DOVRE GROUP’S FINANCIAL STATEMENT RELEASE 1.1.–31.12.2021:
A SHIFT TOWARDS GREEN ENERGY

Dovre Group Plc                 Financial Statement Release        February 24, 2022, at 09.15 a.m.

Last year’s corresponding period is shown in parentheses. 

October–December 2021

• Net sales grew by 137.8% to EUR 42.3 (17.8) million. The growth was driven especially by the acquisition of a majority shareholding in the Finnish windmill park construction and construction design company Suvic Oy in March. Suvic’s operations are presented under the new Renewable Energy segment.
  • Project Personnel: net sales totaled EUR 22.8 (14.0) million – increase of 62.3%.
  • Consulting: net sales totaled EUR 4.2 (3.8) million – increase of 11.4%.
  • Renewable Energy: net sales totaled EUR 15.4 (-) million.
• EBITDA improved to EUR 2.0 (0.8) million – increase of 153.3%.
• Operating result improved to EUR 1.8 (0.6) million – increase of 199.6%.
• Profit before tax was EUR 1.7 (0.5) million – increase of 202.5%.
• Earnings for the shareholders of the parent company EUR 1.1 (0.2) million – increase of 625.9%.
• Earnings per share was EUR 0.011 (0.005).
• Net cash flow from operating activities totaled EUR 1.2 (2.2) million.

January–December 2021

• Net sales grew by 84.2% to EUR 142.7 (77.5) million mainly as a result of the Renewable Energy business established in connection with the Suvic acquisition.
  • Project Personnel: net sales totaled EUR 76.2 (62.9) million – increase of 21.1%.
  • Consulting: net sales totaled EUR 16.1 (14.5) million – increase of 11.0%.
  • Renewable Energy: net sales totaled EUR 50.4 million (1 April - 31 December 2021).
• EBITDA increased to EUR 6.9 (3.2) million – increase of 117.0%.
• Operating result improved to EUR 6.1 (2.4) million – increase of 158.1%.
• Profit before tax was EUR 5.6 (2.2) million including EUR -0.5 (-0.2) million of finance items.
• Earnings for the shareholders of the parent company EUR 3.7 (1.6) million – increase of 123.2%.
• Earnings per share totaled EUR 0.035 (0.016).
• Net cash flow from operating activities was EUR 2.3 (4.2) million.
• Board of Directors proposes to the Annual General Meeting (AGM) to be held on March 30, 2022, that no dividend is paid for 2021 to enable further growth in the Renewable Energy segment.
  
  

OUTLOOK FOR 2022

Dovre Group’s net sales in 2022 is expected to be more than EUR 165 million (2021: EUR 142.7 million). The operating profit (EBIT) is expected to be better than last year (2021: EUR 6.1 million).

CEO ARVE JENSEN:

Dovre Group's business continued to grow strongly in Q4 2021. Our net sales increased by 137.8% to EUR 42.3 million and the operating profit margin rose to 4.2 (3.3) %. The Q4 growth was mainly driven by the favourable development of the new Renewable Energy business, but also by the 62.3% growth in Project Personnel business and the 11.4% increase in the Consulting business year-on-year.

The most significant events in 2021 were the further diversification of our business into renewable energy with the acquisition of Suvic and the strengthening of our Project Personnel and Consulting business in Finland with the acquisition of the eSite business, which focuses on virtual reality in industry.

The Suvic acquisition was completed on the last day of March, and the net sales of our new Renewable Energy segment in April–December were EUR 50.4 million, corresponding to 35% of Dovre's full-year net sales. In April – December the Renewable Energy accounted for 41.0 percent of the Group’s net sales. During the year, Suvic announced seven new wind farm projects, five of which were launched in 2021 and two that will be launched in 2022. In February 2022, Suvic announced the signing of three more wind farm projects. In less than a year, Renewable Energy has become a significant part of Dovre's business, and we will continue to invest in capitalizing on the growth opportunities of the Suvic renewable energy business acquisition.

The year 2021 was also characterized by strong growth in the Project Personnel and Consulting business units. We won several new framework agreements and individual agreements in both business units, and the combined revenue of the segments increased by 19.2% in 2021. In the Project Personnel business, the largest growth came from Singapore and Norway. The number of employees in our Singapore unit rose to a record level in Q3, despite the fact that we still had to adjust to some of the effects of COVID-19 in Singapore. The growth of the unit was particularly affected by a non-recurring project that ended at the end of 2021. In Norway, demand was boosted by increased energy demand, the high oil price and the COVID-19 tax regulations, which together impacted favourably early phase project activities.

The positive development in the Norwegian consulting business continued throughout the year. The most significant event in the Finnish Consulting business was the acquisition of the eSite business from Fortum. eSite specializes in plant imaging and 3D modelling, and we see significant potential in expanding and strengthening our current service offering. We expect the benefits of the business acquisition to be reflected in our business from 2022 onwards.

Dovre Group's net sales in 2021 increased by 84.2% to EUR 142.7 million and the operating profit margin improved to 4.3 (3.0) %. With the growth of our business, our number of employees also increased and was 865 (610) at the end of the year.

In 2022, in line with our strategy, we will focus on profitable growth. We plan to further expand our services in the energy sector. In addition, our goal is to increase the share of Consulting in our business and to continue to diversify our offering in this business area to new clients and industries, such as transportation, construction, ICT, defence, and healthcare.

In addition, in 2022, we will continue to focus on keeping and developing our personnel and ensuring that we continue to have access to the best consultants for our clients' projects. We expect the competitive environment to remain tight, and we will closely monitor oil price developments and other market movements.

GROUP’S KEY FIGURES

        
BOARD OF DIRECTORS’ PROPOSAL FOR DISTRIBUTION OF A DIVIDEND

On December 31, 2021, the parent company’s distributable funds were EUR 21,428,945.17.

Board of Directors proposes to the Annual General Meeting (AGM) to be held on March 30, 2022, that no dividend is paid for 2021 to enable further growth in the Renewable Energy segment.

FINANCIAL REPORTING IN 2022

Dovre Group releases its financial reports in 2022 as follows:

• Q1 trading statement for January 1 – March 31, 2022, on Thursday, April 28, 2022
• Half-year financial report for January 1 – June 30, 2022, on Thursday, August 18, 2022
• Q3 trading statement for January 1 – September 30, 2022, on Wednesday, October 26, 2022
  
  
  

The company’s Annual General Meeting is planned to be held on Wednesday, March 30, 2022. Dovre Group’s Board of Directors will summon the meeting at a later date.

The Annual Report 2021, which includes the company’s financial statements, the report of the Board of Directors, the corporate governance statement, and the remuneration report, will be published online during week 11.

This stock exchange release is a summary of Dovre Group Plc’s Financial Statements Release for January 1 – December 31, 2021. The full bulletin is attached to this release and is also available online at www.dovregroup.com-> Investors

Espoo, February 24, 2022

DOVRE GROUP PLC
BOARD OF DIRECTORS

For additional information, please contact: 

Arve Jensen
CEO
arve.jensen@dovregroup.com
tel. +47 90 60 78 11

Sirpa Haavisto
CFO
sirpa.haavisto@dovregroup.com
tel. +358 20 436 2000

DISTRIBUTION:
Nasdaq Helsinki Ltd 
Major media 
www.dovregroup.com

Dovre Group is a global provider of project management services. Dovre Group has three business areas: Project Personnel, Consulting and Renewable energy. Dovre Group has offices in Canada, Finland, Norway, Singapore and the US, and employs about 900 people worldwide. Dovre Group is listed on Nasdaq Helsinki (symbol: DOV1V). Website: www.dovregroup.com

Attachment

• Dovre Financial Statament Release 2021_ENG