The construction group's profit for the period is negative at EUR 46.8 million, and a loss is also expected for the year as a whole.
The construction company Porr made heavy losses in the first three months of this year. The bottom line was a deficit of 46.8 million euros, as the company announced on Thursday. In the same period of the previous year, a profit of EUR 9.8 million was achieved.
The corona pandemic and “a re-evaluation of projects” have had a massive impact on business operations, as has management. explained. Porr employs just over 20,000 people.
Earnings before interest and taxes (EBIT) halved from 146 to 74.3 million euros. Before taxes, earnings (EBT) turned from plus 14.4 million euros in the same period of the previous year to minus 62.4 million euros. Production output fell by 7.4 percent to 3.8 billion euros, while sales revenue fell by 4.4 percent to 3.4 billion euros.
Incoming orders slumped by 6.9 percent to 4 billion euros, the adjusted order backlog was “still at a very high level” at 6.8 billion euros (minus 0.5 percent).
For 2020 as a whole, the group expects an annual loss of between 45 and 55 million euros. Even before the corona crisis in 2019, Porr's profit had halved compared to 2018 from 66.2 to 27.8 million euros. The production output was 5.6 billion euros, this year it is expected to reach “over 5 billion euros” and then again in 2021 between 5.3 and 5.5 billion euros.
A positive EBT margin of 1.3 to 1.5 percent is targeted for next year. The group relies on intensive cost management and aims to save 40 to 50 million euros on a sustainable basis from 2022.
