Bravida Interim Report January–March 2014

| Source: Bravida Holding AB
  · Net sales were SEK 2,848 million (2,729)
  · The operating profit was SEK 145 million (148)
  · Cash flow from operating activities was SEK 272 million (254)

Bravida grew during the first quarter to SEK 2,848 million­, which is an
increase of 4.4 per cent. The operating margin amounted to 5.1 per cent (5.4).
Cash flow from operating activities increased by 7.1 per cent to SEK 272
million. The order backlog has continued to improve and was SEK 5,879 million

Bravida’s operating profit for the first quarter of 2014 was SEK 145 million,
compared with SEK 148 million for the same quarter last year. It is pleasing to
see that Division Norway has achieved a considerable improvement in both sales
and operating profit.   The operating margin for the quarter was 5.1 per cent
(5.4), while sales increased by over 4 per cent to SEK 2,848 million (2,729).

We are seeing significant improvement in Division Norway, where profitability
has been improved and has stabilised over the last three quarters. The positive
trend in Division Denmark is continuing, thanks to growth of 19 per cent, while
at the same time the order backlog remains strong. In Sweden, Division North
continues to enjoy positive development in sales, albeit the result did not
reach the same high level as last year. Sales and profit in Division Stockholm
were lower compared with the same period last year, while Division South has
remained more stable in terms of both sales and profitability.

It is pleasing to see that operating cash flow has remained good during the
first quarter of 2014.

The order intake during the first quarter of 2014 was 6 per cent lower compared
with the same period last year. This fall can be attributed to Division
Stockholm, which has seen its order intake worsen over the past year as a result
of price pressure in small and medium-sized installations and service contracts.
The order backlog at the end of the period nevertheless remained high and
amounted to SEK 5,879 million (4,914), thanks largely to Division Denmark, where
we have seen greater interest in infrastructure investments and increased demand
from the public sector. The Group received major orders during the first
quarter, primarily in infrastructure, education, healthcare and housing. Public
-sector investments still account for a large share of growth in the market
while activity in industry, residential construction and new commercial builds
is generally stable, but is falling in some geographical areas.

As Bravida operates in a highly competitive market, active work and strict
guidelines are necessary for the selection of tenders. Bravida also works
consistently to increase the share of revenues generated in our higher-margin
service business while keeping a close eye on costs. In 2013, we began working
on a Group-wide change project designed to improve and streamline our working
methods and production. The project involves all departments and will continue
in 2014. The project has already achieved positive results, mainly in service

After the quarter end, Bravida acquired Norwegian Otera Electro and thereby
strengthen our position as one of the leading suppliers in installation and
service in the Norwegian market. Acquisitions are an important part of Bravidas
growth strategy.

Our assessment is that the economy as a whole has stabilised and that the market
will improve gradually in 2014, but with significant regional variations.
Bravida expects to see positive growth during the second half of 2014 and our
aim is to continue to deliver profitability in the top tier of our industry,
while at the same time achieving growth, both organically and through further

Staffan Påhlsson

CEO and Group President


Bravida Holding AB publishes this interim report in compliance with the Swedish
Securities Market Act and/or the Swedish Financial Instruments Trading Act. This
information was submitted for publication at 10.00 a.m. on 8 May 2014.
Contact information:

Any questions will be answered by Staffan Påhlsson, CEO, or Peter Hedlin,
Interim CFO. Tel +46 8 695 20 00.
Bravida is Scandinavia’s premier integrated supplier of technical installation
and service solutions, with nearly 8,000 employees. Bravida offers specialist
expertise and integrated solutions in electrical installations, heating &
plumbing and HVAC and operates at all stages of the installation – from advice
and project planning to installation and service. Bravida has offices at 150
locations in Sweden, Norway and Denmark.