Analyst Comment
GRK secured medium-sized orders from Finland and Sweden last week
Summary
- GRK secured medium-sized contracts in Finland and Sweden, including a 24.8 MEUR renovation project in Helsinki and a 16.8 MEUR bridge contract in Sweden, enhancing their order book.
- We assess these projects align with our expectations for GRK's ability to consistently secure new projects, thus not requiring changes to our current estimates.
- In our view, these contracts confirm GRK's competitiveness and help offset the anticipated revenue loss from the large Stegra project in Sweden, which concludes next year.
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Translation: Original published in Finnish on 10/6/2025 at 7:50 am EEST.
On Friday, GRK announced that it had won the City of Helsinki's tender for the renovation of Mäkelänkatu. The project, which is worth approximately 24.8 MEUR, will be carried out in 2025–2027. The company also won a 16.8 MEUR bridge contract in Sweden last week. These projects are medium-sized by GRK standards and will strengthen the company's order book. The order aligns with our expectations for the company's ability to consistently secure new projects. Therefore, these projects will not cause any direct changes to our estimates.
Medium-sized orders boost the company's order book
The contract that GRK won for the renovation of Mäkelänkatu is worth approximately 24.8 MEUR. The project is scheduled to run from October 2025 to October 2027, so the revenue will be spread out over several years. In Sweden, the design phase of the Oxdal bridge project will start in the fall. Construction will commence in January 2026, and the project is expected to be completed by the end of 2028. In addition to the construction of bridges, the contract also includes track work and the construction of connecting roads. These projects are medium-sized for GRK and therefore represent a valuable addition to the company's order book. GRK's order book stood at 789 MEUR (-8% y/y) at the end of Q2.
We expect the company to continue winning projects of this size
We expect GRK to continue winning projects of this size, so the news supports our existing projections but does not cause any pressure to change them. It is important for the company to offset the loss of revenue from the large Stegra project in Sweden in the coming years, as it will end next year. This order news confirms our view of GRK's competitiveness and reduces the uncertainty associated with our estimates.
GRK Infra operates in the infrastructure sector. The company's core competence includes the implementation of various infrastructure projects, project management of large and small projects and extensive railway expertise. Customers include the state, municipalities and cities as well as the private sector. In addition to the parent company GRK Infra Oyj, the GRK Group includes companies in each country of operation: GRK Suomi Oy in Finland, GRK Eesti AS in Estonia and GRK Sverige AB in Sweden.
Read more on company pageKey Estimate Figures2025-09-10
| 2024 | 25e | 26e | |
|---|---|---|---|
| Revenue | 728.4 | 826.3 | 779.2 |
| growth-% | 33.4 % | 13.4 % | -5.7 % |
| EBIT (adj.) | 45.6 | 57.0 | 50.3 |
| EBIT-% (adj.) | 6.3 % | 6.9 % | 6.5 % |
| EPS (adj.) | 0.93 | 1.12 | 0.98 |
| Dividend | 0.20 | 0.60 | 0.65 |
| Dividend % | 2.0 % | 3.5 % | 3.8 % |
| P/E (adj.) | 10.9 | 15.4 | 17.5 |
| EV/EBITDA | 5.2 | 8.1 | 8.6 |
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