Steiner: Sales down, EBIT margin up
Steiner Group achieved sales of CHF 794 million in the 2017/18 financial year - after CHF 821 million in the previous year. Despite the decline in sales, the EBIT margin increased, the company says.
"Seasonal effects due to the strong winter as well as subsequent customer changes have led to delays in individual construction projects," says Ajay Sirohi, CFO of Steiner AG. Therefore, the company did not reach its sales target.
In the period from April 1, 2017 to March 31, 2018, Steiner AG said it generated new orders totaling CHF 890.3 million. The order backlog of the real estate developer and total and general contractor currently stands at 1.37 billion.
"We are very pleased that Steiner was able to expand its development business in the fiscal year just ended and record strong growth, particularly in western Switzerland," Sirohi continues. He added that the real estate development division has a record high portfolio of development projects, totaling approximately 3.2 billion, and will continue to contribute significantly to ensuring a positive business performance.
In the first year after its launch, the Steiner Investment Foundation recorded cash inflows of more than 175 million from institutional investors.
In the current fiscal year 2018/2019, the company expects to "catch up with the sales volume of the previous year," Sirohi added.
Steiner Group was founded in 1915 and has since built over 1,500 residential projects, 540 commercial properties, 45 hotels and 200 infrastructure facilities such as universities, hospitals and correctional facilities. Since 2010, the company has been a division of the Hindustan Construction Company (HCC) based in Mumbai, India.
