Dive Transient:
- Sweden-based contractor Skanska recorded $118.4 million (1.3 billion Swedish Krona) in revenue for the third quarter, down from $186 million* in the second quarter, and up over $2 million 12 months over 12 months, a change of lower than 1%.
- The contractor reported $3.5 billion in Q3 income Wednesday — up 15% from Q2 — and $15.2 billion for the final 12 months. Skanska reported about 28 cents in earnings per share.
- Within the earnings report, CEO Anders Danielsson acknowledged financial uncertainties and their influence on Skanska’s efficiency. Danielsson mentioned market exercise within the residential sector has slowed and impacted income. In the meantime, industrial property growth has had a robust first 9 months of the 12 months, he mentioned.
Dive Perception:
Skanska reported an estimated $20.7 billion in backlog for the quarter, the very best within the final 4 years. Moreover, Skanska’s $2.2 billion value of order bookings within the U.S. was greater than double that quantity from Q3 2021. It accounted for greater than half of the corporate’s Q3 general bookings and equates to 19 months of labor.
In August, the Virginia Port Authority tapped Skanska for a $223 million, 72-acre offshore wind challenge in Portsmouth, Virginia, the most important of its sort within the U.S. That very same month, a Skanska/Traylor Bros. three way partnership broke floor on the $1.56 billion Portal North Bridge alternative challenge in New Jersey.
In the course of the earnings name, Danielsson mentioned the industrial building outlook stays robust in Europe and the U.S., and is essentially buoyed by continued infrastructure funding.
Of extra concern to the builder’s backside line is residential growth — which is seeing low exercise, and the industrial growth market — which hasn’t seen leasing absolutely get well but, Danielsson mentioned.
“The strategic path stays for the corporate,” Danielsson mentioned. “We’re going to maintain the self-discipline, proceed to enhance the profitability in building, and develop some a part of the worthwhile enterprise in a accountable approach.”
*Primarily based on foreign money conversion charges on the time of earnings launch.