Kreate Group (KREATE) Investor presentation summary

Strategic vision and market positioning

• Focus on sustainable profitability and technical excellence as a preferred infrastructure partner for 2024–2027.

• Operates in both Finland and Sweden, with a growing international presence and ambition to double Swedish revenue by 2027.

• Avoids residential construction, specializing in demanding infrastructure projects.

• Maintains a balanced customer portfolio, with over half of revenue from the public sector.

Financial performance and targets

• 2023 revenue reached €320 million, with an EBITA margin of 3.2% and return on capital employed at 12.9%.

• Order backlog stands at €225 million, with over 500 employees and a strong employee net promoter score.

• Targets annual revenue growth of 5–10% and EBITA margin above 5% for 2024–2027.

• Net debt to EBITDA target is below 2.5, with a dividend policy to distribute at least half of annual net profit.

• Dividend has increased for four consecutive years, with a 2024 payout of €0.50 per share (7% yield).

Operational strengths and market dynamics

• Executes over 150 projects annually with a flexible, asset-light approach and resilient profitability through recent crises.

• Finnish operations account for 85% of revenue, Swedish operations 15%.

• Holds a 50% stake in KFS Finland Oy, specializing in geotechnical construction, with significant project synergies.

• Selective bidding strategy, with over 96% of projects profitable and a focus on risk management.