Multiconsult (MULTI) Q4 2022 earnings summary

Executive summary

• FY22 net operating revenue rose 10.1% to NOK 4,189.2m; EBITA reached NOK 408.5m at a 9.8% margin, and net profit was NOK 303.0m. Order intake and backlog both reached records.

• Organic net operating revenue growth was estimated at 4.4% after adjusting for calendar effects and acquisitions; higher billing rates, acquired businesses and staffing drove reported revenue growth.

• The board proposed an ordinary dividend of NOK 9.00 per share for FY22, up from NOK 6.00 paid for FY21.

Financial highlights

• Operating revenue was NOK 4,868.2m, up from NOK 4,284.7m; net operating revenue was NOK 4,189.2m, up from NOK 3,803.7m.

• EBITDA was NOK 610.2m, up from NOK 542.8m; EBIT was NOK 403.1m, versus NOK 348.9m.

• Profit before tax increased to NOK 387.0m from NOK 311.2m; net profit was NOK 303.0m versus NOK 234.7m, and EPS was NOK 11.06 versus NOK 8.67.

• Net cash from operating activities rose to NOK 561.6m from NOK 458.6m; cash and equivalents were NOK 114.6m at year-end, versus NOK 156.2m.

Outlook and guidance

• No financial forecast was issued; the pipeline was high, market outlook across four business areas was generally strong, and sales were good at the start of 2023.

• FY22–FY26 revenue growth ambition is 8–10% CAGR over the cycle, including M&A; annual EBIT margin target is 10%, excluding extraordinary items.

• A strong order book, ongoing projects and recent acquisitions were cited as a sound basis for 2023, while management expected an uncertain geopolitical setting and challenging energy market.

• Buildings & Properties activity was expected to remain high, although housing and real estate—especially architecture—could weaken; Mobility & Transportation was expected to remain at a high level.

• Energy & Industry had a positive pipeline, while hydropower tax changes raised investment uncertainty; Water & Environment demand was supported by infrastructure maintenance and climate adaptation.