Statens Bostadsomvandling AB, Sbo, has a public policy assign-ment to participate practically in bringing balance to the housing market in communities where the population is declining. Sbo acquires, owns, manages, develops and divests properties taken over from municipalities or municipal housing companies. The focus is on assisted living and housing for elderly people.
There is often considerable need for housing in these com-munities that is accessible for elderly people and adapted to their needs. The restructuring process generates chains of peo-ple moving home within the housing market. Once balance has been achieved in the local housing market, the company sells the properties it has developed on market terms in the open market.
Significant events in 2015
• The number of lettable flats had increased by 470 (415) by the end of the year. The occupancy rate is 100 per cent.
• Three properties were acquired during the year and a total of SEK 46.2 million was invested during the year in ongoing development projects.
• The report “The EU and Municipal Housing Policy” (SOU 2015:58), which covers issues including Sbo’s operations, was submitted in June 2015.
Targets and tracking
Financial targets
• At least 37 per cent of combined project costs recovered when products are completed.
• In at least 80 per cent of projects, the properties must be restructured and sold within eight years on market terms in the open market.
Outcomes
• The assessment is that approximately 60 per cent of project costs (including impairments) has been recovered.
• During the period of 2010–2015, Sbo sold 17 properties in six communities. Various types of properties were included.
Most of the properties Sbo currently owns and manages were acquired in 2007 or later.
Sustainability targets
• 100 per cent of developed properties to be leased upon completion.
• Occupancy rate of 80 per cent in properties adapted to the needs of elderly people.
• 100 per cent of flats and common areas in the properties to be accessible to people who, for example, use walking frames or wheelchairs.
• Increase the proportion of accessible and attractive flats in com-munities that have access to community services (e.g., grocery store, health care, public transport) within 5–10 minutes’ walk-ing distance, or 300–500 metres, from the developed property.
Outcomes
All sustainability targets for 2015 were achieved.
Public policy targets
Statens Bostadsomvandling has a specifically adopted public policy assignment. Targets have not yet been developed accord-ing to the public policy targets process.
Chair: Christel Wiman CEO: Ann Eriksson Directors and auditors elected for 2016/2017
Chair: Christel Wiman Board: Leif Ljungqvist, Brita Saxton, Håkan Steinbüchel and Björn Sundström Auditor: Lars Magnusson (Deloitte)
Fees paid to the chairman were SEK 74 (70) thousand. Fees paid to direc-tors elected by the AGM amounted to SEK 37 (35) thousand. Fees are not paid to directors employed by the Government Offices.
State ownership (100%) 2015 2014
Income statement, SEKm
Net sales 18 17
Operating profit -14 -16
Financial income 6 11
Profit/loss before tax -8 -5
Net profit -12 -9
– of which attributable to minority interest 0 0 Balance sheet, SEKm
Total assets 534 541
Non-current assets 237 216
Equity 497 509
– of which, minority interests 0 0
Net debt -282 -313
Operating capital 215 196
Key indicators
Operating margin, % -81.7 -96.6
Return on equity (average), % -2.4 -1.7
Return on operating capital (average), % -6.9 -8.2
Net debt/equity ratio, multiple -0.6 -0.6
Equity/assets ratio, % 93.0 94.1
Gross investments, SEKm 46 42
Appropriation, SEKm 0 0
Dividend, SEKm 0 0
Average no. of employees 3 3
Employees, gender distribution (women/men), % 33/67 33/67 Management group, gender distribution (women/men), % 100/0 – Board, gender distribution (women/men), % 40/601 40/60
Reported in compliance with GRI guidelines Yes
Externally assured GRI report Yes
Reporting in compliance with IFRS No
1) Elected for 2016/2017.
Sveaskog
Sveaskog AB is the largest forest owner in Sweden and manages a total of 4.1 million hectares of land. Sveaskog is an independent actor in the timber market whose core business is forestry. Oper-ations are conducted on a commercial basis. Sveaskog manages 3.1 million hectares of productive forest land, which accounts for 14 per cent of all forest land in Sweden. The company’s forest hold-ings are spread throughout Sweden but are concentrated in the north. The forest plays a vital role in providing raw materials for the forest products industry and generates employment and rec-reational opportunities. Sveaskog primarily sells timber, pulp-wood and biofuel. The company is pursuing sustainable forestry by means including setting aside 20 per cent of the productive for-est land as nature conservation land and for-establishing a total of 37 ecoparks.
Significant events in 2015
• Operating profit increased.
• Sales of sawmill timber increased, but sales of pulpwood, chips and biofuel decreased.
• Positive change in value of forest holdings.
Targets and tracking
Financial targets
• Dividend yield: minimum 4.5 per cent.
• Capital structure: Debt/equity ratio, multiple of 0.3–0.6.
• Dividend: 65–90 per cent of profit after tax, excluding changes in value not affecting cash flow.
Outcomes
• Dividend yield was 4.7 per cent.
• The debt/equity ratio declined to 0.41, which is near the middle of the range for the financial target.
• Proposed dividend of SEK 800 million, corresponding to 89 per cent of profit.
Sustainability targets
• Higher profitability
• Partner of choice to customers.
• Leader in innovation.
• Leader in sustainable forestry.
• Attractive employer.
Outcomes
• The next customer satisfaction survey will occur in 2016.
• The sustainability indicator “Consideration Index for Sustain-able Forestry” increased to 94 (87) per cent and the company reported lower carbon emissions from its own operations.
• Higher scores for motivated employees and leadership.
Public policy targets
The company has a specifically adopted public policy assign-ment whose objective is to sell 10 per cent of the productive for-est land, but targets have not been developed in accordance with the public policy targets process.
Outcomes
The company sold 10,618 hectares of land in 2015 within the land sale programme. Sveaskog has now sold a total of about 8 per cent of its forest holdings in accordance with the land sale programme.
Chair: Helene Biström CEO: Per Olof Wedin Directors and auditors elected for 2016/2017
Chair: Helene Biström acceded 16 June 2016 when Göran Persson stepped down Board: Eva Färnstrand, Thomas Hahn and Anna-Stina Nordmark-Nilsson. Leif Ljungqvist, Annika Nordin and Sven Wird were elected at the 2016 AGM. Johan Hallberg and Birgitta Johansson-Hedberg stepped down Employee reps: Sofia Gilliusson, Sture Persson Alternate employee reps:
Lars Djerf, Thomas Esbjörnsson Auditor: Hans Warén (Deloitte) Fees paid to the chairman were SEK 420 (400) thousand. Fees paid to directors elected by the AGM amounted to SEK 160 (150) thousand. Fees are not paid to directors employed by the Government Offices.
State ownership (100%) 2015 2014
Income statement, SEKm
Net sales 6,078 6,232
Changes in value 1,432 1,032
Operating profit 2,800 2,418
Financial income 10 22
Profit/loss before tax 2,586 2,157
Net profit 2,017 1,691
– of which attributable to minority interest 0 0 Balance sheet, SEKm
Total assets 38,299 37,203
Non-current assets 35,088 33,557
Equity 19,714 18,463
– of which, minority interests 0 0
Net debt 9,224 9,552
Operating capital 28,938 28,015
Key indicators
Operating margin, % 46.1 38.8
Return on equity (average), % 10.6 9.4
Return on operating capital (average), % 9.8 8.8
Net debt/equity ratio, multiple 0.5 0.5
Equity/assets ratio, % 51.5 49.6
Gross investments, SEKm 330 133
Appropriation, SEKm 0 0
Dividend, SEKm 800 450
Average no. of employees 856 877
Employees, gender distribution (women/men), % 21/79 20/80 Management group, gender distribution (women/men), % 45/55 40/60 Board, gender distribution (women/men), % 57/431 57/43
Reported in compliance with GRI guidelines Yes
Externally assured GRI report Yes
Reporting in compliance with IFRS Yes
Svedab
Through its partnership in the Öresund Bridge Consortium, Svensk-Danska Broförbindelsen Svedab AB (Svedab AB) owns and manages the 50 per cent Swedish interest in the Öresund Bridge.
The consortium owns the 16 km long toll-financed coast-to-coast link for both road and rail traffic. Svedab also owns and manages the Swedish land connections to the bridge.
Significant events in 2015
• July was a record-setting month for the number of cars in one 24-hour period and number per month. On average, 19,300 vehicles drove over the bridge every day.
• The surplus (before change in value) rose by DKK 116 million to DKK 899 million, attributable to higher road toll income and lower interest expenses.
Targets and tracking
Financial targets
• Svedab’s loans repaid before 2040.
Outcomes
• According to the current forecast, the loans are expected to be repaid before 2040.
Sustainability targets
• Svedab should contribute to a cohesive Öresund Region and act as an enabler.
• Svedab must comply with laws, ordinance and regulations to ensure sustainable use of resources.
• 100 per cent of energy consumption should be renewable.
• Long-term, Svedab should reduce energy consumption.
• Svedab aims to engage suppliers that share the values expressed in Svedab’s code of conduct.
• Zero tolerance of bribes and corruption.
• No deaths or serious injuries should occur on Svedab’s structure or facilities.
• Svedab is receptive to opinions on the maintenance of the structure and facilities. All opinions and questions must be welcomed and responded to.
Outcomes
• Svedab was involved in several initiatives in 2015, all aimed at developing and adapting the structure and facilities to new needs.
• Svedab complied with laws, ordinances and regulations during the year.
• 100 per cent of energy consumption was renewable.
• Svedab reduced its energy consumption by 4 per cent during the year.
• In 2015, Svedab conducted an in-depth survey of its largest suppliers concerning their efforts with sustainable business.
• There were no incidents at Svedab in 2015 that can be linked to corruption.
• No one died or was seriously injured on Svedab’s structures or facilities.
• As of 2016, there is an opportunity to communicate opinions that concern Svedab and the operation and maintenance of structure and facilities on the company’s website.
Chair: Bo Lundgren CEO: Ulf Lundin Directors and auditors elected for 2016/2017
Chair: Bo Lundgren, elected at the extraordinary general meeting in March 2016, Lena Erixson stepped down Board: Lars Erik Fredriksson, Kerstin Hessius and Jan Olson Auditor: Mats Åkerlund (PwC)
Fees paid to the chairman were SEK 133 (133) thousand. Fees paid to directors elected by the AGM amounted to SEK 66 (66) thousand. Fees are not paid to directors employed by the Government Offices.
State ownership (100%) 2015 2014
Income statement, SEKm
Net sales 6 6
Operating profit 336 452
Financial income 43 46
Profit/loss before tax 286 393
Net profit 223 306
– of which attributable to minority interest 0 0 Balance sheet, SEKm
Total assets 5,766 5,509
Non-current assets 5,736 5,420
Equity 336 131
– of which, minority interests 0 0
Net debt 2,876 2,913
Operating capital 3,212 3,043
Key indicators
Operating margin, % 5,256.4 7,924.4
Return on equity (average), % 95.5 -281.3
Return on operating capital (average), % 10.8 15.6
Net debt/equity ratio, multiple 8.5 22.3
Equity/assets ratio, % 5.8 2.4
Gross investments, SEKm 430 401
Appropriation, SEKm 0 0
Dividend, SEKm 0 0
Average no. of employees 3 3
Employees, gender distribution (women/men), % 33/67 33/67 Management group, gender distribution (women/men), % 0/100 – Board, gender distribution (women/men), % 25/751 50/50
Reported in compliance with GRI guidelines Yes
Externally assured GRI report Yes
Reporting in compliance with IFRS No
1) Elected for 2016/2017.