BWG Homes presents figures for two segments – Norway (Block Watne) and Sweden (Myresjöhus and SmålandsVillan).
The Norwegian and Swedish operations are organised and run as independent entities with full accounting responsibility for their own management. In accounting terms, the entities are monitored by means of regular reporting of the business areas to Group management and the Group’s Board.
The markets in Norway and Sweden have the same underlying drivers, such as supply of houses, interest rates, unemployment and migrations patterns. However, there are still considerable differences between the countries, which mean the business areas are subject to different market trends and risk. Their production methods are also different.
Segment Norway
The segment consists of Block Watne AS which develops, sells and builds houses in the Norwegian market. Block Watne develops large and small sites for housing developments, and then builds on these sites. The company also sells houses to customers with their own land. Operations are conducted from 21 regional offices – from Trøndelag in the north down to the south of Norway.
All construction activity is carried out at the construction site, and Block Watne normally has responsibility for the entire construction process. Sub-contractors are responsible for the foundations, infrastructure, plumbing and electricity.
Segment Sweden
The segment encompasses operations under the Myresjöhus and SmålandsVillan brands. Although the two brands are organised with joint management and administration, they have separate factories for house production.
Myresjöhus manufactures house components/ load-bearing structures at the factory, and assembly is carried out at the construction site by independent contractors. Typical customers are private individuals with their own land, other construction companies wanting houses for their own projects or customers purchasing houses on sites which Myresjöhus has developed.
SmålandsVillan manufactures house modules at the factory, where the majority of the building is completed. The majority of customers are customers with their own land.
Hetlandhus AS sells houses in the Norwegian market based on products manufactured by SmålandsVillan in Sweden. The Hetlandhus brand is still in its establishment phase and is not presented as its own segment.