Wästbygg Group’s interim report for January-September 2024

Wästbygg Gruppen AB (publ) presents its interim report for January-September 2024.

“A persistently challenging residential market, together with restructuring costs related to the staff cutbacks and office closures we recently implemented, had a negative impact on profit for Q3. These measures were necessary to prepare the group for the reduced production volumes anticipated in financial year 2025. At the same time, we issued new green bonds during the quarter. This is a forwardlooking initiative and a step in our efforts to restore the company’s profitability and prepare the way for new business opportunities when the market eventually turns around. Interest has been strong, and we are very pleased that our investors continue to have faith in us”, says Jonas Jönehall, CEO Wästbygg Group.

KEY RATIOS ACCORDING TO SEGMENT REPORTING
1 January – 30 September 2024

• Revenue SEK 3,303 million (3,793)
• Operating profit SEK -125 million (-236)
• Profit after tax SEK -114 million (-219)
• Earnings per share SEK -3.53 (-6.78)
• Cash flow from operating activities SEK 384 million (-652)
• Interest-bearing net cash (+) /net debt (-) SEK 266 million (158)
• Equity ratio 31% (33)
• Order intake SEK 1,631 million (2,527)
• Order backlog 30 September SEK 4,514 million (4,490)

1 July – 30 September 2024

• Revenue SEK 1,090 million (1,057)
• Operating profit SEK -47 million (3)
• Profit after tax SEK -49 million (-3)
• Earnings per share SEK -1.50 (-0.10)
• Cash flow from operating activities SEK 334 million (-219)
• Interest-bearing net cash (+) /net debt (-) SEK 266 million (158)
• Equity ratio 31% (33)
• Order intake SEK 611 million (1,019)

KEY RATIOS ACCORDING TO IFRS:
1 January – 30 September 2024

• Revenue SEK 3,400 million (3,729)
• Operating profit SEK -94 million (-166)
• Profit after tax SEK -99 million (-159)
• Earnings per share SEK -3.06 (-4.91)
• Cash flow from operating activities SEK 442 million (-1,079)
• Interest-bearing net cash (+) /net debt (-) SEK -547 million (-1,113)
• Equity ratio 24% (27)

1 July – 30 September 2024

• Revenue SEK 1,286 million (1,038)
• Operating profit SEK -25 million (33)
• Profit after tax SEK -30 million (26)
• Earnings per share SEK -0.92 (0.79)
• Cash flow from operating activities SEK 501 million (-280)
• Interest-bearing net cash (+) /net debt (-) SEK -547 million (-1,113)
• Equity ratio 24% (27)

Comparative figures in parentheses refer to profit items corresponding to the period 2023 and for balance sheet items corresponding to the balance sheet date 2023.

SIGNIFICANT EVENTS IN THE THIRD QUARTER

• As part of a programme of initiatives to restore profitability to the Wästbygg Group, a notice of redundancy was given on 22 August. Negotiations with trade unions were completed in September and resulted in approximately 50 positions being terminated. Costs related to the restructuring were charged to Q3 2024.
• In September, the company successfully issued secured green bonds with a total value of SEK 400 million and a term of three years. The bonds will be subject to a variable interest rate of 3 months STIBOR plus 6.25 percentage points per year, and was issued at par. To meet the three covenants associated with the bond, the company must have an equity ratio of at least 25 percent based on the segment reporting, a loan-to-value ratio of at least 65 percent, and sufficient available funds to cover interest expenses for at least two quarters.
• Lars Just was recruited as the Wästbygg Group’s new CFO. He will assume his new position by the turn of the year at latest, and will then also join the group management team. Interim CFO Peter Bryng will remain at the company until the transition has taken place.

Today at 9:30 Jonas Jönehall, CEO, will present and comment on the report. The presentation will be held in Swedish.

Link to webcast: https://wbgr.se/en/q3-2024/

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For more information, please contact:

Jonas Jönehall, CEO
Phone: +46 73 920 19 01, Email: jonas.jonehall@wbgr.se

Robin Sundin, COO
Phone: +46 72 529 30 04, Email: robin.sundin@wbgr.se

wbgr.se
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About Wästbygg Group:

The Wästbygg Group is a listed construction and project development company that builds and develops residential, commercial buildings and community service properties, as well as logistics and industrial. The group comprises Wästbygg AB, Rekab Entreprenad AB and Logistic Contractor AB.

The group operates in the most rapidly expanding markets in Sweden, with Logistic Contractor also providing services in the neighboring Nordic countries. In 2023, the group had sales of SEK 4.8 billion and 550 employees.