Peab’s Half-year report January-June 2015

Regulatory News:

Peab’s (STO:PEABB) market conditions continue to be good which is reflected in an increase in orders received during the first half-year. In terms of results we see stability with a certain improvement in operations. In addition, the effects of less capital tied-up are exhibited in our improved net financial items.

· Operative net sales SEK 20,452 million (20,885)

· Operative operating profit SEK 678 million (657)

· Operative operating margin 3.3 percent (3.1)

· Pre-tax profit SEK 586 million (493)

· Earnings per share SEK 1.64 (1.32)

· Orders received SEK 18,973 million (16,668)

· Order backlog SEK 27,162 million (27,499)

· Cash flow before financing SEK 237 million (802)

· Net debt SEK 4,315 million (5,736)

· Equity/assets ratio 27.5 percent (23.8)

· A strong Swedish economy, the population growth and low interest rates are all circumstances that signal good opportunities for Peab in the coming years. There are, however, a number of challenges to deal with in a strong business cycle. A shortage of resources primarily in the big city regions, higher costs for subcontractors as well as hiked up land prices affect our profitability, says Peab’s CEO and President Jesper Göransson.

Peab AB discloses the information provides herein pursuant to the Securities Markets Act and/or the Financial Instrument Trading Act. The information was submitted for publicationon 21 August 2015 at 8.00 a.m.

Peab is the Nordic Community Builder with some 13,000 employees and net sales exceeding SEK 43 billion. The Group’s subsidiaries have strategically located offices in Sweden, Norway and Finland. The share is listed on NASDAQ Stockholm. The registered office of the Group is at Förslöv, Skåne in south of Sweden.

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