Review of 2010 – USD version - Skanska

Group overview
2010 in brief
Strong earnings and record margin
In 2010 Skanska showed strong earnings
and cash flow. During 2010 the operating
margin in Construction reached a record
level of 3.9 (3.7) percent, thanks to successful
risk management and well-executed
projects.
Stable order bookings
Order bookings increased by 8 percent
compared to 2009, amounting to USD 18.2
(16.8) billion. Adjusted for currency rate
effects, order bookings rose by 6 percent.
Order backlog was equivalent to about 16
months of construction.
Strong financial position
At year-end 2010, Skanska’s interestbearing
net receivables totaled USD 1.5 (1.1)
billion. Operating cash flow before taxes,
financing operations and dividend amounted
to USD 0.9 (1.0) billion.
Increased dividend
The Board of Directors proposes a
dividend of SEK 12.00 (6.25) (corresponding
to USD 1.76 [0.87]) per share,
consisting of a regular dividend of
SEK 5.75 (5.25) (corresponding to
USD 0.85 [0.73]) per share plus a conditional
extra dividend of SEK 6.25 (1.00)
(corresponding to USD 0.92 [0.14]) per
share.
New Karolinska Solna −
a path-breaking project
It was a historic event when Skanska
was awarded the assignment to design,
finance, build and facility-manage the
New Karolinska Solna university and
research hospital. The project signifies
a breakthrough for the public-private
partnership (PPP) concept in Sweden.
Meanwhile it is Skanska’s largest-ever
construction contract. See also page 16.
Highway will yield billions in profit
Late in 2010, Skanska signed an agreement
to divest its concession in the
Autopista Central highway in Santiago,
Chile. The sale will be completed
during 2011 and is expected to
result in an after-tax gain of about
USD 0.73 billion (SEK 5 billion). The
Autopista Central opened to traffic in
2004.
World leader in Green Construction
Skanska was named the world’s leading
company in Green Construction
by Construction Digital, a British
web-based magazine that compiled
a ranking of the 50 leading Green
Construction companies in the world.
British-based Sunday Times named
Skanska the U.K.’s leading green major
corporation in all categories.
IV
Skanska Review of 2010 – USD version