黑洞社区

Skanksa has warned investors it expects a weak UK construction market in the face of Brexit as the firm confirmed a 拢36m loss for its European construction arm in 2018.

Skanska said it was expecting a slow year for the UK construction market 鈥� weaker than in the any other country it operates in.

Its annual report notes: 鈥淚n the UK the uncertainty related to Brexit is limiting investments in the non-residential building market.鈥�

The warning came as Skanska revealed its construction turnover had increased by 5% last year, to SEK 158bn (拢13bn), while operating income fell 9% from 2017.

But the firm鈥檚 construction margin 鈥� 0.7% 鈥� was dragged down by a SEK 421m (拢36m) operating loss in its European division.

The figure comes after an 拢87m loss on European construction in 2017.

Anders Danielsson, chief executive of Skanska, said: 鈥淔or construction, 2018 was a disappointing year.鈥�

鈥淸But our] operating margin in construction in the fourth quarter was 2% and we expect strategic initiatives to further improve profitability during 2019.鈥�

Last month 黑洞社区 revealed that Skanska鈥檚 up for sale UK piling arm is still up for grabs after the frontrunner to buy the firm withdrew from the sale after judging the 拢55m asking price to be too high.

London concrete frames specialist Morrisroe, headed up by company founder Brian Morrisroe, was tipped to buy the 300-strong Cementation business at the end of November.

But it is now understood to have told Skanska that the Swedish contractor wants too much for the business.

It is believed that despite bidding more than half the asking price, Morrisroe鈥檚 offer was still 鈥渕illions鈥� short of what Skanska values the business at.