Business area Civil Engineering

Business area Civil Engineering is a leading supplier in Sweden with operations in Norway and Finland as well. The business area works with landscaping and pipelines, builds and maintains roads, railroads, bridges and other infrastructure as well as foundation work. Civil Engineering operations are organized in geographic regions and the specialized product areas: Local market, Infrastructure and Operation and maintenance.

Local market works with landscaping and pipelines, foundation work and builds different kinds of facilities.

Infrastructure and heavy construction builds roads, railroads, bridges, tunnels and ports.

Operation and maintenance provides just that for national and municipal highway and street networks as well as care of parks and outdoor property. It also operates sewage and water supply networks.

Net sales and profit

The first quarter is seasonally the weakest quarter in Civil Engineering. A strong influx of orders received in 2017 contributed to an increase in net sales by 18 percent during the first quarter 2018, amounting to SEK 2,816 million (2,388). After adjustments for acquired units net sales increased by 15 percent. The increase during the first quarter stems from product areas Local market and Operations and maintenance.

Operating profit for the first quarter 2018 amounted to SEK 42 million (39) and the operating margin shrunk to 1.5 percent (1.6). Higher costs due to the winter weather had a negative effect in the first quarter. The operating margin for the latest 12 month rolling period was 3.1 percent compared to 3.2 percent for the entire year of 2017.

Orders received and order backlog

Orders received increased by two percent during the first quarter 2018 and amounted to SEK 3,859 million (3,800).

Order backlog on 31 March 2018 amounted to SEK 11,889 million (10,052).