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Overview of Skanska's Year-End Report for 2024

On February 7, 2025, Skanska revealed its annual report for the year ending December 2024, which indicated notable advancements in the company's financial performance. The report, highlighting the company’s resilience and strategic growth, showed revenue skyrocketing to SEK 50.6 billion, reflecting a 20% increase when accounting for currency effects. The cumulative revenue for the full year reached SEK 177.2 billion, a 13% rise adjusted for currency influences compared to the previous year.

Financial Highlights

The operating income surged to SEK 2.7 billion, up significantly from SEK 1.0 billion, marking a staggering 189% increase when currency effects are factored in. For the year, Skanska reported an operating income of SEK 7.1 billion, vastly superior to SEK 3.2 billion from 2023, showcasing a robust 121% growth.

Earnings per share for the year grew to SEK 14.12, up from SEK 7.89, an encouraging trend for shareholders. Reflecting their confidence in continued growth, the Board of Directors proposed a dividend of SEK 8.00 per share, sharply up from SEK 5.50.

Operational Cash Flow and Debt Management

Certainly, cash flow remained strong, with operating cash flow from operations at SEK 5.1 billion for the fourth quarter and SEK 6.7 billion for the entire year. Adjusted interest-bearing net receivables reached SEK 12.0 billion, a significant increase from SEK 6.5 billion as of September 30, 2024. This solid cash management underpins the company’s sustainability and financial strength.

Order Bookings and Construction Performance

Looking into specific segments, order bookings in Construction amounted to SEK 49.6 billion for the last quarter, a notable 11% rise when adjusting for currency effects, summing up to SEK 207.9 billion for the full year. This contributes to a rolling book-to-build ratio of 123%.

Despite challenges, operating income in the construction segment remained stable at SEK 2.1 billion for the last quarter, yielding an operating margin of 4.5%. For the full year, operating income matched at SEK 5.9 billion with an unchanged margin of 3.5%.

Project Development and Return Metrics

Project Development, showcasing further recovery, turned an operating income of SEK 0.5 billion in the fourth quarter, reversing previous losses. This segment ended with a 2.6% return on capital employed. Additionally, the return on equity also improved, reaching 10.0% against the prior year's 5.8%, highlighting the efficiency in capital deployment.

Future Prospects and Conference Invitation

The report concludes with an invitation to a conference scheduled for 10:00 CET on February 7, 2025, where executives will discuss the findings in depth. Shareholders and analysts can join via the specified web link or by phone, ensuring widespread participation and transparency in the financial discourse.

For ongoing updates, interested parties can visit Skanska's investor site.

Conclusion

Skanska's year-end report for 2024 reflects a strong operational performance with substantial revenue and income increases amid challenging market conditions. The company's commitment to growth and stability positions it favorably for the future.