Non-financial targets and sustainability

Every day Peab contributes to sustainable social development and works to improve everyday life for people in their local communities. We do this by building everything from homes, schools and hospitals to bridges, roads and other infrastructure. Working sustainably is a strategic matter for Peab that primarily takes place locally, connected to everyday life based on our core values, business concept, mission, strategic targets and Code of Conduct.

We monitor our business based on nine external targets – both financial and non-financial – that also identify our material sustainable aspects. These are found in the strategic targets Best workplace and Leader in social responsibility. We report the targets quarterly, semi-annually or annually. In this report we report on all nine targets.

Most satisfied customers

It is imperative for a long-term, sustainable relationship that Peab deliver on its obligations to customers. A satisfied customer is a customer that comes back and is vital to marketing our company. Our annual customer survey is an important measure of how well we are meeting our customers’ expectations while also indicating where there is room for improvement.

As of 2024 we are using a different measurement in the Customer Satisfaction Index (CSI) where each business area corresponds to 25 percent of the rating for the Group’s compiled CSI result. In 2024 CSI amounted to 78 which is a good result and bit over our target of 75. If we had maintained our former measurement CSI would have remained unchanged at 80.

In connection with the CSI survey we also ask customers how they perceive Peab based on a number of factors. Both private and business customers give Peab’s personnel the highest rating while reliability increased the most. Almost 2,400 customers participated in the autumn survey. Now we will continue to work together with our customers – and strive for early and tight dialogues – to achieve the highest possible value for customers and their greatest satisfaction with Peab.

Best workplace

Peab’s business is founded on a strong corporate culture. Employees can make a difference by building the local community in the places all over the Nordic region where they live and work. Every employee has a great deal of personal responsibility, and should be met by both good working conditions and development opportunities as well as safe and inclusive workplaces.

Serious accidents

A safe work environment is the foundation of our business. Everyone at our workplaces should be able to be there under safe and secure conditions, despite the fact that there are risks involved in the work we do. Peab has a vision of zero workplace accidents. We continuously develop our quality-assured work methods and train our employees to reinforce our safety culture. The focus is on preventive work, remediation of reported incidents and risk observations and learning from them.

In order to reach our vision of zero workplace accidents, we have a target of a contracting trend in serious accidents* that includes everyone at our workplaces. We are happy to say that the number of serious accidents has diminished in 2024. During the fourth quarter of the year there were six serious accidents, of which three involved our own employees and three employees of subcontractors. The number of serious accidents for the full year 2024 was 33 (48), of which 20 pertained to own personnel and 13 to subcontractors.

We also monitor the number of workplace accidents with more than four days absence, excluding the day of injury (LTI4), and workplace accidents according to the same definition per one million hours worked (LTIF4) for our own employees. During the fourth quarter of the year the number of LTI4 was 37 (34 in the third quarter 2024) and the LTIF4 frequency rate on a rolling 12 month basis remained 5.9 (5.9 after the third quarter 2024). Now we will continue with unabated intensity to reduce the number of accidents.

Attractive employers (eNPS)

We should be the best workplace in the industry and thereby the obvious choice of employer. Twice a year we hold our personnel survey The Handshake so that co-workers and teams can continuously develop. The questions mainly concern productivity, the team’s sustainability and if employees are willing to recommend Peab as an employer (eNPS). The latter is also one of our nine external targets that we report twice a year and should be above the benchmark for the industry (industry and manufacturing).

In the au­tumn sur­vey the eNPS value for the Group con­tin­ued to be far above the Nordic bench­mark. We increased by a point to 28 (27) even though last year was full of external challenges. At the same time the bench­mark fell by three points to 17 (20). The eNPS value rose par­tic­u­lar­ly for fe­male skilled work­ers. In the survey employees rated collaboration with co-workers, community and Peab’s core values as some of the company’s greatest strengths. The negative trend was strain. Par­tic­i­pa­tion in the au­tumn sur­vey was the highest in Peab’s history with 90.2 (89.9) per­cent, dis­play­ing the great in­ter­est our em­ploy­ees have in contributing to the de­vel­opment of our busi­ness.

The total number of employees per December 31, 2024 was 13,383 (14,107). The average number of employees* on a rolling 12 month basis amounted to 12,899 compared to 13,808 for the full year 2023.

* For a definition see section Alternative performance measures and definitions.

Leader in social responsibility

Climate target for carbon dioxide intensity

As the Nordic Community Builder we have a big responsibility for reducing the considerable climate impact of the construction and civil engineering industry at the rate required by the Paris Agreement. Peab impacts the environment and the climate through our own operations and for the impact our value chains upstream and downstream. Operations primarily cause emissions of greenhouse gases by using various materials in production like concrete, steel and asphalt. Two other major sources of carbon emissions in production are energy consumption and transportation. So these are the areas we prioritize our emission reduction activities. As community builders we also have a comprehensive perspective on our climate work and strive to contribute to a sustainable society on the whole by building, for example, solar power plants and railroads or by building in such a way that people can live more sustainably. We have a life cycle perspective in our operations and take responsibility for both making and meeting demands in our value chain. We have an advantage in that we can supply our construction contract operations and the projects we develop ourselves with input goods and raw material through business area Industry, which augments our ability to actively steer towards lower carbon emissions.

In 2045 Peab will be climate neutral. Our sub-targets by 2030 are to reduce carbon dioxide intensity by at least 60 percent in our own operations (Scope 1 and 2) and for input goods and purchased services (Scope 3) by at least half compared to base year 2015. The outcome after 2024 revealed that developments are going in the right direction although to different degrees. Carbon dioxide intensity in our own operations has gone down by 50 percent compared to base year 2015. Carbon dioxide intensity for input goods and purchased services, where the scope and extent of reported data has improved in 2024, has decreased by 12 percent since 2015. Using more ECO-products in operations and a higher degree of reuse and recycling of waste contribute to the reduction although this positive effect is diminished due to the change in Sweden as of 2024 of the reduction obligation. There might also be a certain delay in revision of emission factors as a result of the changed reduction obligation on our fuel-related products. In 2024 in absolute figures (tCO₂e) Scope 1 amounted to 176,000, Scope 2 (market based) was 14,500 and Scope 3 was 910,000. These figures show that we are well on the road to converting the production we ourselves have control over but the greater challenge is when we are dependent on other parties for a reduction in our carbon footprint. It is therefore vital that together with our customers we continue to make explicit and stringent demands for the climate improvement measures in order to reduce emissions. We work actively to better the quality of our metrics of greenhouse gases emissions, particularly in Scope 3 reporting, and we have also increased the scope of reported data in 2024.

Equal opportunity recruitment

The construction and civil engineering industry has a major role to play in taking advantage of all the competence society has to offer. The portion of women that graduate with, for Peab, degrees in relevant, practical education in the Nordic region has increased to around eight percent from previously five or six percent. As one of the largest Nordic community builders we have a responsibility to nudge the entire industry forward. Therefore our target is that the percentage of women recruited to Peab for our core skills to always be higher than the percentage of women who have graduated with, for us, relevant degrees on the education markets. We are focused on core skills in production (skilled workers) as well as in production management and production support (white-collar workers).

At the end of 2024 the percentage of women in new recruitments was 10.6 percent in production and processing compared to our target of at least 6.0 percent. For 2025 we have raised our target to at least 8.0 percent. New recruitment in production management and production support rose to 39.1 percent compared to our target of at least 30.0 percent. There have been relatively few recruitments during the past year because of the current market situation.