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Strong results as Kvaerner Construction moves to Skanska

Press release 08/11/2000 00:00 CET

The last results of Kvaerner Construction before changing to Skanska Construction continued to show robust consistency with turnover for the third quarter at £317 million and profit before tax and goodwill at £7.7 million. These take turnover for the nine months to date to £958 million and profit before tax and goodwill to £26.1 million.

Profit before tax and goodwill for the first nine months of the year increased by 48 per cent to £26.1 million from £17.6 million for the equivalent period in 1999 with turnover remaining almost identical at £958 million. Profit before tax margins at 2.7 per cent have increased from last year’s nine-month figure of 1.5 per cent. Operating profit for nine months has also grown by 80 per cent to £18.2 million (9 months 1999: £10.1m).

Commenting chief executive, Keith Clarke, said: “The results for the first three quarters of this year have continued to show the benefits of our policy of improving processes, holding overheads and not being tempted to chase turnover. This improvement has been worldwide with our international contracts, Gammon in Hong Kong and our Indian operations all producing improved results, matching those in the UK.”

On Thursday 2nd November, the group officially became part of Skanska. Mr Clarke said: “We have prospered and matured under the guidance of Kvaerner and are now ready for the next stage of our development as part of Skanska. We are indeed fortunate to be given this opportunity and look forward with relish to our future. The team remains the same to continue to give excellent service to our clients and new shareholders.”


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