Net sales and profit

January – March 2025

Group net sales decreased slightly during the first quarter 2025 and amounted to SEK 10,925 million (11,141). Net sales for the latest rolling 12 month period amounted to SEK 58,481 million compared to SEK 58,697 million for the full year 2024. The share of public sector customers of net sales calculated on a rolling 12 month basis increased and accounted for 56 percent (50) and private customers for 44 percent (50).

Net sales in business area Construction decreased by eight percent compared to the same quarter last year. The decrease is due to less activity in new housing production that has not been fully compensated for by other types of projects. Activity in business area Civil Engineering continued to be high during the quarter and net sales increased by three percent. Net sales in business area Industry decreased by five percent due to lower activity in construction systems and rental operations resulting from a weak housing market. Net sales in Project Development decreased slightly compared to the corresponding period last year and the decrease is attributable to Housing Development.

Group operating profit amounted to SEK -278 million (-106) and the operating margin was -2.5 percent (-1.0). The first quarter is markedly affected by the season, particularly in business area Industry, since the beginning of the year is characterized by considerable deficits because the paving season begins in the second quarter. The first quarter last year included a positive effect of SEK 220 million in business area Project Development as a result of the divestment of the shares in the joint venture Tornet Bostadsproduktion.

The operating margin improved in business area Construction to 2.1 percent (1.7) in the first quarter and in business area Civil Engineering the operating margin improved to 3.1 percent (2.2). All in all, the operating margin for construction contract operations amounted to 2.5 percent (1.9). Operating profit in business area Industry fell and the operating margin was -24.0 percent (-19.9). The operating profit in paving was on par with the first quarter of 2024, but both construction system and rental operations have been affected by the weak housing market and reported lower profitability compared to the first quarter last year. Operating profit in business area Project Development amounted to SEK 83 million (246) where capital gains from divestitures of properties and shares in joint ventures in Property Development contributed by SEK 47 million (258). The comparable period included a capital gain of SEK 220 million from the sale of shares in the joint venture Tornet Bostadsproduktion. In Housing Development the operating margin was 3.6 percent (-1.5).

Depreciation and write-​​downs for the first quarter were SEK -355 million (-350).

Elimination and reversal of internal profit in our own projects affected operating profit during the quarter by net SEK 19 million (7).

Net financial items amounted to SEK -106 million (-76) of which net interest was SEK -79 million (-102).

Pre-​tax profit was SEK -384 million (-182). Profit for the period was SEK -351 million (-129).

* Operating margin excluding effect of MoS was 4.4%. For more information on the arbitration judgement in Mall of Scandinavia, see the Annual and Sustainability Report 2024

* Operating margin rolling 12 months excluding effect of MoS was 3.8% as of June 30, 2023, 3.6% as of September 30, 2023, 2.5% as of December 31, 2023 and 2.6% as of March 31, 2024.

Seasonal variations

Group operations, particularly in Industry and Civil Engineering, are normally affected by fluctuations that come with the cold weather during the winter half of the year. The first quarter is usually weaker than the rest of the year.