Order book value increased to DKK 6.4 billion in first quarter 2013.Accounts for the first quarter continued to be affected by the winding-up of old projects.
First quarter (Q1 2013) revenue for the MT Højgaard Group was DKK 1.5 billion. As expected, the group posted a loss of DKK 69 million primarily as a result of sluggish activity in the market and poor profitability on old projects.
Efficiency improvements and risk management remain in focus. A range of initiatives have been planned for implementation and profitability is expected to gradually improve as the order book fills with healthy projects.
For 2013 as a whole, the management still anticipates a revenue of approx. DKK 7 billion and a modest profit before tax. The full effect of the implemented initiatives is expected to be seen next year.
Good inflow of new projects
New orders gained in Q1 2013 amounted to DKK 1.8 billion, an increase on the same period last year of around DKK 400 million. The order book value at the end of Q1 2013 was DKK 6.4 billion, compared with DKK 6.1 billion at the end of Q4 2012.
- We have become significantly more careful with project reviews and price calculations in each of the new projects we take on. The market is still weak, but we are seeing a decent inflow of orders. My impression is that we are competitive, and that the trust MT Højgaard has built up with customers over decades is still intact. At the same time, we can see that the overall profitability of projects is satisfactory, says MT Højgaard CEO Torben Biilmann, who joined the Group six months ago.