BWG Homes AB, with Myresjöhus and SmålandsVillan, is Sweden’s leading producer of small houses. The core business of Myresjöhus is the development and production of standard houses for customers with their own plots of land, or as projects, either independently or with development partners. Myresjöhus produces the houses’ load-carrying components at its own production facilities. These are assembled and installed at the building site. SmålandsVillan develops and produces prefabricated standard houses mainly for customers with their own land. The company produces the house modules at its own production facilities at Vrigstad in Småland, and Sundsvall. The modules are dispatched to the construction site where they are assembled.
The market situation in Sweden was also very demanding in 2009 with high unemployment and a restrictive lending policy on the part of the banks, which particularly affected first-time home buyers. Despite these factors, margins were maintained throughout the year, even though reduced staffing and production capacity which continued into 2009 resulted in a decline in sales and earnings. Sales picked up in the second half of the year and the order backlog was at a satisfactory level at the end of 2009.
Operating income for 2009 amounted to NOK 1 057 million, a decline of NOK 656 million (38.3 per cent) compared with 2008. Earnings before finance and depreciations (operational EBITDA) was NOK 85 million, a decline of NOK 83 million (49.3 per cent). The operational EBITDA margin for 2009 was 8.1 per cent, compared with 9.8 per cent in 2008. The order intake for 2009 was NOK 1 294 million, an increase of NOK 105 million (8.8 per cent) compared with 2008. The order backlog ended the year at NOK 886 million, compared with NOK 717 million at the end of 2008, which represents an increase of 23.5 per cent.
The factories had periods of reduced operation in the first half of 2009, but from the second quarter capacity and the rate of delivery increased as a result of improved sales and an increasing order backlog.
At the end of 2009, the staffing level was 24.5 per cent lower than at the end of 2008. Project-oriented staffing has gradually risen from the end of 2009 into 2010 in response to sales development.
Continuous efforts are being directed towards developing better energy solutions for the homes of the future – in order to meet both regulatory energy requirements and demand for houses with lower heating costs. In 2009, a new type of outer wall – “Effektväggen” – was developed. The new wall, which is more weather-tight and better insulated, helps reduce heating costs in the house.
Market initiatives, property viewings and customer follow-ups are conducted with the emphasis on local activities. Myresjöhus launched its new “Attraktion” house catalogue with 49 architect-designed homes together with a catalogue of optional extras “Möjligheter”. SmålandsVillan has developed a new house called the “Villa Vetlanda”, and its new “Villaguiden” house catalogue was scheduled for launch in January 2010.