Business area Civil Engineering
Business area Civil Engineering is a leading player in Sweden and has operations in Norway. Civil Engineering’s operations in Finland became part of business area Industry in the autumn of 2020. Civil Engineering works with landscaping and pipelines, builds and maintains roads, railroads, bridges and other infrastructure as well as does foundation work. Operations are organized in geographic regions and the specialized product areas Local market, Infrastructure and heavy construction and Operation and maintenance.
Local market works with landscaping and pipelines, does foundation work and builds different kinds of facilities. Infrastructure and heavy construction builds roads, railroads, bridges, tunnels and ports. Operation and maintenance maintains federal and municipal road and street networks, tends parks and outdoor property as well as maintains water and wastewater networks.
Net sales and profit
July – September 2021
Net sales for the third quarter 2021 increased by eight percent to SEK 3,285 million (3,041). The growth is primarily attributable to Local market. Operating profit amounted to SEK 109 million (92) and the operating margin improved to 3.3 percent (3.0).
January- September 2021
Net sales during January-September 2021 increased by nine percent and amounted to SEK 10,118 million (9,243). Even after adjustments for acquired units net sales increased by nine percent.
Net sales increased in Local market and Operation and maintenance during the period while Infrastructure had slightly lower net sales.
Operating profit for January – September 2021 was SEK 307 million (260) and the operating margin improved to 3.0 percent (2.8). All product areas have increased earnings during the period. The operating margin for the latest rolling 12 month period was 3.2 percent compared to 3.0 percent for the entire year of 2020.
Orders received and order backlog
July – September 2021
The level of orders received increased during the third quarter 2021 and amounted to SEK 3,583 million (3,100).
January- September 2021
The level of orders received increased during the period to SEK 11,803 million (10,028). Order backlog on September 30, 2021 amounted to SEK 15,066 million (14,082).
Acquisition of HGT AS in Bergen
In July 2021 Peab signed a contract to acquire 90 percent of the shares in HGT AS. HGT is a general contractor in civil engineering and is domiciled in Bergen. In 2020 the company had net sales of NOK 150 million. Peab strengthens its business in civil engineering in Norway with the acquisition. After approval from competition authorities, the acquisition was completed on September 1, 2021.
Net sales
Order backlog, September 30, 2021
per product area
per project size
Key ratios
Jul-Sep 2021 | Jul-Sep 2020 | Jan-Sep 2021 | Jan-Sep 2020 | Oct-Sep 2020/2021 | Jan-Dec 2020 | ||
Jul-sep 2021 | Jul-sep 2020 | Jan-sep 2021 | Jan-sep 2020 | Okt-sep 2020/2021 | Jan-dec 2020 | ||
Net sales, MSEK | Nettoomsättning, Mkr | 3,285 | 3,041 | 10,118 | 9,243 | 13,718 | 12,843 |
Operating profit, MSEK | Rörelseresultat, Mkr | 109 | 92 | 307 | 260 | 438 | 391 |
Operating margin, % | Rörelsemarginal, % | 3.3 | 3.0 | 3.0 | 2.8 | 3.2 | 3.0 |
Orders received, MSEK | Orderingång, Mkr | 3,583 | 3,100 | 11,803 | 10,028 | 14,527 | 12,752 |
Order backlog, MSEK | Orderstock, Mkr | 15,066 | 14,082 | 15,066 | 14,082 | 15,066 | 13,075 |
Average number of employees 1) | Medelantalet anställda 1) | 3,658 | 3,622 | 3,658 | 3,622 | 3,658 | 3,625 |
1) Caluculated on rolling 12 months