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DOVRE GROUP'S FINANCIAL STATEMENT RELEASE 1.1.-31.12.2024:
The information presented in the report has not been audited.
Dovre Group Plc Financial Statement Release March 17, 2025, at 12:15 pm
Dovre Group Plc sold its entire Project Personnel business (PP) and Norwegian Consulting business to the Swedish NYAB AB on January 2, 2025. The deal was agreed conditionally on the authorization of the Dovre general meeting on November 20, 2024. The company's extraordinary general meeting decided on December 16, 2024, in accordance with the board's proposal, to approve the execution of the transaction, which took place on January 2, 2025.
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In this review, Dovre presents the sold operations as operations classified for sale and discontinued in accordance with the IFRS 5 standard. Previous profit and loss statements have been adjusted accordingly. Previous balance sheets have not been adjusted, so they are not comparable with the consolidated balance sheet of December 31, 2024.
Of the previously reported operations, the Project Personnel business has been classified as a discontinued operation in its entirety as a result of the above-mentioned transaction. Therefore, the segment is no longer reported at all. The Group's Consulting business continues in Finland, but the segment is significantly smaller.
The profit accruing to the Group from the sale of businesses will be presented in the figures for the 2025 financial year on one line after the result of the continued businesses. Based on the preliminary purchase price (EUR 35.3 million as announced on January 2, 2025), the estimate of the profit accruing in the consolidated profit and loss statement, less the transaction costs, is approximately EUR 5.0 million. However, we would like to emphasize that the determination of the final purchase price is in progress at the time of signing these financial statements.
October-December 2024
- Net sales grew by 49.0 % to EUR 27.0 (18.1) million. The growth was driven by Renewable Energy segment.
- Renewable Energy: net sales totaled EUR 26.5 (17.6) million - increase of 50.9 %.
- Consulting: net sales totaled EUR 0.5 (0.5) million - decrease of 11.7%.
- EBITDA was EUR -17.9 (0.3) million.
- Operating profit was EUR -18.3 (0.2) million.
- Profit before tax was EUR -18.6 (-0.2) million.
- Earnings for the shareholders of the parent company EUR -8.2 (1.0) million.
- Earnings per share were EUR -0.077 (0.009).
- Net cash flow from operating activities totaled EUR -2.0 (-0.1) million.
January-December 2024
- Net sales grew by 35.2 % to EUR 99.3 (73.5) million.
- Renewable Energy: net sales totaled EUR 97.4 (71.4) million - increase of 36.5%
- Consulting: net sales totaled EUR 1.9 (2.1) million - decrease of 8.2%
- EBITDA was EUR -21.1 (1.3) million.
- Operating profit was EUR -21.8 (1.1) million.
- Profit before tax was EUR -22.8 (0.2) million including EUR -1.0 (-0.9) million of finance items.
- Earnings for the shareholders of the parent company were EUR -8.3 (4.1) million.
- Earnings per share totaled EUR -0.078 (0.038).
- Net cash flow from operating activities was EUR -4.4 (0.1) million.
- The Board of directors proposes that no dividend is be paid for the financial year 2024 based on the annual general meeting on April 29th, 2025. However, the Board of Directors considers the possibility to arrange an EGM in the autumn 2025 for dividend payment decision once the company's situation has clarified.
Last year's corresponding period is shown in parentheses.
OUTLOOK FOR 2025
Dovre Group will release its outlook at the latest along with the trading statement for Q1 on April 29th, 2024. This is due to Suvic's sales cycle, which is incomplete and does not provide sufficient information for a reliable 2025 estimate as of today. In the future, the company may also present its outlook in whole or in part as a verbal description instead of numerical guidance.
ACTING CEO SANNA OUTA-OLLILA:
Year 2024 was a year of change for Dovre Group. The decision to sell the global Project Personnel business and the Norwegian consulting entity to NYAB AB was not only an event of exceptional scale but also a leap forward on the chosen strategy of the group. The transaction bolts Dovre strategically even tighter into renewable energy, particularly as a growth creator of its Nordic production. After the transaction completed in early January 2025, the core of Dovre Group consists of renewable energy construction company Suvic and project developer Renetec. Proha continues to develop its sophisticated project management solution, enabling its customers to succeed in cost control of complex project portfolios. eSite, provider of industrial virtual reality solutions, also stays part of Dovre Group going forward.
Our Renewable Energy segment demonstrated an exceptional growth in Net Sales (+ 37%), but experienced severe challenges in some of its deliveries. Challenges faced in three of their projects accumulated heavy operating losses for Suvic. A solar power plant construction project, started in 2023 in Finland, exceeded its cost budget considerably. Consequently, Dovre reported an additional 5.8-million-euro loss along with its guidance release in April 2024. Additionally, two wind farm projects started during the reporting period in Sweden resulted in a total estimated loss of 18.7 million euros for Suvic's Swedish subsidiary. The loss was booked entirely for the reporting year, even though the works continue into early spring of 2025. The main reasons driving the cost overrun in Sweden were delayed access to the site, challenges related to subcontracting and the impact of winter because of the delayed works.
The significant challenges encountered, particularly in new types of projects, have prompted a re-evaluation and enhancement of management practices, project calculation, risk management, and project organization. Also, the executive management team of Suvic will be restructured to support strategic decision making and to ensure that essential project skills are better channeled into the operations. While we acknowledge the opportunities presented by growth driven by the green energy transition, we now approach the inherent risks of this business model with heightened scrutiny and control.
Founded in 2023, Renetec has continued to develop its well-curated portfolio of solar power plant projects. During the reporting period, the company successfully initiated the permitting process for several projects, which are expected to reach construction readiness during 2025.
For 2024, we are releasing our first full-scale corporate sustainability report, which details the group's policies, practices, and the impact of our business on nature and the communities in which we operate. Accountability and sustainability are integral to our daily operations, supporting both responsible and profitable business. For example, Suvic's innovative wind turbine foundation structure significantly reduces energy and material use, resulting in lower greenhouse gas emissions compared to traditional designs. Similarly, eSite's industrial virtualization solution enables applications like the design and planning of production facility renovations without the need for on-site travel, further minimizing environmental impact.
As Dovre moves into 2025, it remains committed to its role as a leading builder of renewable energy. Large-scale projects are at the core of our operations, and we will continue to focus on their successful and profitable execution with a steady and pragmatic approach and further strengthening the company's core abilities.
GROUP'S KEY FIGURES
| EUR million | 10-12 2024 | Adjusted 10-12 2023 | Change % | 1-12 2024 | Adjusted
1-12 2023 | Change % |
| Net sales | 27.0 | 18.1 | 49.0 | 99.3 | 73.5 | 35.2 |
| EBITDA | -17.9 | 0.3 | -7 187,3 | -21.1 | 1.3 | - 1 724.5 |
| % of net sales | -66.5 | 1.4 | -21.3 | 1.8 | ||
| Operating profit | -18.3 | 0.2 | -9 369.2 | -21.8 | 1.1 | -2 051.4 |
| % of net sales | -67.7 | 1.1 | -22.0 | 1.5 | ||
| Profit before taxes | -18.6 | -0.2 | -8 336.7 | -22.8 | 0.2 | -10 450.8 |
| % of net sales | -68.8 | -1.2 | -22.9 | 0.3 | ||
| Earnings for the shareholders of the parent company | -8.2 | 1.0 | -916.7 | -8.3 | 4.1 | -303.5 |
| % of the net sales | -30.3 | 5.5 | -8.3 | 5.5 | ||
| Net cash flow from operating activities | -2.0 | -0.1 | -1 900.0 | -4.4 | 0.1 | -4 500.0 |
| Net debt | 8.1 | 1.2 | 574.0 | 8.1 | 1.2 | 574.0 |
| Debt-equity ratio % (Gearing) | 48.6 | 3.1 | 1 467.7 | 48.6 | 3.1 | 1 467.7 |
| Earnings per share, EUR | ||||||
| Undiluted | -0.077 | 0.009 | -916.7 | -0.078 | 0.038 | -303.5 |
| Diluted | -0.077 | 0.009 | -916.7 | -0.078 | 0.038 | -303.5 |
BOARD OF DIRECTORS' PROPOSAL FOR DISTRIBUTION OF A DIVIDEND
On December 31, 2024, the parent company's distributable funds were EUR 16 951 447,40.
The Board of Directors proposes that no dividend is paid for the financial year 2024 based on the annual general meeting on April 29th, 2025. However, the Board of Directors considers the possibility to arrange an EGM in the autumn 2025 for dividend payment decision once the company's situation has clarified.
FINANCIAL REPORTING IN 2025
Dovre Group releases its financial reports in 2025 as follows:
- Trading statement January-March 2025 on Tuesday, April 29th, 2025
- Half-year financial report January-June 2025 on Wednesday, August 20th, 2025
- Trading statement January-September 2025 on Wednesday, October 29th, 2025
Dovre Group's Financial Statements 2024 and Annual Report 2024 will be published online at the latest during the week beginning March 31st, 2025. The Annual Report will include the company's financial statements, the report of the Board of Directors, the corporate governance statement, and the remuneration report.
The company's Annual General Meeting is planned to be held on Tuesday, April 29, 2025. Dovre Group's Board of Directors will summon the meeting later.
Espoo, March 17, 2025
DOVRE GROUP PLC
BOARD OF DIRECTORS
For additional information, please contact:
Sanna Outa-Ollila
Acting CEO
tel. +358 20 436 2000
Hans Sten
CFO
tel. +358 20 436 2000
Distribution
Nasdaq Helsinki Ltd
Major media
www.dovregroup.com
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