Veidekke (VEI) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue grew 5% year-over-year to NOK 11.3 billion, with profit before tax up 11% to NOK 538 million and profit per share at NOK 2.9.

• Order intake surged to NOK 14.3 billion, raising the order book to NOK 49.2 billion, up 20% year-to-date, with 56% executable in the next 12 months.

• Construction Norway and Infrastructure Sweden were key growth drivers, with most segments reporting improved profit performance.

• Margin improvement attributed to a quality project portfolio, effective risk management, and cost adaptation.

• LTI rate improved to 2.4, with no serious injuries, and sick leave rate decreased to 5.2%.

Financial highlights

• Q2 2025 revenues reached NOK 11.3 billion, up from NOK 10.8 billion in Q2 2024.

• Profit before tax increased to NOK 538 million from NOK 484 million year-over-year.

• Operating profit (EBIT) was NOK 498 million, EBITDA NOK 772 million, and profit margin 4.7% (up from 4.5%).

• EPS for Q2 2025 was NOK 2.9, up from NOK 2.7 in Q2 2024.

• Cash and cash equivalents at quarter-end were NOK 937 million, with total assets at NOK 18.3 billion.

Outlook and guidance

• Order intake signals increased activity, especially in defense and critical infrastructure.

• The market remains challenging due to high commodity prices and interest rates, impacting investment decisions and leading to project deferments.

• Ongoing risk management, selectivity, and cost adaptation measures are in place to address market volatility and maintain margins.

• Well positioned for a market upturn with a solid order book and quality project pipeline.