Summary external targets
In order to further promote value creation Peab updated its targets as of 2021 – everything from our mission, business concept and strategic target areas to internal and external financial and non-financial targets. We report the performance of our business by monitoring nine external targets, of which three are financial and based on segment reporting and six are non-financial targets. We consider the external targets particularly important and they are a subset of our internal targets and action plans. At the beginning of 2024, Peab communicated that all nine targets will remain unchanged for the period 2024 – 2026.
Both the internal and external financial and non-financial targets are categorized under the strategic targets: Most satisfied customers, Best workplace, Most profitable company and Leader in social responsibility. All targets relate to the industry. For a more detailed description of each target please see www.peab.com/targets.
Most satisfied customers
We are close to our customers and meet their needs with sustainable offers. Quality permeates our work methods and end results. The right expertise in the right place is key to success.
>75
CSI always over 75
Best workplace
We are a safe, secure and inclusive workplace rooted in a strong company culture. Leadership takes responsibility and is close to operations. Employees have value-creating and developing work assignments that they complete together.
eNPS always over benchmark
Zero Vision
serious accidents
Through a contracting trend
Most profitable company
We take on the right projects and have the right business mix. Employees work according to quality-ensured work methods that are efficient in every aspect. Through our own resources and internal collaboration we maintain a high degree of value creation. We take advantage of our size and experience.
>6% Operating margin
0.3–0.7 Net debt/equity ratio
Dividend >50% of profit for the year
Leader in social responsibility
As the Nordic Community Builder we drive developments in our industry in matters concerning the climate and environment, ethics, and equal opportunity and inclusion. We work well together with stakeholders in the world around us and stride every day towards a sustainable value chain. With our extensive local presence we are also an important actor in the local community.
-60% Carbon dioxide intensity
Reduction of emissions from our own production by 2030 (Scope 1+2).
-50% Carbon dioxide intensity
Reduction of emissions from input goods and purchased services by 2030 (Scope 3).
Equal opportunity recruitment
Share of women recruited always over the education market
Target and target fulfilment
Most profitable company
Operating margin
Target: >6% according to segment reporting
(reported quarterly)
* Years 2016-2018 not translated according to changed accounting principles for own housing development projects. **Operating margin 4.5 % excl. the effect of the distribution of Annehem Fastigheter (SEK 952 million). *** Operating margin 2.5 % excl. Mall of Scandinavia (SEK 400 million). **** Year 2024 calculated on rolling 12 months per March 31, 2024. Operating margin 2.6 % excl. Mall of Scandinavia.
Most profitable company
Net debt/equity ratio
Target: 0.3-0.7 according to segment reporting
(reported quarterly)
* Years 2016-2018 not translated according to changed accounting principles for own housing development projects.** Per March 31, 2024.
Most profitable company
Dividend
Target: >50% of profit for the year according to segment reporting (reported annually)
* Years 2016-2018 not translated according to changed accounting principles. ** For 2019, no cash dividend has been paid. The value of the distribution of Annehem Fastigheter at the time of the distribution in December 2020 amounted to 97 percent of the profit for the year 2019. *** The proportion is calulated without the effect of SEK 952 million on profit due to the distribution of Annehem Fastigheter. **** Board of Directors’ proposal to the AGM.
Best workplace
Serious accidents
Target: Zero fatal accidents and contracting trend, rolling 12 months, serious accidents classification 4 (reported quarterly)
No
Best workplace
eNPS
Target: > over benchmark (reported semiannually)
eNPS
eNPS stands for employee Net Promoter Score and measures employee engagement. The score can vary between -100 and 100.
Most satisfied customers
Customer Satisfaction Index (CSI)
Target: > 75 (reported annually)
CSI
CSI stands for Customer Satisfaction Index and measures how satisfied Peab’s customers are. CSI is a weighted measurement between 0 and 100.
Leader in social responsibility
Carbon dioxide intensity: Climate targets for our own production
Target: Reduced emissions of GHG Scope 1+2* (tons CO2e/MSEK) by 60% until 2030 (reported annually)
* Direct and indirect emissions as a result of using fuel and energy in our own production.
Leader in social responsibility
Carbon dioxide intensity: Climate targets for input goods and purchased services
Target: Reduced emissions of GHG Scope 3* (tons CO2e/MSEK) by 50% until 2030 (reported annually)
* Includes concrete/cement, asphalt/bitumen, transportation and machine services, steel, waste and business trips.
Leader in social responsibility
Equal opportunity recruitment
Target: Share of women recruited > the education market
(reported annually)