Annual General Meeting Stockholm, April 6, April 6, 2016 Skanska Annual General Meeting 1

Transcription

1 Annual General Meeting Stockholm, April 6, 2016 April 6, 2016 Skanska Annual General Meeting 1

2 Johan Karlström President and CEO April 6, 2016 Skanska Annual General Meeting 2

3 The Group revenue and profit SEK bn Revenue Profit for the year April 6, 2016 Skanska Annual General Meeting 3

4 Financial targets The Group Target 2015 Outcome Return on equity 18-20% 22.5% Financial strength net cash position 1, SEK bn Positive 13.8 Construction Average operating margin over a business cycle % 2.8% Project development business streams Return on capital employed 10-15% 14.9% 1 Excluding net pension liabilities and construction loans for cooperative housing associations April 6, 2016 Skanska Annual General Meeting 4

5 2015 in brief Construction Increased revenue, decreased operating income and order bookings, increased cash flow Residential Development Improved result and return on capital Commercial Property Development Record in divestment gains, increased investments Infrastructure Development Increased underlying value of portfolio, continued enhanced position in the U.S. April 6, 2016 Skanska Annual General Meeting 5

6 Summary Construction margin 2.8% Return on capital employed 14.9% Return on equity 22.5% April 6, 2016 Skanska Annual General Meeting 6

7 Net cash SEK M 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2, Net cash Investments in Project Development April 6, 2016 Skanska Annual General Meeting 7

8 Proposed dividend SEK/share Dividend April 6, 2016 Skanska Annual General Meeting 8

9 Dividend SEK Ordinary dividend Extra dividend April 6, 2016 Skanska Annual General Meeting 9

10 Development in Skanska s home markets Year-on-year change, real 10% 5% GDP Forecast 0% -5% -10% Construction investments -15% April 6, 2016 Skanska Annual General Meeting 10

11 Construction SEK bn Revenue Operating income Operating margin, % Free working capital Oculus, World Trade Center, New York, U.S. April 6, 2016 Skanska Annual General Meeting 11

12 Construction SEK bn Order bookings Book-to-Build, % Order backlog Interstate-4 Ultimate, Orlando, U.S. April 6, 2016 Skanska Annual General Meeting 12

13 Construction Increased negative working capital Continued strong results and margins in Sweden, Finland ad Poland Increased order bookings in UK, Sweden, Finland and Czech Republic Construction operations in the U.S. April 6, 2016 Skanska Annual General Meeting 13

14 European Spallation Source, ESS Lund, Sweden Contract value: SEK 2 bn Completion: 2020 One Skanska partnership UK 25% Sweden75% Photo: Ulrika Hammarlund/ESS April 6, 2016 Skanska Annual General Meeting 14

15 Slussen Stockholm, Sweden Contract value: SEK 2.4 bn Five contracts in total Completion: April 6, 2016 Skanska Annual General Meeting 15

16 Ascend Amphitheater and West Riverfront Park Nashville, U.S. Contract value: USD 40 M Completion: 2015 LEED Gold certified April 6, 2016 Skanska Annual General Meeting 16

17 Construction Market outlook 2016 Nordic countries Other European countries North America Česká Lípa, Northern Bohemia, Czech Republic April 6, 2016 Skanska Annual General Meeting 17

18 Residential Development Targets 2016 Targets 10% operating margin 10% return on capital employed Solallén, Växsjö, Sweden April 6, 2016 Skanska Annual General Meeting 18

19 Residential Development SEK bn Revenue Operating income Operating margin, % Return on capital employed, % BoKlok Solhöjden, Huddinge, Sweden April 6, 2016 Skanska Annual General Meeting 19

20 Residential Development 2015 summary Market Result Sweden + + Norway + + Finland - + Central Europe + + Kilåsen, Lysaker, Oslo, Norway April 6, 2016 Skanska Annual General Meeting 20

21 BoKlok Raketen Kiruna, Sweden Number of Apartments: 34 Townhouses: 16 Completion: ,000 BoKlok homes sold ,000 BoKlok homes sold since the beginning in 1996 April 6, 2016 Skanska Annual General Meeting 21

22 Kviberg Gothenburg, Sweden Number of apartments: 612 Completion: April 6, 2016 Skanska Annual General Meeting 22

23 Residential Development Market outlook 2016 Nordic countries Central Europe Sopranen Malmö Live, Sweden April 6, 2016 Skanska Annual General Meeting 23

24 Commercial Property Development SEK bn Revenue Operating income of which gain on sale Return on capital employed 1), % ) Adjusted Green Court, Bucharest, Romania April 6, 2016 Skanska Annual General Meeting 24

25 Commercial Property Development SEK bn Investments Ongoing projects Number of projects Total investment New leases, sq m (000) Estimated surplus value Pennsylvania Avenue, Washington D.C., U.S. April 6, 2016 Skanska Annual General Meeting 25

26 Corso Court Prague, Czech Republic Total area: 24,000 sq m Completion/sold: 2015 LEED Platinum April 6, 2016 Skanska Annual General Meeting 26

27 400 Fairview Seattle, U.S. Total area: 45,000 sq m Completion: % sold 2015 for USD 235 M LEED Platinum April 6, 2016 Skanska Annual General Meeting 27

28 101 Seaport Boston, U.S. Total area: 48,000 sq m Completion: 2015 LEED Platinum April 6, 2016 Skanska Annual General Meeting 28

29 Commercial Property Development Capital employed distribution by market 1 Seattle U.S. 36% Nordics 40% Boston Washington D.C. Oslo Helsinki Stockholm Houston Gothenburg Malmö Copenhagen Gdańsk Warsaw Poznań Wrocław Łodz Katowice Prague Kraków Ostrava Budapest Bucharest Central Europe 24% 1 As of Dec 31, 2015 April 6, 2016 Skanska Annual General Meeting 29

30 Commercial Property Development Market outlook 2016 Nordic countries Other European countries USA Studio, Malmö, Sweden April 6, 2016 Skanska Annual General Meeting 30

31 Infrastructure Development SEK M Operating income of which gain on sale Elizabeth River Tunnels, Virginia, U.S. April 6, 2016 Skanska Annual General Meeting 31

32 Infrastructure Development Projects in the portfolio 11 of which completed 7 ongoing 4 Investment, SEK bn 3.3 of which invested 1.7 New Papworth Hospital, Cambridge, UK April 6, 2016 Skanska Annual General Meeting 32

33 Infrastructure Development SEK bn Portfolio, net present value Unrealized development gain (estimated) New Karolinska Solna, Stockholm, Sweden April 6, 2016 Skanska Annual General Meeting 33

34 Interstate-4 Ultimate Orlando, U.S. Contract value: ca SEK 7 bn Investment: ca SEK 0,6 bn Completion: 2021 April 6, 2016 Skanska Annual General Meeting 34

35 St Bartholomew's Hospital and Royal London Hospital London, UK Skanska s 38-percent interest sold for SEK 1 billion April 6, 2016 Skanska Annual General Meeting 35

36 Nya Karolinska Solna Stockholm, Sweden The new university hospital will open its doors to the first patients at the end of 2016 April 6, 2016 Skanska Annual General Meeting 36

37 Infrastructure Development Market outlook 2015 North America Europe Bristol Schools, UK April 6, 2016 Skanska Annual General Meeting 37

38 Skanska Latin America All engineering and construction operations ended in 2015 Operations and maintenance activities divested in the first quarter 2016 April 6, 2016 Skanska Annual General Meeting 38

39 Business Plan Profit with Purpose We build for a better society April 6, 2016 Skanska Annual General Meeting 39

40 Financial targets Group Construction Project development operations Return on equity 18% Operating margin 3.5% Return on capital employed 1 10% Net operating financial assets/liabilities can be negative if opportunities arise 1 Overall for Project Development April 6, 2016 Skanska Annual General Meeting 40

41 Key strategic actions Construction Controlled growth Residential Development Stable Commercial Property Development Expansion Infrastructure Development Grow in selected home markets April 6, 2016 Skanska Annual General Meeting 41

42 Skanska s business model Free working capital Revenue from external customers Construction Investment opportunities Internal contracts Project development Operating margin Return on capital employed Return on equity Dividend April 6, 2016 Skanska Annual General Meeting 42

43 Balanced value creation Construction Project Development April 6, 2016 Skanska Annual General Meeting 43

44 CCI Corporate Community Investment We build for a better society April 6, 2016 Skanska Annual General Meeting 44

45 April 6, 2016 Skanska Annual General Meeting 45

46 Work environment Continued focus on a safe working environment Equip mobile work platforms with extra protection in cooperation with leading international manufacturers April 6, 2016 Skanska Annual General Meeting 46

47 Risk management Skanska s operations = projects Several thousand ongoing projects in different countries Risks in each individual project Risk management is of central importance April 6, 2016 Skanska Annual General Meeting 47

48 The employees demonstrate our values in practice April 6, 2016 Skanska Annual General Meeting 48

49 Outlook 2016 Solid financial position Positive market outlook Strong order backlog More Commercial and Infrastructure projects April 6, 2016 Skanska Annual General Meeting 49