AF Gruppen ASA

Hello, and a warm welcome to the presentation of the first quarter for the AF group. After the presentation, there will be questions and answers for the physical meeting. The main points in this quarter are that there has been a demanding first quarter for AF, which we have put behind us. The turnover ended at 7.4 billion, and the result before the tax is at 13 million. The cash flow from drift was at minus 24 million, and the total order reserve per 31.3 was at 41.6 billion. Netto rentebærende gjeld ved utgang til kvartalet var på 570 million. Styrets forslag til utbytte for utbetaling for første halvår 2023 er på 6,50 kroner per aktie. The main priority in the HF Group is the safety and health of our people. In this quarter, we have had eight incidents that have led to either injury or serious personal injury without injury. And when we divide that by the number of million performed hours, we got a H1 value of 1.4. In addition, damage to medical treatment and damage that has led to alternative work, and shares per million performed work hours, we get a H2 value, and that was 9.2 in this quarter. I am pleased to see the trend in our health care. We are down 1.1 percent points from the corresponding 10 last year, and health care ended at 4.4 percent. If we go back and look at the figures in this quarter, we have had a revenue growth of 8.6%, and we ended up at 7.4 billion. The result before tax, however, went down from 209 million to 13 million in this quarter. The main reason for this is the reduction we have made to 230 million for about 20 projects in our Swedish business. And we are not happy with this result. If we move on and look at another important target parameter for us, the reduction of invested capital, we have had 1.2 billion in results before tax and returned interest rates in the last 12 months. We have a total invested capital of about 4.6 billion, which gives a reduction of invested capital of 27%. It is a bit below what we are used to seeing in the AF group, but it is still well above our target of 20%. If we look at the cash flow, it was at minus 24 million from the drift in this quarter, and we had liquid output at 677 million. The 677 million is found to the right of this graph. And when we look at the interest rate conditions and subtract from the interest rate value, rental obligations on machines and house rental obligations, we get a net interest rate value of 570 million in this quarter. And then we have an available liquidity, including a draw facility of 3 billion, on the right-hand side of 3 billion. And we mean thus that we are in a solid financial position. If we look at the balance, we have smaller changes on the equity, so we have equity at just below 3.5 billion. Then we have growth, so slightly increased supply and delivery, in a total equity of 15.1 billion, which gives an equity share of 22.8%. AF-gruppen har en rekke samfunnsnyttige prosjekter, og vi har ansvaret for at de prosjektene vi utfører påvirker klimaet og miljøet så lite som mulig. Vi følger tre KPI-er i de her kvartalene, og vi starter med kildesorteringen. Vi har kildesortert over 125 000 ton hitte i 2023, med en sorteringsgrad på henholdsvis 7,90, 9,80 og 6,80 for riving, rehab og bygging, og det er godt over myndighetskravet på 60 %. Vi har også rivet og sortert mer enn 16 000 ton med metaller, og miljøparkene våre har gjenvinnet mer enn 46 000 ton. And in total, the last two have been able to track the environment for over 20,000 tons of CO2 equivalents in this quarter. If we look at the status of our companies, we start with facilities, where there has been a good growth. Income ended at 1.4 billion, with a operating result of 77 million, giving a operating margin of 5.3%. AIF Anlegg has a good result, and they have high activity in this quarter, with good operations in two major projects, the Rentevannstunnel in Oslo and the Lovå project outside of Stockholm. And then we have two major projects in the initial phase, with the water treatment facility in Huseby and the cable tunnel at Sogn Ulven. Målsøvd Maskin og Transport har et svært godt resultat også i det her kvartalet, og Stensetter RS leverer et godt resultat, mens Eikon og Consolvo har svake resultater. Det er gledelig å se at det kommer på nye kontrakter til virksomheten, og blant annet AF Anlegg har i kvartalet inngått en avtale om å bygge E6 fra Storovet og opp til Øyer, med en verdi på 1,8 milliarder. It is also worth noting that the oil reserve on the plant is up over 40% at 17.5 billion. Byggvirksomheten har fortsatt vekst og endte på rett til underkant og 2,6 milliarder. Med et driftsresultat på 51 million, så gir det en driftsmargin på 2%. Opp 1,3 prosentpoeng fra tilsvarende i fjor. Men det er det vi mener er en låg lønnsomhet for det virksomhetsområdet. There is a large variation among the units, and Bygg Østfold and Strøm Gunnarsen deliver good results in the quarter, while other units deliver below expectations, and Haga Berg delivers weak results in this quarter. We have for the Norwegian construction business Børsmelt 5 contracts in this quarter, and its largest contract is HTB with Kokstad Mobility Park in Bergen at about 290 million, which is melted in the quarter. And we have an order reserve of 9.3 billion. After the end of the quarter, Bygg Østfold has signed a contract on the construction of a cleaning facility in Frevar, with a contract value of 1 billion, which is important for the business in the east. If we look at the concrete mass, the turnover is relatively stable, and the operating result is 34 million, which gives a operating margin of 2.8%, which is an increase of 1% from last year. There are varying results and among the units in concrete mass. While Romerike, Trøndelag, Rødshamn, Asker og Bærum deliver good results, there are still weak results in housing construction, and Buskerud-Vestfold delivers weak in this quarter. It is very happy that an agreement has been made in Horten to build office buildings at a value of just over 800 million, and there are two more agreements with a collected value of over 600 million in the quarter. The oil reserve is at 5.1 billion kroner in concrete waste. If we look at property, the low housing sales continues in this quarter. We have entered sales contracts for a total of 20 homes, where our share is 9, and the answers last year were approximately 57 and 26. We have seven housing projects with all 940 units under production, and the sales rate in these is good at 78%. If we go over to Sweden and the business area that has really marked this quarter, we had revenues of 1.9 billion, and we have a operating result of minus 162 million. In Sweden, it is two-part. On one side, we have... We have Prefab Mellardalen, we have Hørnesand Byggreturer, we have Kanonaden, Bygg Syd and HMB, who have collected and delivered well in this quarter, and have a good market position. On the other side, we have adjusted in about 20 projects, at a total of 230 million, and in those projects we have a remaining 940 million in production. And the total year's reserve in what we call earlier concrete mass companies is about 2 billion. We have also received an order in this business in the quarter, and Kanonaden has been allowed to carry out basic work for Metse at Dømmer's paper factory down in Mariestad for 300 million kroner in the quarter, and HNB has also been able to enter an agreement to build care homes in Flen for about 150 million kroner. Gårdreserven i Sverige er på 7,6 milliarder ved utgangen på første kvartal. Ser vi videre på virksomhetsområdet energi, så har de hatt 20% vekst in i kvartalet, og omsetningen endte på 287 millioner, med driftsresultat på 11 millioner, så det gir det en driftsmargin på 3,7%. AF Energi has increased their turnover and is delivering a good result this quarter, while our Riva activity in AF Dekom has had low activity and is delivering weak results this quarter. The oil reserve is at the bottom of 700 million, and it is very happy that after the end of the quarter, AF Energi has, after nearly four and a half years of cooperation, entered into an agreement with Statsbygd to deliver pipes to Livsvitenskapsbygget, which is the biggest contract ever for them, at the bottom of 700 million. The last business area is offshore. Dødmar has had a strong growth of over 30%. With a turnover of 244 and a operating result of 18, it gives a very strong operating margin of 7.2%. It is AF Offshore Dekom that continues to deliver good profitability, and it is also very happy that Aeron delivers good profitability in this quarter. And the order reserve is on the right edge at 1.6 billion. If we look at the total order reserve, it is at 41.6 billion, and it is divided over the business areas by facilities, which is the largest at 17.5 billion. We have buildings at 9.3 billion, Sweden at 7.6 billion, and Betongmast at 5.1 billion, which are the key indicators in the order reserve. We mean that we have a solid order reserve. If we then go over to the summary of the two quarters, then it has been a demanding quarter. We have had revenues of 7.4 billion, with a operating result of 15 million. This is turnover growth, but a weak profitability that we are not satisfied with. We are still in a strong financial position, and we have a solid order reserve of over 41.6 billion, and control the proposed exchange rate of 6.50 kroner per share for payment in the first half of 2023. What is important for AF in the future is that we continue with what we have seen in results over time. We will choose the right project. We must have robust organization. We must drive good risk management. Be good at operations. Pay attention to the money. And most importantly, pay attention to our people. That is what we have seen give value over time, and that is also what will create value in the future. With that, I wish everyone who follows us on the net a good day, and a good weekend. And then we move on to questions and answers here.