31.08.2018
COWI delivers solid results for the first half of 2018: Earnings are up by more than 60 per cent and the order book is fuller than ever before. Urbanisation remains the key driver, and the consulting company has landed several prestigious projects in Scandinavia and internationally. COWI expects to see continued growth despite global political unrest.
With a turnover of DKK 3,240 million, COWI has gone up by six per cent compared to the same period last year. In addition, COWI has increased its bottom line significantly: Operating profit before depreciations (EBITDA) amounts to DKK 260 million, corresponding to an EBITDA margin of eight per cent, whereas the operating profit (EBIT) is up by 62 per cent to DKK 162 million, which corresponds to an EBIT margin of five per cent.
Lars-Peter Søbye, CEO of COWI, is pleased with the positive trend:
"We've delivered an excellent result. We've made it a priority to increase our bottom line in parallel to our turnover, and we succeeded in the first half of 2018 – thanks to the initiatives that we launched in 2017 to improve operations. In terms of cash flow, we're not quite there yet, which is mainly due to a couple of major international projects, but we have a sound basis for meeting our expectations for the year."
The main reason for this optimistic mindset is the continuous, vast increase in projects. For instance, COWI just won 21 out of 43 sub-contracts on the expansion of the largest airport on Iceland, Keflavík. And, in cooperation with Aarsleff, COWI developed the preliminary conceptual phases for the manmade island Kronløbsøen in Nordhavnen, Copenhagen. Across the globe, in Changua, Taiwan, COWI landed the detail design of the foundation for a new offshore wind farm.
"Our order book is up by ten per cent compared to the same period last year. The Scandinavian and the international markets are still strong – mainly because of urbanisation. That proves that our strategy is pointing us in the right direction. At the same time, it's evident that we're a highly competitive player because we constantly get better at applying our resources and competencies across disciplines and national borders," says Søbye and adds:
"Our financial position is also very favourable, having no debt and in excess of a billion kroner at our disposal."
Being an international company operating across the world, COWI constantly monitors markets and political trends. Despite the current global political and economic unrest, Søbye expects that COWI's business will continue to develop positively:
"Our operations have become even sturdier, and 80 per cent of our activities are anchored in Scandinavia, which is a highly stable market. But we're also seeing vast possibilities in other parts of the world and we have big ambitions for our international activities. For instance, we've just inaugurated our new office in Singapore, which will be the platform for further developing the entire favourable Southeast Asian market," he says, concluding:
"We consider the global political situation highly unpredictable, but our business is geared to handle that."
Denmark:
Sweden:
Norway:
Internationally:
Søren Kragh Pedersen
Head of Group PA & PR
Communication, Denmark
Tel:
+45 2025 7018
skpn@cowi.com