Skanska Three month report, 2004

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Skanska Three month report, 2004
Miguel Dobrzniecki, Director of Operation and
Maintenance, Breitener Emergency Power Plant,
Brazil

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Highlights from Q1, 2004

• Construction Services
• Continued improvements in Nordics
• Still worries about U.S./U.K. markets
• Continued pressure on margins in the U.S.
• Project development
• Improved earnings and increased number of
  building starts for Residential Project
  Development in most markets
• Fewer transactions and lower sales volume in
  Commercial Project Development

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Highlights from Q1, 2004

• Order bookings of SEK 31.4 bn
• up 3 on 2003 adjusted for currency
• Bookings up in Sweden and Poland
• Decline in USA Civil and in the U.K.
• Net sales in Construction Services of
  SEK 24.8 bn (26.8)
• Flat sales in local currencies
• Operating income of SEK 456 M (720)
• of which, gain on sale of properties 126 (488)
• Cash flow in Construction Services of SEK 11 M
  (-1,008)
• Increase of SEK 0.3 bn in net debt

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Order situation Construction Services
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Order bookings
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Market outlook Construction

• Construction investments remain weak
• Exceptions are Czech Republic, PFI projects in
  the U.K., Norway and certain civil markets
• Continued pressure on industrial and commercial
  building in most markets
• Demand in the U.S. still at a low level

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Market outlook Project Development

• Residential PD activity maintained a high level
  in the Czech Republic and Finland
• In most markets there is an increased volume of
  planned housing starts in the medium and lower
  price segments
• Stabilizing vacancy rates but still a cautious
  approach to new investments in Commercial PD
• Continued strong interest from investors in
  office, retail and logistics markets

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Construction Services
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Residential Project Development
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Residential Project Development
All sold units include reserved units in this
summary.
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Commercial Project Development
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Commercial Project Development
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BOT
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Income analysis Group
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Group net investments/divestments
15
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Operating cash flow and change in net debt
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Change in interest-bearing assets and liabilities
Last day of quarter, SEK M
2002
2003
2004
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Balance sheet
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Summary

• Volumes in local currencies comparable to last
  year
• Net sales down 5
• Order bookings up 3
• Margin improvement
• EBITA margin of 1.4 (0.9) in Construction
  Services despite problems in US market
• Capital employed further reduced
• SEK 23.6 bn (Dec. 2003 24.5)
• Increase of SEK 0.3 in net debt
• Continued cautious market outlook

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