Third quarter 2016: Norconsult delivers solid results
01. December 2016
Norconsult delivered solid results in third quarter: – We have experienced a higher level of activity this quarter. Several new contracts have been signed, and we have also opened new offices in Norway and internationally, reports CEO Per Kristian Jacobsen.
Our turnover was NOK 831.8 million in the third quarter of 2016 (up 7.2 million on the same quarter in 2015), giving a gross revenue growth of 0.9 per cent. This is despite about two per cent fewer working hours in the Norwegian business. Operations income for the quarter was 81.7 million (77.6 million), and the operating margin was 9.8 per cent (9.4 per cent). So far this year turnover has reached 2998.4 million, which means an increase in turnover of 5.9 per cent so far this year.
- Norconsult is delivering solid results in a demanding market. We are proud that we are expanding and strengthening profitability in a market where hourly rates are under pressure and with strong competition both in Norway and internationally. In the third quarter we have experienced a higher level of activity with new offices opening and new contracts, says Jacobsen.
The third quarter is traditionally a challenging quarter because of the summer holidays downturn, but nonetheless the company's profitability improved.
More new offices opened
Norconsult is both Norway's largest and one of the leading multidisciplinary consultancies in Scandinavia. The company has about 3100 staff members distributed over 84 offices in Norway and abroad. Norconsult has recently opened offices in New Zealand. With subsidiaries in Malaysia and the Philippines, Norconsult's presence in South-East Asia and the Pacific now includes about 100 staff members. In Denmark, the company opened a new office in Viborg, and is strengthening its position in Jutland. In Sweden, Norconsult has opened an office in Halmstad, and in Norway in Voss.
Good orders received
Of our new assignments in the third quarter, we would draw particular attention to the detailed design for Nedre Otta Power Station for Eidsiva Vannkraft AS, project management and detailed design for Jotun AS, electrification of the Trønder and Meråker line for the National Rail Administration, and the development plan for Highway 41/451, Kjevikveien, for the Norwegian Public Roads Administration. Norconsult has also won framework agreements for consultancy services within transportation engineering, municipal engineering and environmental work with the municipalities of Lillehammer, Øyer, Gausdal, Ringebu, Sør-Fron and Nord-Fron.
More and more attractive among senior professionals
Norconsult has climbed five places from last year, and is now firmly in second place in this year's Universum Professional Survey, where professional engineers rank their dream employer. The survey was conducted among nearly 2500 engineers working within the sectors of technology and science. This ranking puts Norway's largest consultancy company at the forefront, with only Statoil ahead.
Solid basis for further growth
Norconsult's presence and market position in Norway and internationally, coupled with wide expertise and experience in a number of market areas, forms the basis for further growth.