Consti Yhtiöt Oyj - Financial Statement Release

Consti Group Plc Financial Statements Bulletin for January - December 2015

CONSTI GROUP PLC STOCK EXCHANGE RELEASE 18 FEBRUARY 2016, at 8.30 a.m.

Consti Group Plc Financial Statements Bulletin for January - December 2015

Profitable growth continued

10-12/2015 highlights (10-12/2014 comparison in brackets):
·      Net sales EUR 74.9 (69.9) million; growth 7.3%
·      EBITDA EUR 3.5 (3.7) million and EBITDA margin 4.7% (5.3%)
·      Adjusted EBITDA EUR 5.1 (3.7) million and adjusted EBITDA margin 6.8%
(5.3%)
·      Operating profit (EBIT) EUR 3.1 (3.1) million and operating profit margin
4.1% (4.4 %)
·      Adjusted EBIT EUR 4.6 (3.1) million and adjusted EBIT margin 6.2% (4.5 %)
·      Order backlog EUR 181.3 (163.4) million
·      Free cash flow EUR 1.8 (6.8) million
·      Earnings per share EUR 0.29 (0.32)

1-12/2015 highlights (1-12/2014 comparison in brackets):
·      Net sales EUR 256.2 (215.9) million; growth 18.6%
·      EBITDA EUR 10.5 (9.8) million and EBITDA margin 4.1% (4.5 %)
·      Adjusted EBITDA EUR 12.6 (9.8) million and adjusted EBITDA margin 4.9%
(4.6%)
·      Operating profit (EBIT) EUR 8.4 (7.8) million and operating profit margin
3.3 % (3.6%)
·      Adjusted EBIT EUR 10.5 (7.9) million and adjusted EBIT margin 4.1% (3.6%)
·      Free cash flow EUR 8.9 (15.7) million
·      Earnings per share EUR 0.61 (0.48)
·      The Board of Directors proposes a dividend of EUR 0.39 (0.00) per share

Guidance on the Group outlook for 2016:
The company estimates that its total annual sales for 2016 will grow compared to
2015.

+--------------------+------+-------+--------+-------+-------+---------------+
|KEY FIGURES (EUR    |10-12/|10-12/ |Change %| 1-12/ | 1-12/ |       Change %|
|1,000)              | 2015 | 2014  |        | 2015  | 2014  |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Net sales           |74,939| 69,854|   7.3 %|256,151|215,933|         18.6 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|Adjusted EBITDA     | 5,074|  3,704|  37.0 %| 12,613|  9,830|         28.3 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|Adjusted EBITDA     | 6.8 %|  5.3 %|        |  4.9 %|  4.6 %|               |
|margin, %           |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|EBITDA              | 3,493|  3,672|  -4.9 %| 10,507|  9,798|          7.2 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|EBITDA margin, %    | 4.7 %|  5.3 %|        |  4.1 %|  4.5 %|               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Adjusted EBIT       | 4,633|  3,126|  48.2 %| 10,520|  7,871|         33.7 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|Adjusted EBIT       | 6.2 %|  4.5 %|        |  4.1 %|  3.6 %|               |
|margin, %           |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Operating profit    | 3,052|  3,094|  -1.4 %|  8,414|  7,839|          7.3 %|
|(EBIT)              |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Operating profit    | 4.1 %|  4.4 %|        |  3.3 %|  3.6 %|               |
|(EBIT) margin, %    |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Profit for the      | 2,203|  1,303|  69.1 %|  3,260|  1,980|         64.6 %|
|period              |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Order backlog       |      |       |        |181,301|163,447|         10.9 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|Free cash flow      | 1,750|  6,765| -74.1 %|  8,910| 15,710|        -43.3 %|
+--------------------+------+-------+--------+-------+-------+---------------+
|Cash conversion, %  |50.1 %|184.2 %|        | 84.8 %|160.3 %|               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Net interest-bearing|      |       |        | 17,407| 44,236|        -60.6 %|
|debt                |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Gearing, %          |      |       |        | 70.9 %| 9513 %|               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Number of personnel |      |       |        |    890|    853|          4.3 %|
|at period end       |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
|Earnings per share, |  0.29|   0.32| -10.0 %|   0.61|   0.48|         27.4 %|
|undiluted (EUR)     |      |       |        |       |       |               |
+--------------------+------+-------+--------+-------+-------+---------------+
 1) EBITDA and EBIT for the fourth quarter of 2015 included EUR 1.6 (0.03)
 million in non-recurring costs relating to structural arrangements,
 preparation and execution of IPO and adoption of IFRS. The corresponding
 negative impact on the full-year 2015 EBITDA and EBIT was EUR 2.1 (0.03)
 million.



CEO Marko Holopainen's comment

"2015 was a successful year for Consti. Our sales grew and our comparable
profitability improved.  Our sales grew from 216 million to 256 million euro,
which means a growth of 18.6 percent. The majority of this growth was organic
and achieved without acquisitions.

We were successful in increasing our sales and improving our market position in
all our business areas: Technical Building Services, Building Façades and
Renovation Contracting, as well as related services. Our sales grew especially
well in Building Façades and Renovation Contracting.

Both the growth of our sales and our improved profitability were driven in part
by the mild weather which enabled continuing especially Building Façade work
without interruptions until the end of the year.

Our adjusted EBITDA for the entire year grew to 12.6 million euro, which is 4.9
percent of our Net sales, while the comparable figures from 2014 were 9.8
million euro and 4.6 percent of our Net sales. Our order backlog grew both
compared to the previous quarter and the end of the previous fiscal year.

All of our business areas were successful in the Greater Helsinki area. Our
Building Façade business has also shown positive development in Oulu, as has
Renovation Contracting in Turku and Technical Building Services in the Tampere
region Pirkanmaa.

I believe renovation construction will continue its steady growth in 2016 as
well. Our goal is to continue profitable growth by strengthening our position in
Finnish growth centres."

Operating environment

Renovation construction's relative portion of the construction market has grown
during the past decade in Finland, and it is now already larger than the new
construction market. The general economic situation has a considerably lesser
impact on renovation construction and technical building services than it does
to the new construction market.
The demand for renovation construction is especially increased by the ageing
building stock. As buildings age, they require more technical renovations such
as pipeline and façade renovations. At the moment mainly building from the
1960s are being renovated in Finland. Next, renovations will start on the
considerably larger building stock of the 1970s and 1980s. In renovation
construction the largest growth during the next decade is expected to come from
apartment buildings in large cities. In apartment building renovations
approximately one third of the renovations are pipelines, one third façades and
the rest other structures.

In addition to ageing, buildings require more renovation construction, technical
building services and building technology maintenance services due to heightened
energy efficiency requirements, urbanisation, modification of the use of
buildings, the development of housing automatisation and the ageing populations'
need for barrier-free buildings.

There are currently a great number of buildings in Finland which would benefit
from renovations modifying their use to match current needs. Such renovations
would improve both the buildings' usability and profitability. Typical
modifications of buildings include the altering of old office buildings and
industrial buildings in growth centres into hotels, apartments and assisted
living facilities. Modifications of the use of buildings are a central part of
Consti's services.
Renovation construction markets are concentrating on growth areas, akin to new
construction. Necessary technical repairs in declining suburbs and less
populated areas are often economically unviable.

The Confederation of Finnish Construction Industries RT (CFCI) estimated in its
October business conditions review that construction had decreased by one
percent during 2015 compared to the previous year. Renovation construction had
however kept on its steady growth-path and its production value has been
estimated to have surpassed new construction for the third year in a row. In
2015 renovation construction was estimated to have grown 2.5 percent.

The renovation construction market is very fragmented in Finland. Large
construction companies focus on new construction and the field of renovation
construction has typically consisted of several small companies that usually
focus on only one segment of renovation construction.
Measured in sales, Consti is one of Finland's leading companies in renovation
construction and technical building services.

Outlook for 2016

Renovation construction is expected to continue steady growth in 2016. The
Confederation of Finnish Construction Industries RT (CFCI) estimated in its
October review of business conditions that renovation construction would grow
approximately 2.5 percent from the previous year during 2016. The European
construction business research group Euroconstruct estimated in its December
forecast that renovation construction would grow about 2 percent from the
previous year during 2016. The general economic conditions have a considerably
smaller impact on renovation construction and technical building services than
on new construction.

The company estimates that its total annual sales for 2016 will grow compared to
2015.

Press conference

A press conference for analysts, investors and media will be arranged on
Thursday February 18(th) 2016 at 9:30 at Simonkenttä Scandic hotel's Tapiola-
cabinet at Simonkatu 9, Helsinki. The conference is hosted by CEO Marko
Holopainen and CFO Esa Korkeela.

Financial communication in 2016

Consti will publish its Financial Statements, Board of Directors' Report,
Auditors' Report, and Corporate Governance Statement on the company website
during week 11/2016.

Consti Group Plc's Annual General Meeting shall be arranged on Wednesday April
6(th) in Helsinki. The complete invitation to the Annual General Meeting,
including the Board of Director's proposals to the Meeting, will be published as
a separate Stock Exchange release.

Consti Group Plc shall publish three interim reports during 2016:

  * Interim report 1-3/2016 will be published on 12 May 2016
  * Interim report 1-6/2016 will be published on 17 August 2016
  * Interim report 1-9/2016 will be published on 10 November 2016


CONSTI GROUP PLC


Further information:

Marko Holopainen, CEO, Consti Group Plc, Tel. +358 400 458 158
Esa Korkeela, CFO, Consti Group Plc, Tel. +358 40 730 8568

Distribution:

Nasdaq Helsinki Ltd.
Major media
www.consti.fi

Consti is a leading Finnish company concentrating on renovation and technical
services. Consti offers comprehensive building technology, pipeline renovation,
renovation contracting, façade renovation and other demanding construction and
maintenance services for residential and commercial buildings. In 2014 Consti
Group's turnover was 216 million euro. It employs about 900 professionals in
renovation construction and building technology.

Consti Group Plc is listed on Nasdaq Helsinki. The trading code is CONSTI.
www.consti.fi


[HUG#1987004]

Attachments:

Consti Financial Statements Bulletin 1-12 2015.pdf