YIT as an investment

Strong market position

YIT is one of the leading companies in its field in all its operating countries. YIT’s strategy has been to enlarge its service portfolio and business territory while maintaining good profitability. In 1994–2007, revenue has grown by 17 per cent and operating profit by 24 per cent annually on average.

The stability of business operations has been increased by expanding in the politically and economically stable Nordic countries and stepping up maintenance and servicing operations. This has enabled the rapid expansion of residential construction in the growing markets of Russia and the Baltic countries.

Growing profitably

The main goal of the strategy is to keep YIT on a profitable growth track. The company has set its sights on achieving average revenue growth of 10 per cent annually. The range of building system services is being rounded out in the Nordic countries. Construction is stepped up vigorously in Russia. Growth in services for industry is sought from the outsourcing of maintenance functions in Finland.

Profitability is raised by focusing on services in which YIT performs an extensive share of the work. The company’s objective is to raise operating profit to 9 per cent of revenue in the 2007–2009 strategic period.

A responsible company

The Group has defined principles for corporate responsibility that are followed in all operations. YIT complies with Corporate Governance guidelines that set out the principles of sound administration.

YIT has a distinct management style based on shared values and performance objectives. YIT’s corporate culture is strong. The major realignments in unit management and the organizational structure in recent years have primarily been carried out by means of internal transfers.

Active dividends

YIT’s target for the dividend payout is 40–60 per cent of the annual result after taxes and minority interest. The company is raising its dividend for thirteenth year in a row, which is a record in the Stock Exchange in Helsinki.

Last updated on February 22, 2008
InvestorRelations@yit.fi