AF Gruppen with record-high activity level and result in the first quarter

Revenues for the first quarter were NOK 7,978 million (7,129 million). Earnings before tax (EBT) were NOK 318 million (214 million) in the first quarter. This gave a profit margin of 4.0 percent (3.0 percent). AF Gruppen had an order backlog of NOK 44,486 million (44,232 million) at the end of the quarter.

-  AF Gruppen has a record-high activity level, with revenues up 12 percent compared to the first quarter in 2025. We deliver strong profitability improvement, maintain a solid order backlog and financial position in the quarter. There is good operation in the project portfolio, and we will continue to build the best teams - characterised by performance, professional pride and job satisfaction, says Amund Tøftum, CEO of AF Gruppen.

AF Gruppen has a solid financial position. Cash flow from operating activities was NOK 347 million (330 million) in the first quarter 2026. AF Gruppen had, as of 31 March 2026, net interest-bearing receivables of NOK 1,898 million (290 million). Earnings per share (NOK) for the quarter were NOK 1.84 (1.27).

AF applies the same strict safety requirements to all partners and suppliers as to its own employees. Everyone must return safely from our projects, and figures from subcontractors are included in the injury statistics. The LTI-1 rate for the first quarter was 0.8 (0.9). The company works systematically and purposefully to avoid work-related absence, and the sick leave rate for the first quarter was 4.7 percent (4.8 percent).

- To increase competitiveness, we will continue to strengthen ourselves within project management and professional expertise, both in the core business and through structural growth. Energy and Environment is one of several business areas delivering profitable growth, and we are continuously expanding our service offering. The need for energy is increasing and AF Gruppen is well positioned to contribute to the expansion and renewal of the Norwegian power system in the years to come, says Tøftum.

Selected key points from the quarter:

• Civil engineering had high activity in the first quarter with revenues up 15 percent compared to the same quarter last year. AF Anlegg had high activity and delivered a good result in the quarter. AF Anlegg has a solid project portfolio with several large projects in production. The projects generally maintain high activity and good operations. Målselv Maskin & Transport and Stenseth & RS both had revenues growth and very good results in the first quarter. Eiqon and VSP had weak results in the quarter. During the quarter, AF Anläggning AB brought legal proceedings against Trafikverket and advanced claims for compensation for losses incurred, as well as payment for work performed in connection with the wrongful termination of the E4 Förbifart Stockholm contract.
• Construction increased revenues by 7 percent compared to the first quarter in 2025. AF Byggfornyelse and Strøm Gundersen delivered very good results in the first quarter. AF Bygg Oslo, AF Bygg Østfold, LAB, HTB and ÅBF delivered good results, while Haga & Berg and Strøm Gundersen Vestfold delivered somewhat below expectation. AF Håndverk and FAS had weak results in the first quarter. During the first quarter, ÅBF completed the purchase of 70 percent of shares in ByggMesteren Vest, one of Bergen’s leading actor in carpentry.
• Betonmast had revenues in line with the first quarter last year. The units Betonmast Buskerud-Vestfold, Trøndelag, Røsand, Innlandet, Asker og Bærum and Østfold delivered good results for the quarter. Betonmast Oslo delivered somewhat below expectation, while Betonmast Romerike delivered weak results.
• Property delivered a weak result in the first quarter. Sales contracts of 40 (25) homes were signed in the quarter, of which AF’s share is 19 (11). The Nyhaugen project at Wergeland in Bergen had sales launch in the quarter. 6 homes were handed over in the first quarter, 3 at Skårersletta MIDT and 3 at Rolvsrud Arena. There were a total of 115 (99) completed unsold units at the end of the quarter, of which AF’s share was 44 (42). The residential project Fagerblom at Fagerborg in Oslo was under production at quarter-end. The project has 82 units, of which AF’s share is 41. Sales contracts have been signed for 52 out of 82 units, giving a sales rate for projects in production of 63 percent.
• Energy and Environment had revenues growth of 52 percent from the same quarter last year. The increase is mainly due to the acquisitions of AF Elkraft and Brødrene Myhre. AF Elkraft delivered very good results in the first quarter. AF Decom had increased activity compared to the same quarter last year and delivered a result somewhat below expectation in the first quarter. AF Energi had lower activity compared to the same quarter last year and delivered a result somewhat below expectation in the quarter.
• AF’s Swedish operations within civil engineering, construction, property and demolition are gathered in the business area Sweden. Sweden has revenues growth of 19 percent compared to the same quarter last year. From this quarter, Kanonaden Entreprenad and Kanonaden Mälardalen are operationally organised as two business units. Kanonaden Mälardalen and AF Härnösand Byggreturer delivered very good results in the first quarter. HMB delivered somewhat below expectation, while Kanonaden Entreprenad,
  AF Bygg Syd, AF Bygg Öst and AF Bygg Väst had weak results in the quarter. AF Projektutveckling, AF’s property division in Sweden, had no property projects under production in the first quarter. AF Bygg Syd AB entered into an agreement during the quarter to purchase 70 percent of shares in H.A. Bygg Entreprenad, a leading actor in concrete works in western Sweden. The acquisition was completed after quarter-end.
• Offshore had revenues growth of 24 percent from the first quarter last year, with weak results. Both AF Offshore Decom and Aeron delivered weak results in the first quarter. After quarter-end, AF Gruppen entered into an agreement to purchase all shares in Claxton Engineering Services together with leading employees. Claxton is a leading international niche supplier of technology-driven services and advanced engineering capability, mainly in offshore decommissioning. The transaction is subject to approval from Norwegian competition authorities and is expected to be completed during the second quarter of 2026.