Press releases

Destia Group’s interim report for January–March 2014: ORDER BOOK GROWING AND CASH POSITION REMAINING STRONG

06.05.2014 09:00:00

  • Revenue decreased by 13.3 per cent and was MEUR 67.7.
  • Operating result fell short of the comparison period and was MEUR -3.9.
  • The cash position remained strong and the company is free of net debt.
  • The order book increased by 18 per cent in comparison to the end of 2013 and stood at MEUR 676.2, but was at a lower level that the previous year.
  • Investment in human resources development continues with the focus for 2014 being goal-oriented customer work and an improvement in occupational safety.
  • Destia Group’s 2014 revenue and operating profit are expected to fall slightly short of the level of the previous year.

 

Group’s key figures (IFRS), MEUR 1-3/2014 1-3/2013 1-12/2013
 
Revenue, continuing operations 67,7 78,1 489,7
Operating result, continuing operations -3,9 -2,2 18,9
% of revenue -5,8 -2,9 3,9
Result for the period,
continuing operations
-3,2 -1,9 12,5
% of revenue -4,8 -2,5 2,6
Result for the period -3,2 -0,3 14,9
Return on investment, % 19,8 13,8 22,1
Equity ratio, % 49,9 39,1 44,0
Net gearing, % -53,4 -25,2 -51,6
Average personnel  1 450 1 462 1 515
Occupational accidents resulting in    
absence from work *)  13,3 6,2 10,8
Comparable order book at the
end of period
676,2 706,9 574,6
*) Occupational accidents of Destia´s
own personnel per one million working hours

 

President & CEO Hannu Leinonen comments on the report period:

”The continuing economic uncertainty is reducing the size of the infrastructure market, but demand is, however, remaining moderate. There will be fewer new major contracts on offer, which will intensify competition. The lower level of the order book than the previous year and, in particular, the lack of success in tendering for major projects last year will present a challenge for this year’s revenue. In the reporting period, our order book, however, developed positively, both in our core businesses and in focus areas of strategic growth.

During the reporting period, we underwent three main road regional maintenance contract rounds. In them, Destia succeeded satisfactorily, maintaining its market position. Our track construction is being strengthened by a contract we have concluded for the construction of the surface structure for the Western Metro railway track along a 14 km-long double tunnel. We also concluded several agreements in energy construction.

This year, we are investing strongly in the development of customer work. Human resources development is still Destia’s strategic area of focus. This year, personnel training will focus on goal-oriented customer work. We are also continuing strongly with the development of occupational safety.

Our order book coupled with the measures we have taken towards improving customer work and project management provide a solid foundation for maintaining good profitability and cash flow also in the long-term in future. However, due to the lack of success in the tendering of major projects in 2013, we expect that Destia Group's revenue and operating profit for 2014 will fall slightly below the previous year's level."

 

Destia Group's Interim Report 1 January - 31 March 2014 (pdf)

 

More information
President & CEO Hannu Leinonen, tel. +358 20 444 4000 and CFO Pirkko Salminen, tel. +358 50 302 2485

Financial reporting 2014
Destia will publish its interim financial reports for January−June on 8 August 2014 and for January−September on 28 October 2014.

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