Skanska Q2 orders below estimates

Source: Construction Digital

Date :25/07/2008 09:10:06

Swedish construction giant yesterday, July 24, saw its profits for the second quarter rise by five percent despite a sharp drop in its order book.

The company’s net profits in the period from April to June reached 1.1 billion kronor (US$183 million), up slightly from around 1 billion kronor the previous year.

However, orders for the group’s main division, construction, slumped to 34.2 billion kronor (US$5.7 billion), from 39.6 billion kronor for the year before.

Skanska also said that after a review of its UK division’s PPP projects, Mats Williamson has been appointed new president of Skanska UK.

Williamson succeeds David Fison, who has been with the company for 10 years.

“The results in these projects are clearly unsatisfactory. We will therefore change our processes and procedures within Skanska UK and change our way of working in these types of projects,” said Johan Karlström, Skanska’s president and CEO.

“I’m convinced that Mats Williamson with his deep experience, his proven performance track record and strong leadership is the right person to lead the development of Skanska UK.”