Destia’s interim report for January−March 2015: REVENUE AND ORDER BOOK INCREASE IN A CHALLENGING MARKET SITUATION AS PROFITABILITY WEAKENS SLIGHTLY
• Revenue increased by 9.8 per cent to MEUR 74.3 (67.7).
• The operating result was MEUR -4.8 (-3.9).
• The order book increased by 15 per cent in comparison to the end of 2014 and stood at MEUR 721.6.
• Investment in occupational safety continues: accident frequency at end of review period excellent: 6.5 (13.3).
• Destia’s revenue is forecast to grow slightly but operating profit is forecast to fall short of the previous year in 2015.
President & CEO Hannu Leinonen comments on the reporting period:
"The infrastructure market weakened further in the early part of the year as the economic situation continued to be uncertain. Overall demand, however, is rather moderate. In a tight market situation, we are paying particular attention to risk management and profitability, from the tendering stage on. Destia’s order book developed positively during the reporting period and is larger than last year both in our core businesses and in the key areas of strategic growth.
Our revenue improved but our result weakened in the first quarter compared to the previous year. The result for the corresponding period last year was improved by individual ongoing projects that were particularly successful.
We are continuing our investment in personnel development in accordance with our strategy. This year, training targeted at personnel is focusing on entrenching target-oriented customer work and harmonised operating practices. Our strong investment in the improvement of occupational safety also continues. I am satisfied with our record low accident frequency achieved in the first quarter, which was 6.5.
Our order book and the measures we are taking to improve customer work and project management provide a good foundation to maintain profitability in the longer term, despite the challenging market situation. We estimate that our revenue will increase slightly but that operating profit will fall short of the previous year in 2015."
President & CEO Hannu Leinonen, tel. +358 20 444 4000 and CFO Pirkko Salminen, tel. +358 50 302 2485
Financial reporting 2015
Destia will publish its interim reports for January−June on 11 August 2015 and for January−September on 27 October 2015.