Business area Industry
Business area Industry is a complete supplier of products and services needed in order to carry out construction and civil engineering projects sustainably and cost efficiently.
Business area Industry is run in six product areas; Asphalt, Concrete, Gravel and Rock, Transportation and Machines, Rentals and Construction System. As of 1 January 2017 Foundation Work has been moved to Civil Engineering. All of the product areas work on the Nordic construction and civil engineering markets.
Net sales and profit
October – December 2017
Net sales for the fourth quarter 2017 increased by six percent and amounted to SEK 3,684 million (3,462).
Operating profit for the fourth quarter 2017 amounted to SEK 302 million (227) and the operating margin rose to 8.2 percent (6.6).
January – December 2017
Net sales for 2017 increased by five percent and amounted to SEK 12,761 million (12,161). After adjustments for acquired and divested units net sales increased by four percent. The increase comes from all the product areas except Transportation and Machines, where net sales were the same as the last year.
Operating profit for 2017 amounted to SEK 867 million (753). Profit in all the product areas has improved except in Transportation and Machines where it remains unchanged. The operating margin rose to 6.8 percent (6.2).
Capital employed in Industry at the end of the year amounted to SEK 5,781 million (5,416).
Acquisitions and disposal
Peab has acquired 60 percent of the shares in AB Smidmek Eslöv with the option to acquire the remaining 40 percent. The acquisition complements business area Industry’s existing offer in steel and concrete frames. The company had net sales of SEK 249 million and 29 employees during the financial year 2016/2017. Takeover took place in October 2017.
Peab divested to NCC the foundation operations in Norway which are run under the company Nordisk Fundamentering AS. The business had net sales of NOK 252 million and 102 employees during 2016. Takeover took place in October 2017.
Net sales
Capital employed, 31 December 2017
Key ratios
| Oct-Dec 2017 | Oct-Dec 2016 | Jan-Dec 2017 | Jan-Dec 2016 | ||
| Okt-dec 2017 | Okt-dec 2016 | Jan-dec 2017 | Jan-dec 2016 | ||
| Net sales, MSEK | Nettoomsättning, Mkr | 3,684 | 3,462 | 12,761 | 12,161 |
| Operating profit, MSEK | Rörelseresultat, Mkr | 302 | 227 | 867 | 753 |
| Operating margin, % | Rörelsemarginal, % | 8.2 | 6.6 | 6.8 | 6.2 |
| Capital employed at the end of the period, MSEK | Sysselsatt kapital vid periodens slut, Mkr | 5,781 | 5,416 | 5,781 | 5,416 |
| Number of employees at the end of the period | Antal anställda vid periodens utgång | 3,452 | 3,385 | 3,452 | 3,385 |
| Concrete, thousands of m3 1) | Betong, tusentals m3 1) | 331 | 307 | 1,221 | 1,101 |
| Asphalt, thousands of tons 1) | Asfalt, tusentals ton 1) | 735 | 671 | 2,619 | 2,589 |
| Gravel and Rock, thousands of tons 1) | Grus och Berg, tusentals ton 1) | 4,342 | 3,936 | 14,799 | 13,109 |
1) Refers to sold volume