Overview
Sweden construction firm's Q4 net sales grew to SEK 17,125 mln
Operating margin for Q4 fell to 5.8% from 7.5%
Company proposes dividend increase to SEK 3.30 per share
Outlook
Peab enters the new year with a stable order situation and strong financial position
Result Drivers
CONSTRUCTION CONTRACTS - Growth in construction contract operations contributed to increased net sales, per CEO Jesper Göransson
SWEROCK/ASPHALTS - Strong development in Swerock/Asphalts segment supported operating margin, according to CEO Jesper Göransson
ORDERS RECEIVED - Orders received rose to SEK 14,947 mln from SEK 12,052 mln, indicating a stable order situation
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
SEK 17.13 bln
Q4 EBIT
SEK 996 mln
Q4 EBIT Margin
5.80%
Q4 Orders
SEK 14.95 bln
Q4 Pretax Profit
SEK 934 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy"
Wall Street's median 12-month price target for Peab AB is SEK85.00, about 5.6% below its February 3 closing price of SEK90.00
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 11 three months ago
Press Release: ID:nWkr1pc6KJ
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)