Brief: Kreate Q1 EBITDA Rises To EUR 2.1 Million

Kreate Oyj

27/04/2022 07:38

April 27 (Reuters) - Kreate Group Oyj  KREATE.HE :
    * KREATE'S INTERIM REPORT JANUARY-MARCH 2022: REVENUE
INCREASED
AND ORDER BACKLOG AT A HIGH LEVEL
    * Q1 ORDER BACKLOG AMOUNTED TO EUR 208.8 (158.3) MILLION
    * Q1 EBITDA WAS EUR 2.1 (1.7) MILLION
    * OUTLOOK UNCHANGED: NET SALES AND EBITA WILL INCREASE
COMPARED TO
2021
    * THE WAR, WHICH WAS STARTED BY RUSSIA IN UKRAINE IN
FEBRUARY,
ALSO AFFECTED OPERATING ENVIRONMENT OF CONSTRUCTION INDUSTRY
    * SANCTIONS ON RUSSIA MEAN THAT INDUSTRY WILL BE IMPACTED BY
AVAILABILITY OF MATERIALS AND COST INCREASES WITHIN ENERGY, FUEL
AND RAW MATERIALS, AMONG OTHERS
    * STRONG ORDER BACKLOG BROUGHT KREATE'S REVENUE AND
OPERATING
PROFIT ABOVE REFERENCE PERIOD, AS WAS TO BE EXPECTED
    * STRENGTHENED BY PROJECTS THAT WE WERE ABLE TO WIN DURING
EARLY
PART OF YEAR, OUR ORDER BACKLOG REACHED ITS HIGHEST LEVEL TO
DATE AT EUR 208.8 (158.3) MILLION
    * PURCHASES MADE IN ORDER TO ENSURE AVAILABILITY OF
CONSTRUCTION
MATERIALS AND PROGRESS OF PROJECTS HAD A FRONT-END-WEIGHTED
IMPACT, NEGATIVELY AFFECTING CASH FLOW FOR EARLY PART OF YEAR
    * THREE RAILWAY BRIDGES DURING 2022 WILL BE EXECUTED WITH
SKIDDING
METHOD
    * IN TERMS OF FLUENCY OF OPERATIONS, KREATE IS IN A GOOD
POSITION
BECAUSE ITS PERSONNEL AND SUBCONTRACTORS ARE MAINLY FINNISH
    * WE HAVE VERY FEW EMPLOYEES FROM EASTERN EUROPE OR RUSSIA
    * KREATE HAS NO PROJECTS OR INVESTMENTS IN RUSSIA, AND WE
HAVE NOT
IDENTIFIED ANY OF OUR CLIENTS ON LISTS OF SANCTIONED PARTIES
    * DESPITE UNSTABLE SITUATION IN WORLD AND OUR DEGRADED
SHORT-TERM
OUTLOOK, OUR GOAL IS TO REMAIN ON PROFITABLE GROWTH TRACK
PURSUANT TO OUR STRATEGY IN 2022 AS WELL

Source text: https://mfn.se/nir/a/kreate-group/kreates-interim-report-january-march-2022-revenue-increased-and-order-backlog-at-a-high-level-ada8c928
Further company coverage:  KREATE.HE 

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