Five reasons to invest in Netel

.1

Markets are driven by strong megatrends

The markets for critical infrastructure are driven by three powerful megatrends: climate change, digitalisation and the need to modernise the infrastructure. Climate change is leading to the electrification of society, which means that the capacity of power grids must be expanded. The introduction of more renewable energy sources, such as solar panels, also requires investments in the power networks. The digitalisation of society demands greater capacity from the networks for fixed and mobile traffic. Countries that still have old cable and copper networks, such as the UK and Germany, need to invest in fibre to cope with digitalisation. Large parts of the infrastructure for water and sewage in Europe are obsolete and in urgent need of modernisation. These megatrends put us in a good position to continue growing in the long term.

.2

Growing organically through competent employees and good managers

Our employees are our most important asset and Netel’s success depends on the skills and dedication of its employees. We believe that motivation is created through freedom with responsibility, short decision-making paths and close dialog between all employees. Further development and safe workplaces are fundamental to creating a good working environment. We place clear requirements on managers to take responsibility for both daily operations and every employee’s well-being and development. Leadership assumes working in a solution-oriented way together with the employees and external parties. With motivated, competent employees and good managers, we can continue to develop our business and grow organically with both new and existing customers.

.3

Focus on profitability

Profitability and cost control are central to our everyday work. We see many opportunities to increase profitability beyond cost control. The new organisation created in 2024 makes it possible to work more closely within the divisions and to coordinate resources between different geographical areas. In 2023–2024, we invested in new digital tools and business systems that create the conditions for better project management, enhanced efficiency and better customer offerings. In 2021–2023, we made more than a dozen acquisitions and there are many opportunities to continue developing these companies and improving their profitability.

.4

Ambitious sustainability work

Strong awareness of sustainability with respect for the environment, climate and human rights is a prerequisite for creating a strong employer brand, motivated employees and good long-term customer relationships. We actively work with customers and suppliers to reduce greenhouse gas emissions together. The Science Based Targets initiative (SBTi) has validated our emission targets. We are convinced that active sustainability work and science-based climate targets are necessary prerequisites for continuing to be a sought-after supplier of critical infrastructure.

.5

Record-breaking order backlog of SEK 4.0 billion

The record-breaking order backlog is a result of our long-standing customer relationships, strong local presence and specialist expertise in critical infrastructure. The order backlog extends into 2027, although most of the contracts cover 2025–2026. The order backlog is proof that we have an attractive offering and a strong market position.