Norconsult first quarter 2022 results
Despite challenging times in Europe, Norconsult reports revenue growth and improved profitability for the first quarter 2022. The group delivered net revenues of NOK 1 929 million, an increase from NOK 1 708 million in the first quarter last year. This corresponds to a NOK 221 million increase in revenues and an organic growth of 10.6 percent adjusted for acquisitions in the Group. EBITA ended at a solid NOK 221 million, up 26.3 % from NOK 175 million in the first quarter last year.
– Even though the uncertainty in Europe increases, we experienced a high level of activity during the first quarter. The growth is solid in all the Nordic countries. The business area Technogarden has also shown very positive development during the quarter. The first quarter also marked the beginning of the strategy period 2022 to 2024 where sustainability, innovation and digitalisation are priority areas to create customer value, growth and development. During the first quarter, we have executed initiatives like Sustainability week 2022, The Edge innovation conference, establishment of our own unit for digital transformation and the Norwegian initiative Byggfloken, says CEO Egil Hogna in Norconsult.
Battle for talent
Today, Norconsult has approximately 5 200 employees. Further growth is expected both through recruitment and acquisitions, mainly in Norway, Sweden and Denmark. Local presence in combination with strong interdisciplinary collaboration is central within the strategy period.
In the first quarter, Kristin Jarmund Arkitekter became a part of Nordic – Office of Architecture, while Jord & Miljø and Jord & Teknik became a part of Norconsult Denmark. In addition, the group has completed a number of major recruitment campaigns during the first quarter, and in April «Rådgiverne», Norconsult`s own reality series from 2021, won the first prize for «Best digital campaign» during the Europower Communications Conference. Season two is now being planned, and the group hopes the series contributes to attracting more of the most talented people in the industry.
New contracts during the first quarter
Every year Norconsult is engaged in more than 20,000 ongoing projects. During the first quarter of 2022 the company signed a framework agreement in the Örebro region in Sweden regarding rebuilds, extensions and new community care buildings. In addition, Norconsult has started to design a spectacular pedestrian and bicycle bridge measuring almost 290 meters in Karlstad, Sweden. In Denmark, Norconsult won a contract for architectural and technical consultancy for renovation of 541 homes for Sundby-Hvorup Boligselskab.
In Norway Norconsult won the detail engineering of the new Blåfalli Fjellhaugen hydropower plant for Sunnhordaland Kraftlag. In Bergen, Norconsult Informasjonssystemer won a BIM-coordination/digital collaboration contract with Bybanen Utbygging. In Bodø, Norconsult has signed a contract with Glimtech in order to realise a new stadium for the Norwegian reigning football champions Bodø/Glimt. The project shall achieve Breeam Communities Outstanding.
Norconsult and Nordic – Office of Architecture each won their own sub- section in a paid architectural competition within total five subsections (three winners in each area) in competition with 120 applications. Grønlikaia is the last large urban development area in Bjørvika, owned by Hav Eiendom (Port of Oslo). Nordic, together with Rodeo Architects, also won the contract to regulate the new NRK site at Ensjø in Oslo.
There was a high level of activity in Technogarden during the first quarter and the company has extended a large frame agreement with Aker Solutions.
The prospects in Europe are more uncertain than we have seen in a long time, which will also affect the construction industry in the Nordics in the years to come. Norconsult is monitoring the situation closely to make necessary adjustments to the extent relevant going forward. Together with other players in the industry, Norconsult engaged the Norwegian design & engineering industry to support the International Red Cross humanitarian work in Ukraine in the first quarter. Norconsult contributed with NOK 2 million.