YIT Oyj Q4 2021 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : Svante from Nordea. I have a number, but I guess I'm the only one in line, so I take them all. You say that the cleanup is complete, but can we trust it this time? And have you had enough time to go through all the segments?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : Okay. That's clear. And I mean you had quite a number of one-offs in '21. And just to be clear, on the more than EUR 100 million that you referred to as margin reductions and inventory write-downs, is most of that or all of that included in the adjusted EBIT numbers?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : So if I continue on that, if I take your report to EUR 114 million and reduce the LestijSrvi and add the EUR 100 million, then I come to EUR 170 million, which would correspond to 5.9% EBIT margin. So my question is, is your 6% '25 target lowballing?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : Okay. And then a detailed question on Mall of Tripla. You made a EUR 16 million write-down that corresponds to around EUR 40 million for whole of Tripla as you earn a bit below 40%. What was that, again, a 25 basis points increase in valuation yield?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : No. Basically, I'm -- I think it was some time ago that you told that you -- or the valuation yield on Mall of Tripla was increased by 25 basis points. Was that what happened again now in Q4?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : So it was more related to assumptions on rental income? Or was it the repair jobs that you had to do there?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : No, no, I'm just asking was there any changes in the valuation.

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : Okay. And then on your completion forecasts -- apartment completion forecast, I think Central and Eastern Europe is going down. But I guess that is where we are going to see the biggest increase going forward, given what you communicated at the CMD that 2/3 of growth investments will be made there in Housing Finland. Is that correct?

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : And then on the cost inflation, I think you -- if I understand correctly, you have been quite good at mitigating that. But what about -- have you seen any signs of decline in construction activity or project start because of the elevated cost level? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 04, 2022 / 8:00AM, YIT.HE - Q4 2021 YIT Oyj Earnings Call

Question: Svante Krokfors - Nordea Markets, Research Division - Analyst : And then the last one on the divestment -- potential divestment of Russian business. How does the geopolitical tensions play into that? Do you want to comment that anyway? Or do you believe that it's going to be a local buyer? Do you want to comment that on anyway?