A REPORT FROM THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS DECEMBER 20162017
SECTOR REVIEW THE MARKET FOR CONSULTING ENGINEERS AND ARCHITECTS IN EUROPE HAS STABILISED
A Swedish, Nordic and International Survey of The Consulting Engineering and Architectural Groups
1 KEY FIGURES 2016 (2015)
SEK The sector had a turnover in Sweden of SEK 73.7 billion 73.7 (65 billion in 2015) billion 8 Revenue growth was 8% compared with 2015 ¹ %
SEK 16.9 Swedish groups turned over SEK 16.9 billion in billion subsidiaries abroad (15.6)
60,500 The sector employed 60,500 personnel in Sweden employees (55,000)
6 Growth in personnel was 6% compared with 2015 ² %
15,800 Swedish groups employed 15,800 personnel in employees subsidiaries abroad (14,800)
11,000 The sector consisted of some 11,000 companies in Sweden companies
SEK Turnover per employee was SEK 1,218,000 1,218k (1,186,000)
7.2 Average operating margin was 7.2 % (6.0 %) % 7.2 Average profit margin was 7.2 % (5.8 %) % 5.1 Average net margin was 5.1 % (3.9 %) %
1 Companies which together turn over around SEK 2.5 billion have been added in this year’s review. The actual growth is consequently 8% and not 13%. 2 Companies which together employ 2,000 personnel have been added in this year’s review. The actual growth is consequently 6% and not 10%. THE SECTOR CONTENTS REVIEW
The Sector Review has been published by the Foreword by Magnus Höij, Swedish Federation of Consulting Engineers Association’s Managing Director 4 and Architects (STD-företagen) since 1995. It is a compilation of the architectural, engineering Five current trends 4 consultancy and industrial consultancy sectors Introduction, Lena Hagman, in Sweden, the Nordic countries and Europe. The Chief Economist Almega 6 Review presents ranking lists of the largest corpo- rate groups on the respective markets, interesting key business ratios, news about structural trans- THE SWEDISH MARKET 8 actions and information on the development and Sector development 2016 and 2017 8 economy within the sector over the past year. Since 2005, STD-företagen’s counterparts Development by sectors 9 in the neighbouring Nordic countries have Interview, Anders Wärefors, CEO Bjerking 11 contributed to the Review. The organisations Interview, Johan von Wachenfeldt, that participate in this cooperation are FRI and CEO Krook&Tjäder 12 Danske Ark (Danish Architects) in Denmark, RIF and Arkitektbedriftene (Architects’ association) in A comparison with other Norway, SKOL in Finland and FRV and SAMARK knowledge-intensive industries 14 (Architectural association) in Iceland. Interview, Åsa Bergman, The figures in the Review are based on the Managing Director Sweco Sweden 15 latest available data that we have been able to Key figures for the largest find on the respective firms. For just over half Swedish consulting firms 16 the firms the review is equivalent to a calendar closing for 2016. The remaining firms have split Interview, Maria Lindfelt, financial years. In most cases, we have received HR-& Communications Manager, WSP 17 their annual reports for 2016/17. However, some The 50 largest architectural groups 18 annual accounts were not ready when work on The 50 largest industrial consultancies 19 the collection of basic data came to an end, for Interview, John Lydholm, CEO LINK arkitektur 20 example for those companies whose annual ac- counts close at the end of August. In these cases, Swedish structural deals 21 we have retained the same figures as for 2015/16. Interview, Dimitris Gioulekas, CEO Knightec 22 For the sake of simplicity, we refer to the compiled The 30 largest groups in Sweden 25 figures that applied for 2016. The corporate information in the Review Sweden’s 300 largest groups 26 has been acquired via the databases Soliditet (Sweden) and Factiva Dow Jones Companies & Executives (Europe), from the Nordic organisa- THE NORDIC MARKET 32 tions, direct from companies or via the compa- Introduction 34 nies’ home pages. The monitoring covers some Nordic comparison of key figures 34 2,000 companies in Sweden, the Nordic Area and Europe. Collecting the information is an extensive The 100 largest architectural and time-consuming task, and in some cases groups in the Nordic region 35 it is impossible to obtain reliable information. FRI – the Danish market 37 The information on the international companies DA – the Danish market 40 is more difficult to access. In Sweden, annual reports are public documents. This is not the case Denmark’s 100 largest groups 44 in all countries, and many firms are reluctant to RIF – the Norwegian market 46 disclose their figures. In these cases, we use the AB – the Norwegian market 50 most recent material we can find. Consequently, all companies that appear in – or should appear Norway’s 100 largest groups 52 in – the Review are requested to contact STD- FRV/SAMARK – the Icelandic market 54 företagen and to submit their details in order to Iceland’s 17 largest groups 56 make sure that the information published on them is correct. SKOL – the Finnish market 57 We would like to thank those companies that Finland’s 100 largest groups 60 have helped us by submitting their annual reports or figures. Cover photo: We would especially like to thank Lena Hag- Citybanan train station at Odenplan THE INTERNATIONAL MARKET 62 man (Almega), Åsa Bergman (Sweco), Dimitris (Stockholm). Architects responsible: Ahlqvist&Almqvist. International development 64 Gioulekas (Knightec), Maria Lindfelt (WSP), John Lydholm (LINK Arkitektur), Johan von Wachen- Photo: Shutterstock/Stefan Holm Profit margin development, feldt (Krook & Tjäder Arkitekter) and Anders Europe’s 300 largest groups 64 Wärefors (Bjerking) for their contributions to the Swedish Federation of Consulting Engineers and Architects World’s 10 largest groups 64 report in interviews and introduction. Graphic design: Pär Ek Grafisk Form Listed consultancies in the West – a comparison 65 Printing: Ineko Stockholm 2017 Europe’s 50 largest architectural groups 66 DAVID CRAMÉR SWEDISH FEDERATION OF CONSULTING Translations: JNG Ainscough HB Europe’s 300 largest groups 67 ENGINEERS AND ARCHITECTS & Global Text AB
SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 3 FOREWORD
MAGNUS HÖIJ, MANAGING DIRECTOR OF THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS FIVE CURRENT TRENDS IN AN INCREASINGLY STRONG SECTOR THE SECTOR
The need for engineering and archi- tectural expertise is greater than ever. This could be a summary of both 2015 and 2016, but in 2017 it is truer than ever. Our services are in de- mand from numerous directions, and demand is frequently greater than supply. In many cases, companies are having to turn down commissions. There is some concern that the market, in particular the housing market, will cool down during 2018. It is possible, even though there is still a shortage of homes in many Swedish cities and municipalities. But that this could in some dramatic way reduce the need for qualified MORE COMPLEX SERVICES NEW ROUTES TO FIND services within both urban planning NEW EMPLOYEES and development, infrastructure, schools and hospitals and so forth – I AS SOCIETY DEVELOPS and becomes in- THE SHORTAGE OF RESOURCES, both ar- quite simply do not think this is the creasingly driven by technology, it is be- chitects and engineers, has been acute case. The housing market will remain, coming increasingly important to be able for some time. It has created concerns for even though it might possibly change its character. to manage complex issues. It can con- both the sector’s development but also Our society, and trade and indus- cern solutions linked to industrial devel- for clients in different roles and for soci- try, will have an equally substantial opment, to cities’ growth, to major infra- ety in general. requirement, possibly greater, for structure projects or to political deliber- The university system is lagging be- continued innovation, creativity, ations. hind and is not able to increase capacity development and design as ever. An investment in our services and our There are few sectors that are cop- at short notice, even though immediate knowledge is quickly paid back in ing with such challenges better than action is required. While waiting for the increased value, in more effective our member companies. The in-depth universities to educate a sufficient num- solutions, in smarter production. This knowledge and experience that archi- ber of graduates, trade and industry is is true regardless of whether the de- mand for homes is high or low. tectural and engineering firms can offer obviously looking for other routes to find In a time of rapid transition, driven links knowledge of modern technology solutions. by technological development and with society’s major challenges. It also re- Offering opportunities for labour from internationalisation, the need for early quires cooperation between different ar- other countries is an obvious measure. and well thought out planning is simply increasing. eas of expertise. Many of our companies Many companies are actively looking for This makes me convinced that our have great breadth internally. Others are trained engineers and architects, others sector, with its engineering and archi- electing to work with partners in order to are establishing partnerships with inter- tectural expertise, is very strong and create alliances and networks. national actors. ready for an exciting new year. This is an area where insights and per- In some cases the companies are pro- MAGNUS HÖIJ spectives outside the country’s borders viding training themselves within pro- MANAGING DIRECTOR OF THE SWEDISH FEDERATION OF CONSULTING are of great importance. Demand for per- fessions with a shortage of skilled labour ENGINEERS AND ARCHITECTS spectives from other countries is going to in order to be able meet the market’s re- increase. And our know-how will also be quirements. increasingly in demand abroad.
4 SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 TRENDS
THE SECTOR IS BLURRING COMPANY BUILDING INTERNATIONALISATION
THE CONSOLIDATION TREND is continuing. IN LINE WITH THE COMPANIES GROWING, THE PRESSURE TO PICK UP KNOWLEDGE, But it is not just about company X buying widening and changing, the need for experiences and working methods from or merging with company Y. structures, organisation and new leader- other countries is increasing. Many larger Is is also about skills mixing and new ship is increasing. clients expect more than just traditional, offers being formulated. Functions such as HR, accounts, mar- Swedish solutions to new problems. The proximity between architects and keting and communication, are being It obviously does not do any harm engineers is obvious. Many architectural strengthened and developed. This is pro- that many new Swedes are bringing with firms have already strengthened their viding an opportunity for continued de- them know-how and experiences from know-how within culture, geography, velopment of the companies’ capacity their former home countries. philosophy and several other areas. and ability to develop. It is creating better But it will require more. Several for- But in addition the opportunities of- conditions for the personnel to develop. eign actors are looking with curiosity at fered by digitalisation, both in applica- It is boosting the companies’ visibility the Swedish market and several have al- tion and development. with both customers and potential em- ready started establishing themselves The sector, which at one time was ployees, as well as in the public debate. here. clearly compartmentalised, where one One function that has been particu- In the same way, a significant number kind of engineer did his or her job with larly strengthened in recent times is the of Swedish companies are looking glob- precision and accuracy – but also rarely legal department in many companies. ally, both for new commissions but also outside their own compartments – is in The need for legal capacity, to manage in order to find the vitality required to the process of changing. contracts, insurance policies etc., is con- expand their own company. Today’s engineers are interacting with stantly increasing in importance. other engineers or experts, appearing in There is a lot to suggest that the need new guises, creating new alliances and to understand and be able to interact offers. with the law is increasing in importance. The sector is becoming not just more difficult to place in the old compart- ments, it is also becoming wider, blurring into new roles that are frequently a long way outside the traditional tracks
SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 5 INTRODUCTION
LENA HAGMAN, CHIEF ECONOMIST, ALMEGA GREATER DEMAND FROM EXPORT MARKETS BENEFITS ENGINEERING CONSULTANTS AND ARCHITECTS
During 2017, the demand from important export markets nised between different regions than it for Sweden has grown, in particular the demand for export was previously. Forecasts for growth in GNP over the period 2017-2018 have goods and associated services. This means that the demand been marked up for a whole series of ma- for architectural and engineering consultancy is increasing jor export markets, for example the EU area and the USA. The already high rate still more since they are needed for new investments all over of growth in China is expected, as be- the world. It is a question of investments in goods and ser- fore, to gradually slow down . The previ- ous fear of a faster deceleration in China vices such as mechanical equipment, product and technical appears to have settled down. The down- development, research and development. In other words it turn in China’s growth does not mean, however, that there is a decrease in do- is a matter of investments that increase competitiveness and mestic demand. This year, an upswing productivity in the production and sales of companies in has been observed in imports into China, many different countries. In this context, an important role which has made a significant contribu- tion to the upswing in world trade. is being played by engineering consultants and architects. THE GROWTH IN EXPORTS and produc- he growth of investments in prod- ”Catch 22” situation, or in other words tion within export companies all over the uct development and greater pro- a vicious circle with an excessively low world is increasing the need to expand Tduction capacity should con- growth in productivity that fails to pro- production capacity. In both Germany tinue so that it becomes possible for vide the required level of profitability and and Sweden, for example, the export in- the growth potential to be increased in thus gives rise to low investments, needs dustry has reached a high level of capac- a more sustainable way in many coun- to be broken. ity utilisation and needs to expand. The tries. It would in this way be possible to The global upswing in demand during investments in Germany are expected to break the downward trend in productiv- 2017 has accelerated the growth in world increase still more in 2018. In Almega’s ity growth following the financial crisis. trade and been of benefit to Sweden, economic forecast from November, we For a more sustainable increase, profita- which exports a large share of the coun- anticipate an upswing in the investments bility needs to rise and provide the neces- try’s overall production. The improve- to be made in machinery both this year sary scope for continued investments. A ment in demand is now more synchro- and in 2018. This will be accompanied by an increase in the demand for services from engineering consultants which The increase in the number of employees in the engineering con- their volume of orders in hand indicates sultancy and architectural sectors is not accelerating in the current and which continued to rise in 2017. economic upswing as it did in the previous economic recovery over In our new economic forecast, Almega the period 2005-2007 assumes that the growth in global GNP will speed up following the historically 80 9000 weak recovery after the financial crisis. 8000 We now base our calculations on the fact 70 7000 that the growth rate will increase, from 6000 3.2 per cent in 2016 to 3.6 per cent this 60 5000 year and to 3.7 per cent in 2018. At the 4000 same time, growth in the Euro area is in- 50 3000 creasing, by 2.2 per cent this year and 1.9 2000 per cent in 2018. At the same time GNP, 40 1000 is also increasing in our neighbouring 0 Nordic countries, in Norway and Den- 30 -1000
with the same quarter last year mark to somewhat over 2 per cent this -2000 year while in Finland it will be even 20 -3000 stronger according to the forecast: by 2.8 Change in the number of employees compared Change in the number of employees compared -4000 per cent. The upswing in Finland is asso- Proportion of companies with a shortage personnel Proportion 10 -5000 ciated with greater international compe- 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 Källa: KI-barometern, Konjunkturinstitutet och Källa: SCB (Kortperiodisk sysselsättningsstatistik). tition over the period 2016-2017, when
6 SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 INTRODUCTION
LENA HAGMAN, CHIEF ECONOMIST, ALMEGA ALMEGA PREDICTS THAT THE RATE OF GROWTH FOR GLOBAL GNP WILL GREATER DEMAND FROM EXPORT CONTINUE TO RISE FROM 3.2% TO 3.7%. MARKETS BENEFITS ENGINEERING CONSULTANTS AND ARCHITECTS
there was a decrease in Finland’s relative omy in recent years have led to shortfalls in which are meeting greater competition, cost of labour per unit. the labour force in several countries, such both on export markets as well as in their One important export market for Swe- as Germany and Sweden. The shortage supplies on the Swedish market. den that constitutes an exception is Great of personnel is currently especially high The export industry in particular has Britain, whose growth is expected to among engineering consultancies and ar- increased its import of input services, be weaker – with 1.5 per cent both this chitectural firms compared with many which is serving to apply increased com- year and in 2018. In connection with the other sectors in Sweden. As many as three- petitive pressure on corresponding ser- Brexit referendum last year and the sub- quarters of all the countries in the sector vice suppliers in Sweden. If we look even sequent decision reached on the coun- now have a shortage of staff. The shortage further forward, we can expect that in- try’s exit from the EU, there has been a of labour is a growing problem in general ternational competition will increase still significant decrease in the value of the for engineering consultants in Europe. further. If Sweden is to continue devel- British pound. This has forced up im- Signs that, above all, knowledge-inten- oping as a knowledge nation with ad- port prices and inflation in Great Britain. sive sectors in Sweden have not succeeded vanced service production, the shortage With a certain time lag, it has weakened in recruiting personnel at the rate they of competence in the country will have domestic consumption, whose growth are needed in the present economic re- to be eliminated, by among other ways rate appears likely to be halved this year covery include the fact that the growth in providing more places at institutes and compared with last year, to 1.5 per cent. employment has begun to slow down. It universities of technology, an increase Corporate investments are also being differs from previous patterns recorded in in the immigration of skilled individu- held back by the uncertainty surround- financial booms, for instance during the als and lower marginal taxes. Insight into ing the effects of Brexit and with regard economic upswing over the period 2005- the importance of knowledge-intensive to which agreement will be finally en- 2007, when the shortage of labour also companies for the Swedish economy, for tered into between Great Britain and the increased, but also when the employment exports, employment and, in the final in- EU in, among other areas, the trade sec- level continued to increase with growing stance, tax revenue, must increase. The tor. The rising inflation in Great Britain, strength. Now, the shortage of personnel risk otherwise is that the Swedish econ- which is expected to reach a level of over among engineering consultants and ar- omy will be shifted to the wrong track 3 per cent before the end of 2017, caused chitects has risen to the same high level as and lose its competitiveness, capacity for the Bank of England to raise its key in- it was at the peak of the economic boom growth and thousands of jobs.
terest rate in November, to 0.5 per cent. in 2007. As many as 76 per cent of the LENA HAGMAN But continued weak growth and salary companies suffered staff shortages during CHIEF ECONOMIST, ALMEGA, NOVEMBER 2017 trends suggest that it will be at least 2019 the third quarter this year, but the rate before the next increase in interest rates. of increase in the number of employees is not accelerating, see graph. In view of the WITHIN THE EURO AREA, no increase is ex- lack of personnel within so many com- pected to be made in the interest rates of panies, the number of employees should the European Central Bank (ECB) until be increasing faster. In other words, the 2020, since the inflation level in the area number of employees needs to increase is not judged to meet the inflation goal of much more quickly in order to meet the just below 2 per cent until that point in continuing strong demand for the sector. time. During October this year, the in- flation rate within the Euro area was on IN CONNECTION WITH the high utilisation a level of 1.4 per cent, and cleared for the of resources in Sweden, there is a ten- more volatile prices of food and energy, dency towards an increased outsourc- the inflation rate has fluctuated around ing of advanced service production for 1 per cent during 2017. A continued ex- foreign countries, or alternatively for in- pansive monetary policy on the part of creased import from external suppliers. 1 Weakening to a GNP growth of 6.2 per cent in 2018, the ECB is underpinning the increase for This may thereby compensate to a certain according to Oxford Economics’ forecast from October 2017. investments in Euro countries. It has also extent for a shortage of personnel in Swe- 2 See Investment Signals, October 2017, S ve ns k a Teknik&Designföretagen. been observed in the form of an increase den, and for companies maintaining their 3 See the EFCA Barometer for Autumn 2017, which is in incoming orders for European engi- level of competitiveness. The production published twice a year by the European Federation of European Consulting Associations, EFCA. neering consultants, primarily from the will in other words be more evenly dis- 4 Konjunkturinstitutets konjunkturbarometer, oktober private sector. tributed and integrated with activities 2017. The Swedish Economy Report published by the National Institute of Economy Research, October 2017 The increased growth and employment abroad. This specialisation is under way 5 See also the EFCA Barometer for Autumn 2017. levels during the upswing in the econ- for export-orientated service companies, 6 See also Almega’s Economy Report, November 2017.
SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 7 THE SWEDISH MARKET THE SECTOR’S DEVELOPMENT IN 2016 AND 2017 The engineering consultancy, industrial consultancy and archi- tectural sector continues to grow in Sweden. 11,000 companies turned over SEK 73.7 billion and employed a workforce of 60,500 in 2016. This is equivalent to a growth of 8% measured in turnover and 6% measured in number of employees. The sector is in a re- cord position in terms of orders, which has also had a positive effect on profitability. Average operating margin increased to 7.2% from 6.0% during 2015, and the average profit margin also increased to 7.2% from 5.8% during 2015. Turnover per employee increased to SEK 1,218,000 during 2016, from SEK 1,186,000 during 2015.
Companies in the sector The sector consists of some 11,000 com- Turnover in the Sector, MSEK 33000 33500
panies. 9,500 of these companies have 32300 Industrial consultancies Turnover 0–2 employees. 20 companies have more *) Mkr Building/Construction orientedconsultancies and architects in Sweden 28600 than 500 employees and 12 groups have 80000 27800 29600
more than 1,000 employees. During 2015, 29300
70000 28800
16 companies had more than 500 employ- 24500 24000 23500 ees and 10 more than 1,000 employees. 60000 23000 The consolidation trend is continuing, 20000 14300 45000 50000 45000 15600 and contributing to an increase in the size 43100 13200 41900 14900 13800
of the major groups and a decrease in the 40000 37000 12600
number of medium-sized companies. 11200 9800 30000 9800 The sector is defined in this report as 8400 7400 6400 5300
engineering consultancies within con- 4200 3500
20000 1200 3100 1100 2500 1200 struction, civil engineering and indus- 1600 try, as well as architectural firms. There 10000 31700 28200 13300 28000 15800 11800 17400 14500 19000 33000 52400 14700 21000 13200 24200 56500 58700 58700 10400 26700 36500 37500 46700 17100 10700 11400 12200 12100 are also a certain number of inspection 12000 0 and certification companies included in 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17p18p the review. The distribution according to Average number of employees in the Sector size is as follows: Industrial consultancies Marking the average number 29400 29600 Number of employees Number of companies Building/Construction oriented of employees in Sweden 29000 consultancies and architectse *) Number 25800 70000
501 – 20 25100 25800 25800 101 – 500 44 25500
51 – 100 51 60000 21100 23000 21400 21 – 50 170 21000 50000 11 – 20 235 18500 17500 14500 16700 16500 18700
3 – 10 980 14700 17000 14600
0 – 2 9500 40000 13500 16000 11600 12400 12800 12100 10500 13200 9500 12500 12600 1800 8500 11 000 12700 6300 1800 5400 11700 34200
30000 4500 34200 11100 2000 10900 33750 10600 33300 3300 10700 9250 10000 Key ratios 2500 8300 30000 28000 26900 The architectural, engineering consul- 26800 24900 20000 24500 24500 24000 23400 21700 21800 21550 21300 20500 21500 20400 tancy and industrial consultancy sector 20100 is continuing to grow in Sweden. Total 10000 31000 31000 45600 46800 46800 39900 44150 0 28200 25200 23000 20300 21200 21500 21600 22000 21000 21500 21800 23100 23000 22100 22700 23100 25100 26100 27400 26100 30200 27500 1 Companies which together turn over around SEK 2.5 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17p18p billion have been added in this year’s review. The actual growth is consequently 8% and not 13%. *) Of the building/construction-oriented consultancies architects represented 10 billion SEK in turnover and 8,500 employees in 2016. Certification and testing-oriented companies representing 2 Companies which together employ 2,000 personnel have been added in this year’s review. The actual growth 1.8 billion SEK in turnover and 1,700 employees are not included in the numbers above. is consequently 6% and not 10%. Source: The Swedish Federation of Consulting Engineers and Architects
8 SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 THE SWEDISH MARKET
turnover increased by 8 % to SEK 73.7 bil- tween 2015 and 2016. Average profit mar- lion, and the number of employees in- gin (profit/loss after financial items) -in Added value for creased by 6 % to 60,500. At the same creased to 7.2 %, from 5.8 % in 2015. Ex- the 300 largest groups kSEK/employee time, Swedish group’s foreign operations cluding the inspection and certification increased, largely due to acquisitions. firms, the profit margin was 7.4 %. Op- 700 The subsidiaries located abroad turned erating margin (after depreciation) was over SEK 16.9 billion and employed also 7.2 %, up from 6.0 % in 2015. Be- 15,800 people, compared with SEK 15.5 fore depreciation, the operating margin 650 billion and 15,000 employees last year. was 8.7 %, against 7.2 % in 2015. Net mar- The sector also includes a number of in- gin (profit for the year after tax) also in- 600 spection and certification firms. In 2016 creased, to 5.1 % from 3.9 % in 2015. they turned over SEK 1.8 billion and em- Value added per employee increased to 550 ployed a workforce of 1,700. SEK 856,000, which is a substantial in- Average turnover per employee in the crease over the SEK 688,000 that was re- 500 sector increased to SEK 1,218,000, from corded in 2015. The value added is equiva- SEK 1,181,000 in 2015. For operations lent to the increase in value that the com- 450 based abroad, the turnover per employee panies add in their production, and is also was SEK 1,187,000, a marginal increase expressed as the company’s contribution 400 over the figure of SEK 1,186,000 for the to GNP. In purely concrete terms, it is 02 04 06 08 10 12 14 16 year before. the company’s sales minus the cost of in- Source: The Swedish Federation of Consulting Engineers and Architects Profitability improved significantly be- put goods. The calculation is performed
Development by sectors
Turnover per employee, SEK thousand Profit after financial items per employee, SEK thousand 08 09 10 11 12 13 14 15 16 17p 18p 08 09 10 11 12 13 14 15 16 17p 18p The top 300 *) groups 1 037 1 017 1 065 1 130 1 161 1 150 1 165 1 182 1 230 1 246 1 246 78 46 85 92 88 64 67 69 91 94 93 Building construction 1 102 1 086 1 125 1 150 1 171 1 194 1 181 1 213 1 286 1 299 1 297 101 81 104 92 92 76 71 77 106 108 103 oriented of which Architectural firms 1 063 1 098 1 099 1 132 1 158 1 214 1 159 1 177 1 264 1 267 1 271 110 87 84 98 92 63 84 100 138 138 127 Engineering 1 107 1 184 1 129 1 153 1 174 1 093 1 184 1 219 1 290 1 306 1 302 101 80 107 90 92 79 70 73 106 102 98 consultancies Industrial consultancies 949 964 954 1 099 1 148 1 093 1 143 1 136 1 153 1 170 1 176 44 -17 45 91 82 49 61 58 70 75 79
Profit margins in Profit margins Change in payroll the top 300 groups Architect firms costs/employee Engineering consultancies Median Industrial consultancies % % 10 0 10 9 9 9 8 8 7 7 6 6 5 5 4 4 3 3 3 2 2 1 1 0 0 01 03 05 07 09 11 13 15 17p 18p 0 00 02 04 06 07 10 12 14 16 18p - 01 03 05 07 09 11 13 15 17p 18p -
-3 Source: The Swedish Federation of Consulting Engineers and Architects
SECTOR REVIEW • THE SWEDISH FEDERATION OF CONSULTING ENGINEERS AND ARCHITECTS • DECEMBER 2017 9