017. Low yield requirements from investors and high demand for modern and sustainable new premises are expected to result in the market remaining favorable in 2018–2019.
GDP and construction volume, outlook (real) Construction volume and outlook per segment (real)
Source: Newsec, NCC Source: Euroconstruct, NCC
Most recent period January-March 2018 Product mix
Orders received by NCC Building in the first quarter rose and amounted to SEK 5,592 M (3,731). The Swedish operations accounted for the main increase. In Norway, the business area is adopting a cautious approach to submitted tenders. The product mix for orders received continued to reflect an increased share of refurbishment projects. Orders received in housing and healthcare rose year-on-year, while orders received in Industry and the retail sector declined.
The order backlog increased to SEK 29,752 M (27,158) at the end of the period.
Net sales increased slightly to SEK 5,948 M (5,657). The increase derived from Sweden and Denmark.
NCC Building's net sales consist mainly of housing production and refurbishment. In terms of sales, Sweden is the largest market and the Swedish operations have a high order backlog to work up moving forward.
Operating profit in the first quarter totaled SEK 122 M (38). Profit for the quarter rose year-on-year as an effect of among others higher sales and lower expenses. The improvement was attributable to all countries. Earnings for the first quarter of 2017 were charged with SEK 50 M for impairment losses on housing projects in the Finnish market.
Net sales
Offices 3 (0)% Residential 19 (9)% Industry/Logistics 1 (14)% Refurbishment/Conversion 30 (29)%
Retail 1 (8)% Health Care 16 (8)% Educational 2 (5)% Public Buildings 21 (15)% Other 7 (12)%
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| NCC Building, SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Orders received | 5,592 | 3,731 | 26,822 | 24,961 |
| Order backlog | 29,752 | 27,158 | 29,752 | 29,628 |
| Net sales | 5,948 | 5,657 | 24,914 | 24,622 |
| Operating profit/loss | 122 | 38 | 493 | 409 |
| Financial target: | ||||
| Operating margin, % 1) | 2.1 | 0.7 | 2.0 | 1.7 |
1) Target: operating margin ≥ 3.5%
Most recent period January-March 2018 Product mix
Orders received by NCC Infrastructure increased in the first quarter and amounted to SEK 9,497 M (4,996). The Civil Engineering division and the Infraservices division both reported increases in orders received during the first quarter. The increase was mainly attributable to the Civil Engineering division securing the Central Station railway project, a stage of the West Link in Gothenburg, with an order value SEK 4.7 billion. The Infraservices Division increased its orders received in Norway, Denmark and Finland.
The order backlog increased to SEK 25,195 M (17,957) at the end of the period.
Net sales totaled SEK 4,294 M (3,365) in the quarter. The increase in the quarter derived from higher sales in both the Civil Engineering division, which has a number of projects at advanced work-up stages, and the Infraservices division, where most of the departments reported higher sales.
NCC Infrastructure's net sales largely comprise earth and groundworks and roads.
The operating result improved and amounted to a loss of SEK 11 M (loss: 66) during the quarter. The increase in earnings was due primarily to higher sales but also lower overhead costs. Due to low margins on ongoing projects, an operating loss was reported.
Other 2 (5)%
Roads 20 (20)% Railways 2 (2)%
Orders received
Net sales
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| NCC Infrastructure, SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Orders received | 9,497 | 4,996 | 26,228 | 21,727 |
| Order backlog | 25,195 | 17,957 | 25,195 | 19,682 |
| Net sales | 4,294 | 3,365 | 19,420 | 18,490 |
| Operating profit/loss | -11 | -66 | -143 | -198 |
| Financial target: | ||||
| Operating margin, % 1) | -0.3 | -2.0 | -0.7 | -1.1 |
1) Target: operating margin ≥ 3.5%
Most recent period January-March 2018 Product mix
Sales increased year-on-year to SEK 1,165 M (1,087). The increase was attributable to higher sales in the foundation engineering business, which acquired operations in Norway in the preceding year. The asphalt and stone materials operations were impacted by the long winter and sales declined compared with the year-earlier period.
The operating result for the period declined year-on-year to a loss of SEK 411 M (loss: 310). The earnings of asphalt operations declined due to a delayed start to the season as a result of the cold weather and also due expansion which resulted in increased fixed capacity costs. The earnings of stone materials operations declined due to lower volumes sold resulting from the long winter. The earnings of the foundation engineering operations declined due to integration costs for the acquired operations in Norway.
Capital employed rose in the first quarter with SEK 0.1 billion and amounted to SEK 4.5 billion. The increase was primarily due to higher investments during the first quarter.
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| NCC Industry, SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Orders received | 2,867 | 3,248 | 12,141 | 12,522 |
| Order backlog | 4,855 | 5,053 | 4,855 | 3,059 |
| Net sales | 1,165 | 1,087 | 12,471 | 12,393 |
| Operating profit/loss | -411 | -310 | 475 | 577 |
| Capital employed | 4,456 | 3,901 | 4,456 | 4,400 |
| Stone materials, tons 1) | 5,306 | 5,783 | 30,820 | 31,298 |
| Asphalt, tons 1) | 105 | 159 | 6,456 | 6,509 |
| Financial targets: | ||||
| Operating margin, % 2) | -35.3 | -28.5 | 3.8 | 4.7 |
| Return on capital employed, % 3) | 10.6 | 13.1 |
1) Sold volume
2) Target: operating margin ≥ 4%
3) Target: return on capital employed ≥ 10%
Most recent period January-March 2018 Product mix
Net sales in the first quarter amounted to SEK 285 M (2,173). One project was recognized in profit during the first quarter, Suurpelto 1 in Finland. Four projects were recognized in profit in the corresponding period in 2017, two of which were in Sweden and two in Finland.
First quarter operating profit totaled SEK 16 M (593). The largest part of the profit derived from the Suurpelto 1 retail project in Finland and from the sale of one plot of land, Duesager in Denmark.
During the first quarter, no projects were started. Two projects were sold in Finland – Suurpelto 1 and Laajasalo 1. The former was recognized in profit in the quarter and the latter is expected to be recognized in profit during the fourth quarter of 2018. Leasing in the first quarter amounted to 6,000 square meters (10,300).
At the end of the first quarter, 21 projects (16) were either ongoing or completed but not yet recognized in profit. The costs incurred in all projects totaled SEK 2.8 billion (1.3), corresponding to a completion rate of 53 percent (41). The leasing rate was 62 (43) percent. The operating net for completed projects was SEK 11 M (16) during the first quarter.
The year-on-year increase in capital employed in the first quarter was the result of investments in ongoing projects. Capital employed rose SEK 0.5 billion to SEK 4.6 billion in the first quarter.
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| NCC Property Development, SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Net sales | 285 | 2,173 | 678 | 2,567 |
| Operating profit/loss | 16 | 593 | 24 | 601 |
| Capital employed | 4,591 | 3,320 | 4,591 | 4,086 |
| Financial targets: | ||||
| Operating margin, % 1) | 5.5 | 27.3 | 3.5 | 23.4 |
| Return on capital employed, % 2) | 0.9 | 15.7 |
1) Target: operating margin ≥ 10%
2) Target: return on capital employed ≥ 10%
Property development projects as of 2018-03-31 1)
| Total | 45 | 141,200 | 64 | |||
|---|---|---|---|---|---|---|
| Total Sweden | 45 | 84,900 | 66 | |||
| Mölndal Galleria | Retail | Mölndal | 2) Q3 2018 | 90 | 13,100 | 72 |
| Multihuset | Other | Malmö | 37 | 19,700 | 52 | |
| Önskebrunnen 4 | Logistics | Upplands Bro | 35 | 11,600 | 41 | |
| Arendal 3 | Logistics | Gothenburg | Q2 2018 | 78 | 6,800 | 100 |
| K12 | Office | Solna | 34 | 21,700 | 94 | |
| K11 | Office | Solna | 26 | 12,000 | 27 | |
| Total Norway | 46 | 14,700 | 40 | |||
| Valle 1 | Office | Oslo | 51 | 8,000 | 5 | |
| Lysaker PP11 | Office | Bærum | 42 | 6,700 | 78 | |
| Total Finland | 63 | 17,600 | 70 | |||
| Laajasalo 1 | Retail | Helsinki | Q4 2018 | 57 | 8,600 | 90 |
| Fredriksberg 1 | Office | Helsinki | 68 | 9,000 | 52 | |
| Total Denmark | 30 | 24,000 | 64 | |||
| Zleep Hotel | Other | Århus | Q2 2019 | 13 | 3,200 | 100 |
| Skejby CH Alpha | Office | Århus | Q1 2019 | 22 | 6,300 | 31 |
| Frederiks Plads 1 | Office | Århus | 77 | 5,200 | 13 | |
| Flintholm 2 | Office | Copenhagen | 15 | 9,300 | 100 | |
| Project | Type | Location | recognition in profit |
tion ratio, % |
area (sqm) |
ratio, % |
| estimated | Comple | Lettable | Letting | |||
| Sold, |
| Sold, | |||||
|---|---|---|---|---|---|
| estimated | Lettable | Letting | |||
| recognition in | area | ratio, | |||
| Project | Type | Location | profit | (sqm) | % |
| CH Vallensbæk 4.1 | Office | Vallensbæk | 6,100 | 14 | |
| Kolding Retailpark | Retail | Kolding | 4,000 | 74 | |
| Roskildevej | Retail | Taastrup | 4,000 | 100 | |
| Viborg Retail II+III | Retail | Viborg | 900 | 0 | |
| Zenit 2 | Office | Århus | 3,600 | 100 | |
| Total Denmark | 18,600 | 58 | |||
| Alberga E | Office | Espoo | 5,800 | 50 | |
| Total Finland | 5,800 | 50 | |||
| Stavanger Business Park 1 | Office | Stavanger | 9,200 | 44 | |
| Total Norway | 9,200 | 44 | |||
| Total | 33,600 | 51 |
1) The table refers to ongoing or completed property projects that have not yet been recognized as revenue. In addition to these projects, NCC also focuses on rental (rental guarantees / additional purchase) in five previously sold and revenue recognized property projects, a maximum of approximately 20 MSEK.
2) The project covers approximately 25,000 square meters of leasable area and is implemented together with Citycon, a Finnish listed real estate company, in a jointly owned company. The data in the table refer to NCC's share of the project.
An account of the risks to which NCC may be exposed is presented in the 2017 Annual Report (pages 46–47). This description remains relevant.
Related parties are the Nordstjernan Group (including the associated company Bonava), NCC's subsidiaries, associated companies and joint arrangements. Related-party transactions were of a production nature. Related-party sales during the first quarter amounted to SEK 532 M (867) and purchases to SEK 4 M (155).
NCC Industry's operations and certain operations in NCC Building and NCC Infrastructure are impacted by seasonal variations due to cold weather. Earnings in the first quarter are normally weaker than the rest of the year.
NCC AB holds 353,323 Series B treasury shares to meet its obligations pursuant to long-term incentive programs.
NCC is applying IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial instruments effective January 1, 2018. Read more on page 16.
NCC has been commissioned to construct Central Station, a phase of the West Link project in Gothenburg. The contract involves building an underground commuter train station and about 2 kilometers of railway tunneling and the order value is some SEK 4.7 billion. Production will start immediately in the form of preparatory work; tunnel construction will begin in autumn 2018. The project is scheduled to continue until 2026.
NCC has been commissioned by Akademiska Hus to expand the Ångström Laboratory at Uppsala University. The order value is approximately SEK 915 M.
Tomas Carlsson has been appointed new President and CEO of NCC. Tomas is currently employed at the listed architecture and engineering consultancy Sweco. He previously worked at NCC for nearly 20 years, most recently as the Head of NCC's construction operations in Sweden. Tomas Carlsson will take up his new position at NCC May 7, 2018, succeeding Acting President and CEO Håkan Broman.
Kenneth Nilsson has been appointed new Head of the NCC Infrastructure business area and member of the Executive Management Team. Kenneth Nilsson joins NCC from Skanska, where he most recently served as the head of Skanska Civil East in the US. He took up his new position on April 3, 2018, replacing acting Business Area Manager Göran Landgren.
DIVIDEND
NCC's Annual General Meeting on April 11, 2018 approved a dividend of SEK 8.00 per share, divided into two payments. The record date for the first payment of SEK 4.00 per share was set at April 13, 2018 and the record date for the second payment of SEK 4.00 per share was set at November 5, 2018.
The AGM resolved that the Board shall comprise eight AGM-elected members and reelected the Board members Tomas Billing, Carina Edblad, Viveca Ax:son Johnson, Ulla Litzén, Birgit Nørgaard, Geir Magne Aarstad and Mats Jönsson, and elected Agneta Langemar Olsson as new Board member. Tomas Billing was elected Chairman of the Board.
It was resolved that director fees be paid in a total amount of SEK 4,600,000, with SEK 1,100,000 payable to the Chairman of the Board and SEK 500,000 to each other AGM-elected member. Fees will be paid to the members of the Audit Committee as follows: the chair of the Committee will receive SEK 175,000 and each other member will receive SEK 125,000. Fees will be paid to the members of the Project Committee as follows: the chair of the Committee will receive SEK 125,000 and other member will receive SEK 100,000.
The registered auditing firm PricewaterhouseCoopers AB (PwC), with Håkan Malmström as auditor-in-charge, was elected auditor of the company. The auditing firm was elected to serve until the close of the 2019 AGM.
Viveca Ax: son Johnson, Nordstjernan (chair), Simon Blecher, Carnegie Funds, and Anders Oscarsson, AMF/AMF Funds, were elected members of the Nomination Committee. Tomas Billing, Chairman of the NCC Board of Directors, is a co-opted member of the Nomination Committee but has no voting right.
LONG-TERM PERFORMANCE-BASED INCENTIVE PLAN The AGM resolved to introduce a long-term performancebased incentive program (LTI 2018) for senior executives and key personnel.
| Interim report, Jan-Jun 2018 | July 18, 2018 |
|---|---|
| Interim report, Jan-Sep 2018 | October 25, 2018 |
| Year-end report 2018 | January 2019 |
Solna, April 25, 2018
Håkan Broman Acting President and CEO
This report is unaudited.
| 2018 | 2017 | Apr. 17- | 2017 | ||
|---|---|---|---|---|---|
| SEKM | Note 1 | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Net s ales | 10,894 | 11,748 | 53,588 | 54,441 | |
| Production costs | Note 3 | $-10,552$ | $-10,784$ | $-50,228$ | $-50,460$ |
| Gross profit | 342 | 962 | 3,360 | 3,981 | |
| Selling and administrative expenses | Note 3 | $-703$ | $-716$ | $-2,920$ | $-2,933$ |
| Other operating income expenses | $-3$ | $-3$ | 27 | 26 | |
| Operating profit/loss | $-364$ | 244 | 466 | 1,075 | |
| Financial income | 24 | 17 | 47 | 39 | |
| Financial expense 1) | $-33$ | $-36$ | $-127$ | $-130$ | |
| Net financial items | $-8$ | $-19$ | $-80$ | $-91$ | |
| Profit loss after financial items | $-372$ | 225 | 386 | 983 | |
| Tax | 76 | $-34$ | 4 | $-106$ | |
| Net profit/loss | $-296$ | 193 | 390 | 877 | |
| Attributable to: | |||||
| NCC's shareholders | $-294$ | 195 | 384 | 872 | |
| Non-controlling interes ts | $-2$ | $-2$ | 6 | $\sqrt{5}$ | |
| Net profit/loss for the period | $-296$ | 193 | 390 | 877 | |
| Earnings per share | |||||
| Before and after dilution | |||||
| Net profit/loss for the period, SEK | $-2.73$ | 1.80 | 3.55 | 8.07 | |
| Number of shares, millions | |||||
| Total number of is sued shares | 108.4 | 108.4 | 108.4 | 108.4 | |
| Average number of shares outstanding before and after dilution during the period | 108.1 | 108.1 | 108.1 | 108.1 | |
| 108.1 | 108.1 | 108.1 | 108.1 | ||
| Number of shares outstanding at the end of the period | 108.1 | 108.1 | 108.1 | 108.1 | |
1) Whereof interes t expenses for the period Apr.17 -Mar.18, amounting to SEK 105 M and for the period J an.- Dec. 2017 amounting to SEK 107 M.
| 2018 | 2016 | Apr. 17- | 2017 | ||
|---|---|---|---|---|---|
| SEK M | Note 1 | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Net profit/loss for the period | -296 | 193 | 390 | 877 | |
| ltems that have been recycled or should be recycled to net profit/loss for the period | |||||
| Exchange differences on translating foreign operations | 96 | $-10$ | 134 | 27 | |
| Change in hedging/fair value reserve | $-27$ | ⊿ | $-38$ | $-7$ | |
| Cash flow hedges | -8 | $-21$ | -3 | ||
| Income tax relating to items that have been or should be recycled to net profit/loss for the period | 8 | 6 | 2 | ||
| 68 | $-23$ | 110 | 19 | ||
| Items that cannot be recycled to net profit/loss for the period | |||||
| Revaluation of defined benefit pension plans | $-28$ | 36 | $-314$ | $-250$ | |
| Income tax relating to items that cannot be recycled to net profit/loss for the period | 6 | -8 | 69 | 55 | |
| $-22$ | 28 | $-245$ | -195 | ||
| Other comprehensive income | 46 | 6 | $-135$ | $-176$ | |
| Total comprehensive income | $-250$ | 198 | 254 | 701 | |
| Attributable to: | |||||
| NCC's shareholders | $-248$ | 200 | 249 | 696 | |
| Non-controlling interests | $-2$ | $-2$ | 6 | 5 | |
| Total comprehensive income | $-250$ | 198 | 254 | 701 |
| 2018 | 2017 | 2017 | |
|---|---|---|---|
| SEK M Note 1 |
Mar. 31 | Mar. 31 | Dec. 31 |
| ASSETS | |||
| Fixed assets | |||
| Goodwill | 1,916 | 1,841 | 1,848 |
| Other intangible assets | 350 | 271 | 335 |
| Owner-occupied properties | 872 | 807 | 880 |
| Machinery and equipment | 2,931 | 2,580 | 2,712 |
| Long-term holdings of securities | 120 | 124 | 129 |
| Long-term interest-bearing receivables | 657 | 371 | 575 |
| Other long-term receivables | 27 | 66 | 26 |
| Deferred tax assets | 422 | 184 | 338 |
| Total fixed assets | 7,294 | 6,242 | 6,843 |
| Current assets | |||
| Properties held for future development | 1,783 | 1,816 | 1,696 |
| Ongoing property projects | 1,528 | 559 | 1,039 |
| Completed property projects | 776 | 438 | 870 |
| Housing properties held for future development | 16 | ||
| Materials and inventories | 852 | 746 | 764 |
| Tax receivables | 438 | 172 | 241 |
| Accounts receivable | 7,932 | 6,716 | 8,882 |
| Worked-up, non-invoiced revenues | 2,225 | 1,948 | 1,554 |
| Prepaid expenses and accrued income | 1,300 | 1,060 | 1,170 |
| Current interest-bearing receivables | 167 | 169 | 167 |
| Other receivables | 691 | 466 | 687 |
| Short-term investments 1) | 143 | 218 | 41 |
| Cash and cash equivalents | 2,674 | 4,447 | 3,063 |
| Total current assets | 20,508 | 18,771 | 20,174 |
| Total assets | 27,803 | 25,013 | 27,018 |
| EQUITY | |||
| Share capital | 867 | 867 | 867 |
| Other capital contributions | 1,844 | 1,844 | 1,844 |
| Reserves | -45 | -150 | -113 |
| Profit/loss brought forward, including current-year profit/loss | 2,255 | 2,971 | 2,571 |
| Shareholders´ equity | 4,921 | 5,532 | 5,168 |
| Non-controlling interests | 10 | 11 | 12 |
| Total shareholders´ equity | 4,931 | 5,542 | 5,179 |
| LIABILITIES | |||
| Long-term liabilities | |||
| Long-term interest-bearing liabilities | 1,575 | 2,254 | 1,669 |
| Other long-term liabilities | 33 | 46 | 54 |
| Provisions for pensions and similar obligations | 1,457 | 987 | 1,407 |
| Deferred tax liabilities | 488 | 507 | 438 |
| Other provisions | 1,961 | 1,971 | 1,889 |
| Total long-term liabilities | 5,514 | 5,765 | 5,456 |
| Current liabilities | |||
| Current interest-bearing liabilities | 1,620 | 445 | 919 |
| Accounts payable | 4,690 | 3,385 | 5,179 |
| Tax liabilities | 94 | 44 | 95 |
| Invoiced revenues not worked-up | 6,431 | 5,589 | 5,905 |
| Accrued expenses and prepaid income | 3,173 | 2,933 | 3,207 |
| Provisions | 30 | 7 | 24 |
| Other current liabilities | 1,320 | 1,303 | 1,052 |
| Total current liabilities | 17,358 | 13,705 | 16,382 |
| Total liabilities | 22,872 | 19,470 | 21,838 |
| Total shareholders' equity and liabilities | 27,803 | 25,013 | 27,018 |
1) Includes short-term investments with maturities exceeding three months, see also cash-flow statement.
| Mar. 31, 2018 | ||||||
|---|---|---|---|---|---|---|
| Total | Total | |||||
| Shareholders´ | Non-controlling | shareholders' | Shareholders' | Non-controlling | shareholders' | |
| SEK M | equity | interests | equity | equity | interests | equity |
| Opening balance, January 1st | 5,167 | 12 | 5,179 | 5,553 | 13 | 5,566 |
| Adjustment for changed accounting principle: | ||||||
| IFRS 15 Income from agreements with customers | -220 | -220 | ||||
| Adjusted opening balance, January 1st | 5,167 | 12 | 5,179 | 5,333 | 13 | 5,346 |
| Total comprehensive income | -248 | -2 | -250 | 200 | -2 | 198 |
| Performance based incentive program | 1 | 1 | -2 | -2 | ||
| Closing balance | 4,921 | 10 | 4,931 | 5,532 | 11 | 5,542 |
If the principles for accounting for pensions, IAS19, applied before 1 January 2013, had been used, the equity would have been SEK 2,218 M higher and net indebtedness SEK 1,457 M lower at March 31 2018.
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| SEK M | J an.-Mar. | J an.-Mar. | Mar. 18 | J an. -Dec. |
| OP ERATING ACTIVITIES | ||||
| P rofit / los s after financial items | -372 | 225 | 386 | 983 |
| Adjus tments for items not included in cas h flow | 119 | 500 | 731 | 1,112 |
| Taxes paid | -141 | -146 | 427 | -432 |
| Cas h flow from operating activities before changes in working capital | -394 | 579 | 692 | 1,644 |
| Dives tment of property projects | 190 | 1,390 | 431 | 1,630 |
| Gros s inves tments in property projects | -546 | -189 | -1,510 | -1,152 |
| Other changes in working capital | 166 | 88 | 94 | 17 |
| Cas h flow from changes in working capital | -584 | 1,868 | -985 | 494 |
| Cas h flow from operating activities | -584 | 1,868 | -293 | 2,138 |
| INVESTING ACTIVITIES | ||||
| Acquis ition/Sale of s ubs idiaries and other holdings | 14 | -4 | -77 | -95 |
| Acquis ition/Sale of tangible fixed as s ets | -232 | -113 | -764 | -645 |
| Acquis ition/Sale of other fixed as s ets | -13 | -15 | -57 | -58 |
| Cas h flow from inves ting activities | -231 | -132 | -898 | -797 |
| Cas h flow before financing | 815 | 1,737 | -1,191 | 1,361 |
| FINANCING ACTIVITIES | ||||
| Cas h flow from financing activities 1) | 424 | -367 | -600 | -1,392 |
| Cas h flow during the period | 3,063 | 3,093 | -38 | -1,392 |
| Cas h and cas h equivalents at beginning of period | 3,063 | 3,093 | 4,447 | 3,093 |
| Effects of exchange rate changes on cas h and cas h equivalents | 3 | -17 | 21 | 1 |
| Cas h and cas h equivalents at end of period | 2,675 | 4,447 | 2,675 | 3,063 |
| Short-term inves tments due later than three months | 143 | 218 | 143 | 41 |
| Total liquid as s ets at end of period | 2,818 | 4,665 | 2,818 | 3,104 |
1) Of the total determined dividend SEK 865 M, SEK 433 M has been paid in April 2018 and SEK 432 M to be paid in November 2018.
| 2018 | 2017 | Apr. 17- | 2017 | ||
|---|---|---|---|---|---|
| SEK M | Note 1 | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Net sales | 40 | 36 | 192 | 188 | |
| Selling and administrative expenses | -77 | -79 | -400 | -403 | |
| Operating profit | -36 | -43 | -208 | 215 | |
| Result from financial investment | |||||
| Result from participations in Group companies | 629 | 629 | |||
| Result from financial current assets | 12 | 1 | 23 | 12 | |
| Result from other financial fixed assets | 1 | 4 | 1 | 4 | |
| Interest expense and similar items | -5 | -5 | -20 | -19 | |
| Result after financial items | -29 | -43 | 425 | 411 | |
| Appropriations | 527 | 55 | 582 | ||
| Tax | 9 | -108 | 18 | -90 | |
| Net profit/loss for the period | -20 | 376 | 497 | 903 |
The Parent Company consists primarily of head office functions plus a branch in Norway. Net sales pertain to charges to Group companies. The average number of employees was 73 (65).
It was resolved that dividends to the shareholders would total SEK 865 M, which will be paid in equally large amounts in April and November 2018, respectively.
| 2018 | 2017 | 2017 | ||
|---|---|---|---|---|
| SEK M | Note 1 | Mar. 31 | Mar. 31 | Dec. 31 |
| ASSETS | ||||
| Fixed as s ets | ||||
| Intangible fixed as s ets | 38 | 38 | 38 | |
| Tangible fixed as s ets | 9 | 3 | 8 | |
| Financial fixed as s ets | 4,731 | 4,427 | 4,729 | |
| Total fixed as s ets | 4,778 | 4,468 | 4,774 | |
| Current as s ets | ||||
| Current receivables | 310 | 383 | 402 | |
| Cas h and bank balances | 1,300 | 1,100 | ||
| Treas ury balances in NCC Treas ury AB | 834 | 1,581 | 863 | |
| Total current as s ets | 2,444 | 1,964 | 2,365 | |
| Total as s ets | 7,221 | 6,432 | 7,139 | |
| SHAREHOL DERS´ EQUITY AND L IABIL ITIES | ||||
| Shareholders ´ equity | 3,751 | 4,050 | 3,768 | |
| Untaxed res erves | ||||
| P rovis ions | 9 | 8 | 9 | |
| L ong term liabilities | 2,048 | 2,059 | 2,049 | |
| Current liabilities | 1,413 | 314 | 1,313 | |
| Total s hareholders ' equity and liabilities | 7,221 | 6,432 | 7,139 |
This interim report has been compiled pursuant to IAS 34 Interim Financial Reporting. The interim report has been prepared in accordance with International Financial Reporting Standards (IFRS) and the interpretations of prevailing accounting standards issued by the International Financial Reporting Interpretations Committee (IFRIC), as approved by the EU.
The interim report has been prepared pursuant to the same accounting policies and methods of calculation as the 2017 Annual Report (Note 1, pages 58–67), apart from in respect of IFRS 15 and IFRS 9, which are being applied as of January 1, 2018 and which have the following impact on the financial statements (for a more detailed description, also refer to the descriptions in the note mentioned above).
NCC has identified two revenue streams where IFRS 15 could and does have a material impact on NCC's financial statements.
The first revenue stream concerns the Building and Infrastructure business areas and relates to contract modifications covering alterations and supplementary work, compensation for shortcomings in tender specifications and similar items. The requirement to report revenue in the aforementioned situations is higher under IFRS 15 than under IAS 11, in terms of both the documented right to, and probability of, payment from the customer.
The second revenue stream concerns the development of commercial properties, for which an analysis is currently under way of a possible switch to reporting such revenue over time (percentage of completion). Pending the outcome of the analysis, revenue is recognized in the same
manner as before. A switch would have no impact on shareholders' equity at January 1, 2018, but would entail a reduction in operating profit for 2017 by slightly more than SEK 500 M and a corresponding increase in shareholders' equity on January 1, 2017.
The impact of the transition to IFRS 15 is shown in the tables below. Any effects of changes that might occur in respect of the development of commercial properties are not included.
IFRS 9 has introduced new rules governing areas including the recognition and measurement of financial instruments, impairment of financial instruments and hedge accounting.
NCC's analysis of the effects of IFRS 9 shows that the new rules do not impact the Group's financial position because IFRS 9 does not significantly impact measurement. Furthermore, IFRS 9 does not entail any significant effect on NCC's hedge accounting or --- based on IFRS 9's methodology and NCC's history --- on NCC's provisions for credit losses.
The Parent Company has prepared its interim report pursuant to the Swedish Annual Accounts Act (1995:1554) and the Swedish Financial Reporting Board's recommendation RFR 2 Accounting for Legal Entities.
The interim report for the Parent Company has been prepared in accordance with the same accounting policies and methods of calculation as the 2017 Annual Report (Note 1, pages 58–67), apart from IFRS 15 and the amendments of RFR 2 in terms of the application of the measurement of financial instruments using cost as the basis as of January 1, 2018. The application of these has had no impact on the financial statements.
| INCOME STATEMENT SEK M Net s ales Operating profit Tax STATEMENT OF COMPREHENSIVE INCOME |
2017 Mar. 11,806 302 -47 |
Change -58 -58 13 |
IFR S15 Mar. 2017 11,748 244 -34 |
2017 Dec. 54,608 1,242 -141 |
Change -167 -167 35 |
IFR S 15 Dec. 2017 54,441 1,075 -106 |
|||
|---|---|---|---|---|---|---|---|---|---|
| Exchange differences on trans lating foreign operations | -12 | 2 | -10 | 25 | 2 | 27 | |||
| Earnings per s hare before & after dilution | 2.21 | -0.41 | 1.80 | 9.29 | -1.22 | 8.07 | |||
| BAL ANCE SHEET | 2017 | Change | IFR S15 | 2017 | Change | IFR S 15 | 2017 | Change | IFR S 15 |
| SEK M ASSETS |
Mar. | Mar. 2017 | Dec. | Dec. 2017 | 1 J an. | 1 J an. 2017 | |||
| Deferred tax as s ets | 106 | 78 | 184 | 239 | 99 | 338 | 97 | 66 | 163 |
| Worked-up, non-invoiced revenues | 2,005 | -57 | 1,948 | 1,671 | -117 | 1,554 | 1,737 | -33 | 1,704 |
| Total as s ets | 24,992 | 21 | 25,013 | 27,035 | -17 | 27,018 | 25,315 | 33 | 25,348 |
| EQUITY | |||||||||
| Shareholders ´ equity | 5,794 | -263 | 5,532 | 5,516 | -349 | 5,168 | 5,553 | -220 | 5,334 |
| Total s hareholders ´ equity | 5,805 | -263 | 5,542 | 5,528 | -349 | 5,179 | 5,566 | -220 | 5,346 |
| L IABIL ITIES | |||||||||
| Invoiced revenues not worked-up | 5,306 | 283 | 5,589 | 5,574 | 331 | 5,905 | 4,355 | 253 | 4,608 |
| Total s hareholders ' equity and liabilities | 24,992 | 21 | 25,013 | 27,035 | -17 | 27,018 | 25,315 | 33 | 25,348 |
SEK M
| January - March 2018 | NCC Building |
NCC Infrastructure |
NCC Industry |
NCC Property Development |
Total segments |
Other and eliminations 1) |
Group |
|---|---|---|---|---|---|---|---|
| Net sales, external | 5,552 | 4,177 | 891 | 272 | 10,892 | 2 | 10,894 |
| Net sales, internal | 396 | 117 | 274 | 12 | 800 | -800 | |
| Net sales, total | 5,948 | 4,294 | 1,165 | 285 | 11,692 | -798 | 10,894 |
| Operating profit | 122 | -11 | -411 | 16 | -285 | -79 | -364 |
| Net financial items | -8 | ||||||
| Profit/loss after financial items | -372 |
| NCC | NCC | NCC | NCC Property | Total | Other and | ||
|---|---|---|---|---|---|---|---|
| January - March 2017 | Building | Infrastructure | Industry | Development | segments | eliminations 1) | Group |
| Net sales, external | 5,477 | 3,257 | 858 | 2,157 | 11,748 | 11,748 | |
| Net sales, internal | 179 | 107 | 229 | 17 | 533 | -533 | |
| Net sales, total | 5,657 | 3,365 | 1,087 | 2,173 | 12,281 | -533 | 11,748 |
| Operating profit | 38 | -66 | -310 | 593 | 254 | -10 | 244 |
| Net financial items | -19 | ||||||
| Profit/loss after financial items | 225 |
1) The figures for the quarter include among others NCC's head office and results from small subsidiaries and associated companies, totalling an expense of SEK 60 M (expense: 28). Further, the figures for the quarter includes eliminations of internal profits amounting to an expense of SEK 2 M (income: 41) and other Group adjustments, mainly consisting of differences of accounting policy between the segments and the Group (including pensions) and a provision for restructuring amounting to an expense of SEK 17 M (expense: 23).
| Net sales | Orders received | |||||
|---|---|---|---|---|---|---|
| 2018 | 2017 | 2018 | 2017 | |||
| SEK M | Jan.-Mar. | Jan.-Mar. | Jan.-Mar. | Jan.-Mar. | ||
| Sweden | 6,992 | 7,622 | 13,217 | 8,239 | ||
| Denmark | 1,409 | 1,112 | 1,380 | 974 | ||
| Finland | 1,157 | 1,700 | 1,641 | 1,202 | ||
| Norway | 1,335 | 1,314 | 1,283 | 1,016 | ||
| Sum | 10,894 | 11,748 | 17,521 | 11,431 |
| 2018 | 2017 | Apr. 17- | 2017 | |
|---|---|---|---|---|
| SEK M | Jan.-Mar. | Jan.-Mar. | Mar. 18 | Jan.-Dec. |
| Other intangible assets | -14 | -16 | -64 | -65 |
| Owner-occupied properties | -8 | -6 | -33 | -31 |
| Machinery and equipment | -165 | -154 | -632 | -621 |
| Total depreciation 1) | -188 | -176 | -729 | -718 |
1) Excluding impairments. Impairments for the period Apr. -17 - Mar. -18 amounts to SEK 4 M and for the period Jan. - Dec. 2017 to SEK 7 M.
In the tables below, disclosures are made concerning how fair value has been determined for the financial instruments that are continuously measured at fair value in NCC's balance sheet. When determining fair value, assets have been divid-ed into three levels. No transfers were made between the levels during the period.
In level 1, measurement complies with prices quoted on an active market for the same instruments. Derivatives in level 2 comprise currency forward contracts, interest-rate
swaps, oil forward contracts and electricity forward contracts used for hedging purposes. The measurement to fair value of currency forward contracts, oil forward contracts and electricity forward contracts is based on accepted models with observable input data such as interest rates, exchange rates and commodity prices. The measurement of interest-rate swaps is based on forward interest rates based on observable yield curves. In level 3, measurement is based on input data that is not observable in the market.
| SEK M | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Level 1 Level 2 Level 3 | Total Level 1 Level 2 Level 3 | Total Level 1 Level 2 Level 3 | Total | |||||||||
| Financial assets measured at fair value through profit and | ||||||||||||
| loss | ||||||||||||
| Securities held for trading | 117 | 117 | 10 | 10 | ||||||||
| Short-term investments | 123 | 123 | ||||||||||
| Derivative instruments | 3 | 3 | 45 | 45 | 43 | 43 | ||||||
| Derivative instruments used in hedge accounting | 63 | 63 | 8 | 8 | 45 | 45 | ||||||
| Available-for-sale financial assets | 95 | 95 | 91 | 91 | ||||||||
| Financial assets measured at fair value through other | ||||||||||||
| comprehensive income | ||||||||||||
| Equity instruments | 81 | 81 | ||||||||||
| Total assets | 123 | 66 | 81 | 270 | 117 | 53 | 95 | 265 | 10 | 88 | 91 | 189 |
| Financial liabilities measured at fair value through profit | ||||||||||||
| and loss | ||||||||||||
| Derivative instruments | 75 | 75 | 11 | 11 | 3 | 3 | ||||||
| Derivative instruments used in hedge accounting | 94 | 94 | 37 | 37 | 55 | 55 | ||||||
| Total liabilities | 0 | 169 | 0 | 169 | 0 | 48 | 0 | 48 | 0 | 58 | 0 | 58 |
In the tables below, disclosures are made concerning fair value for the financial instruments that are not recognized at fair value in NCC's balance sheet.
| SEK M | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | ||||
|---|---|---|---|---|---|---|---|
| Carrying | Fair | Carrying | Fair | Carrying | Fair | ||
| amount | value | amount | value | amount | value | ||
| Long-term interest-bearing receivables held to maturity | 52 | 52 | 131 | 131 | |||
| Long-term interest-bearing receivables - amortized cost* | 657 | 658 | |||||
| Short-term investments held to maturity | 101 | 102 | 30 | 30 | |||
| Short-term investments - amortized cost | 20 | 20 | |||||
| Long-term interest-bearing liabilities | 1,575 | 1,581 | 2,254 | 2,276 | 1,669 | 1,676 | |
| Current interest-bearing liabilities | 1,620 | 1,626 | 445 | 446 | 919 | 925 |
* As of March 31 2018 also includes other long-term interest bearing receivables with previous classification "accounts and loan receivables".
For other financial instruments recognized at amortized cost - accounts receivables, current interest-bearing receivables, other receivables, cash and cash equivalents, accounts payable and other interest-free liabilities - the fair value does not materially deviate from the carrying amount.
| SEK M | 2017 | 2017 | 2017 |
|---|---|---|---|
| Group | Mar. 31 | Mar. 31 | Dec. 31 |
| Assets pledged | 453 | 402 | 429 |
| Contingent liabilities and guarantee obligations 1) | 607 | 685 | 510 |
| Parent company | |||
| Contingent liabilities and guarantee obligations 1) | 19,058 | 20,509 | 19,280 |
1) For these surties, NCC AB is indemnified by Bonava AB based on the Master Separation Agreement. Bonava is working on formally replacing these suretied with other forms of collateral in a gradual process, which means that this item will decline further over time. In addition, NCC AB has received guarantees from credit insurance companies for the remaining outstanding commitments on behalf of now wholly owned Bonava companies.
| 2018 | 20173) | Apr. 17- | 20173) | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|
| J an.-Mar. J an.-Mar. | Mar. 18 J an.-Dec. J an.-Dec. J an.-Dec. J an.-Dec. J an.-Dec. J an.-Dec. | ||||||||
| P rofitability ratios | |||||||||
| R eturn on s hareholders equity, % excl profit from dividend of Bonava 1) | 8 | 27 | 8 | 17 | 18 | 19 | 26 | 22 | 26 |
| R eturn on s hareholders equity, % incl profit from dividend of Bonava 1) | 8 | 140 | 8 | 17 | 18 | 118 | 26 | 22 | 26 |
| R eturn on capital employed, % excl profit from dividend of Bonava 1) | 5 | 19 | 5 | 12 | 13 | 13 | 17 | 14 | 15 |
| R eturn on capital employed, % incl profit from dividend of Bonava 1) | 5 | 77 | 5 | 12 | 13 | 63 | 17 | 14 | 15 |
| Financial ratios at period-end | |||||||||
| EBITDA % excl profit from dividend of Bonava 1) | -1.6 | 3.6 | 2.2 | 3.3 | 3.6 | 4.7 | 6.2 | 5.8 | 5.9 |
| EBITDA % incl profit from dividend of Bonava 1) | -1.6 | 3.6 | 2.2 | 3.3 | 3.6 | 17.0 | 6.2 | 5.8 | 5.9 |
| Interes t-coverage ratio, times excl profit from dividend of Bonava 1) | 4.0 | 10.7 | 4.0 | 8.5 | 9.8 | 6.6 | 7.1 | 6.4 | 7.8 |
| Interes t-coverage ratio, times incl profit from dividend of Bonava1) | 4.0 | 43.4 | 4.0 | 8.5 | 9.8 | 31.1 | 7.1 | 6.4 | 7.8 |
| Equity / as s et ratio, % | 18 | 22 | 18 | 19 | 20 | 22 | 25 | 23 | 22 |
| Interes t bearing liabilities /total as s ets , % | 17 | 15 | 17 | 15 | 15 | 16 | 24 | 26 | 25 |
| Net cas h +/ net debt -, SEK M | -1,011 | 1,519 | -1,011 | -149 | -149 | -222 | -4,552 | -6,836 | -5,656 |
| Debt / equity ratio, times | 0.2 | -0.3 | 0.2 | 0.0 | 0.0 | 0.0 | 0.5 | 0.8 | 0.7 |
| Capital employed at period end, SEK M | 9,584 | 9,229 | 9,584 | 9,174 | 9,523 | 9,585 | 19,093 | 18,935 | 18,345 |
| Capital employed, average | 9,176 | 11,481 | 9,176 | 9,132 | 9,418 | 13,474 | 18,672 | 18,531 | 18,005 |
| Capital turnover rate, times 1) | 5.8 | 4.9 | 5.8 | 6.0 | 5.8 | 4.1 | 3.3 | 3.1 | 3.2 |
| Share of ris k-bearing capital, % | 19 | 24 | 19 | 21 | 22 | 24 | 25 | 23 | 23 |
| Clos ing interes t rate, % | 1.6 | 2.4 | 1.6 | 2.0 | 2.0 | 2.6 | 2.8 | 2.8 | 3.3 |
| Average period of fixed interes t, years | 0.4 | 0.8 | 0.4 | 0.6 | 0.6 | 0.9 | 0.9 | 1.1 | 1.2 |
| P er s hare data | |||||||||
| P rofit / los s after tax, before and after dilution, SEK excl profit from dividend Bonava | -2.73 | 1.80 | 3.55 | 8.07 | 9.29 | 11.61 | 19.59 | 17.01 | 18.40 |
| P rofit / los s after tax, before and after dilution, SEK incl profit from dividend Bonava | -2.73 | 1.80 | 3.55 | 8.07 | 9.29 | 73.81 | 19.59 | 17.01 | 18.40 |
| Cas h flow from operating activities , before and after dilution, SEK | -5.40 | 17.30 | -2.73 | 19.97 | 19.97 | 10.88 | 37.65 | 12.47 | 23.46 |
| Cas h flow before financing, before and after dilution, SEK | -7.54 | 16.08 | -11.03 | 12.59 | 12.59 | -0.05 | 30.88 | 5.32 | 15.40 |
| P / E ratio excl profit from dividend Bonava 1) | 45 | 15 | 45 | 19 | 17 | 19 | 13 | 15 | 11 |
| P / E ratio incl profit from dividend Bonava 1) | 45 | 3 | 45 | 19 | 17 | 3 | 13 | 15 | 11 |
| Dividend, ordinary, SEK | 8.00 | 8.00 | 8.00 | 8.00 | 3.00 | 12.00 | 12.00 | ||
| Dividend yield, % | 5.1 | 5.1 | 5.1 | 3.5 | 1.1 | 4.9 | 5.7 | ||
| Shareholders ' equity before dilution, SEK | 45.53 | 51.19 | 45.53 | 47.81 | 51.04 | 51.39 | 89.85 | 82.04 | 80.24 |
| Shareholders ' equity after dilution, SEK | 45.53 | 51.19 | 45.53 | 47.81 | 51.04 | 51.39 | 89.85 | 82.04 | 80.24 |
| Share price / s hareholders ' equity, % | 349 | 433 | 349 | 329 | 308 | 439 | 293 | 301 | 262 |
| Share price at period-end, NCC B, SEK | 158.70 | 221.50 | 158.70 | 157.30 | 157.30 | 225.40 | 263.00 | 246.80 | 209.90 |
| Number of s hares , millions | |||||||||
| Total number of is s ued s hares 2) | 108.4 | 108.4 | 108.4 | 108.4 | 108.4 | 108.4 | 108.4 | 108.4 | 108.4 |
| Treas ury s hares at period-end | 0.4 | 0.4 | 0.4 | 0.4 | 0.4 | 0.4 | 0.6 | 0.6 | 0.6 |
| Total number of s hares outs tanding at period-end before dilution | 108.1 | 108.1 | 108.1 | 108.1 | 108.1 | 108.1 | 107.9 | 107.8 | 107.8 |
| Average number of s hares outs tanding before dilution during the period | 108.1 | 108.1 | 108.1 | 108.1 | 108.1 | 108.1 | 107.9 | 107.8 | 107.9 |
| Market capitalization before dilution, SEK M 4) | 17,150 | 23,937 | 17,150 | 16,997 | 16,997 | 24,325 | 28,369 | 26,574 | 22,625 |
| P ers onnel | |||||||||
| Average number of employees | 15,775 | 15,873 | 17,664 | 17,762 | 17,762 | 16,793 | 17,872 | 17,669 | 18,360 |
| 1) Calculations are based on the rolling 12 month period. |
2) All shares issued by NCC are common shares.
3) The amounts are adjusted for change in accounting policy regarding IAS 15, except to rolling 12 months in the period Jan.-M ar. 2017.
4) M arket value December 2016 excludes NCC´s housing business, Bonava. Including Bonava the maket value amounts to SEK 39 563 M .
The profit arising from the dividend of Bonava was SEK -31 M and SEK 6,724 M inte the quarter and full year 2016.
For definitions of key figures, see www.ncc.group/investor-relations/financial-data/financial-definitions.
NCC is one of the leading Nordic construction and property development companies. With the Nordic region as its home market, NCC is active throughout the value chain – developing and building commercial properties and constructing housing, offices, industrial facilities and public buildings, roads, civil engineering structures and other types of infrastructure. NCC also offers input materials used in construction and accounts for paving and road services. NCC creates future environments for working, living and communication based on responsible construction operations that result in sustainable interaction between people and the environment.
Vision We will renew our industry providing superior sustainable solutions.
The company's values and Code of Conduct function as the backbone for the way NCC works and operates. They also jointly serve as a compass for how employees are to conduct themselves and act in everyday situations, and provide guidance when decisions have to be made.
Business concept – responsible enterprise NCC develops and builds future environments for working, living and communication. Supported by its values, NCC and its customers jointly identify needs-based, cost-effective and high-quality solutions that generate added value for all of NCC's stakeholders and contribute to sustainable social development.
NCC conducts integrated construction and development operations in the Nordic region. The company has three businesses – Industrial, Construction and civil engineering and Development – and is organized in four business areas
NCC Building NCC Infrastructure NCC Industry NCC Property Development
Chief Financial Officer Mattias Lundgren Tel. +46 70 228 88 81
IR Manager Johan Bergman Tel. +46 8 585 523 53, +46 70 354 80 35
An information meeting with an integrated Internet and telephone conference will be held on April 25 at 10:00 a.m. (CET) at Klara Strand, Klarabergsviadukten 90, Stockholm. The presentation will be held in English. To participate in this teleconference, call +46 (0) 8 519 993 55(SE), +44 203 194 05 50 (UK) or +1 855 269 26 05 (US), five minutes prior to the start of the conference. State "NCC."
This is the type of information that NCC is obligated to disclose pursuant to the EU Market Abuse Regulation. The information was issued for publication through the agency of the contact person set out above on April 25, 2018, at 08:00 a.m. (CET).
Vallgatan 3 SE-170 67 Solna, Sweden
NCC AB SE-170 80 Solna, Sweden
+46 8 585 510 00
.www.ncc.se
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