YIT (YIT) Q3 2024 earnings summary

Executive summary

• Profitability improved in all segments in Q3, with positive cash flow and transformation program cost savings achieved ahead of schedule.

• Revenue declined to EUR 453 million from EUR 553 million year-over-year, but adjusted operating profit rose to EUR 26 million from EUR 17 million.

• All business segments contributed to a solid quarter, with significant gains in Infrastructure and improved performance in Business Premises.

• Net debt decreased to EUR 789 million (Q3/23: 869), and capital employed continued its downward trend.

• Net result was negative for both Q3 and the nine-month period, mainly due to non-recurring items and market headwinds.

Financial highlights

• Q3 revenue was EUR 453 million (Q3/23: 553 million); adjusted operating profit EUR 26 million (Q3/23: 17 million), margin 5.6% (Q3/23: 3.0%).

• Net result for Q3 was -EUR 6 million (Q3/23: 1 million); nine-month result -EUR 73 million (Q3/23: -14 million).

• Operating cash flow after investments was EUR 2 million in Q3 (Q3/23: -2 million); cash and equivalents EUR 81 million.

• Net interest-bearing debt at quarter-end was EUR 789 million, gearing ratio 98%, equity ratio 34%.

• Order book at period end was EUR 2,736 million (30 Jun 2024: 2,980 million; 2023: 3,391 million).

Outlook and guidance

• Adjusted operating profit for 2024 expected at EUR 20–60 million; operating cash flow after investments to remain positive.

• Market recovery in Finland anticipated in 2025, while Baltics and CEE are operating under normal conditions and expected to continue recovery.

• Business Premises and Infrastructure segments expected to improve operationally.

• Performance supported by transformation program efficiencies; macroeconomic changes and interest rates remain risks.