I wonder why that is, by the way? I haven’t looked into the construction industry that much, so perhaps there is an obvious explanation for this.
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Yes, the seasonality of construction is practically entirely due to weather conditions.
By the way, I’ll be interviewing Timo Vikström again on Monday in connection with the results. Post in the thread if any questions come to mind.
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Kreate is performing excellently. Inderes vs. actual. Revenue: 78 vs 97.6 EBITA: 0.6 vs 1.5. Orders: over 600 million - 689 million.
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Here are quick comments from Atte regarding Kreate’s strong Q1 
Kreate reported an all-around very strong first-quarter result, where both revenue and earnings clearly exceeded our forecasts. The result and growth were driven especially by an order backlog that has swelled to record levels and the new volume brought in by acquisitions, as a result of which the company broke its quarterly revenue record during its seasonally quietest period. In our view, the high order backlog and the strong start to the year provide the company with an excellent foundation for achieving the guidance raised at the end of the quarter.
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Atte interviewed Kreate’s CEO Timo Vikström regarding Q1
Topics:
00:00 Introduction
00:14 Historically strong result
00:47 Previous guidance upgrade
02:02 Data centers and private sector demand
04:13 Change in the shareholders’ agreement
05:15 Recruitment needs
06:03 Impacts of the Middle East
07:03 Norwegian market
08:55 Development phase projects
09:43 Sustainability of the volume level
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Here is a company report on Kreate from Atte following the Q1 results.
Kreate’s Q1 result was once again clearly stronger than our forecasts in terms of both growth and profitability. We believe the record-level order backlog will strengthen further during the spring, improving visibility for both the remainder of the year and next year. In our assessment, the market situation in Kreate’s main markets remains very positive. The company’s outlook has strengthened particularly in private sector accounts, and we believe Kreate’s competitive position is good in, for example, the growing data center construction segment. On the back of the solid order backlog and outlook, we are placing more weight on the future in our valuation. We raise the target price to EUR 20.0 (prev. EUR 16.0), and our recommendation remains at Accumulate.
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Kreate gets to work in Tampere, contract value 28 million: Kreate käynnistää maanalaisen suurhankkeen rakentamisen Tampereella – kehitysvaiheen tulokset ylittivät odotukset | Kauppalehti
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Great week for Kreate. Orders are pouring in. This week’s total is €107M. Not bad at all 
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City Council decided by 36–31 votes: A light rail system will be built in Turku
https://www.hs.fi/alueet/art-2000012009178.html
Potential work ahead for Kreate?
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It looks like the Turku tram infrastructure project went to others: Turun raitiotien allianssihankkeen palveluntuottajat on valittu - Konepörssi.com
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Investment broadcast analyst Jani Järvinen gives a three-minute update on Kreate’s current outlook
https://x.com/STNXfi/status/2056703069031707067
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OP’s initiation report can be found in its entirety here: Initiation Report.
And all analyst reports from Danske, Inderes, and OP can be found here: Analysts and Analysis - Kreate Group
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Here are Atte’s comments regarding Kreate’s Junatie metro bridge project
Kreate announced on Wednesday that it has signed the agreement for the implementation phase of the Junatie metro bridge renewal. Consequently, the company will record an order of approximately EUR 60 million in its Q2’24 order backlog. We consider the project’s transition to the implementation phase an expected step, as it has already been in the company’s development phase portfolio. We had expected the order to materialize during the first half of the current year, so this order, which is fully in line with our expectations, does not create any pressure to change our forecasts.
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Inside Information, Profit Forecast Revision: Kreate Group Plc raises its guidance for 2026: revenue EUR 600–650 million and EBITA EUR 21–26 million
Previous guidance published on 30 March 2026:
Kreate estimates that its revenue in 2026 will increase and be EUR 510–550 million (2025: EUR 315 million) and its EBITA will increase and be EUR 18–22 million (2025: EUR 10.2 million).
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It seems this profit warning was already baked into the share price. The upper end of the new EBITA guidance is starting to look appropriate for these price levels. On the other hand, it’s quite possible that they will easily overshoot those figures during the rest of the year. The company’s workload seems to be relatively high. The company prepared for this brilliantly by starting recruitment well in advance, and now they have the people to do the work. A pleasure to own!
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I would like to continue on why it is very possible that we aren’t done yet.
The company stated the following in connection with the 2025 earnings release:
Published Feb 6, 2026:
Kreate estimates that its revenue in 2026 will grow and be between EUR 430–470 million (2025: EUR 315 million) and its EBITA will grow and be between EUR 15–18 million (2025: EUR 10.2 million).
First caveat: these figures include the KFS figures for the first time, which add approximately EUR 30 million in revenue.
Update Mar 30, 2026
Kreate estimates that its revenue in 2026 will grow and be between EUR 510–550 million (2025: EUR 315 million) and its EBITA will grow and be between EUR 18–22 million (2025: EUR 10.2 million).
And here is today’s update:
Update Jun 16, 2026
Kreate estimates that its revenue in 2026 will grow and be between EUR 600–650 million (2025: EUR 315 million) and its EBITA will grow and be between EUR 21–26 million (2025: EUR 10.2 million).
All of this has been published within just over 4 months. In other words, the guidance has been raised by about 50% during this time.
Even though the company mentioned early in the year that there was good momentum (pöhinä), raising guidance that significantly in such a short time is really impressive. I suspect these guidance figures are given quite cautiously, as it seems they aren’t keeping pace with reality very well. And indeed, there are still 6 months left for new “warnings” (positive profit revisions) 
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I can’t recall the last time a construction company on the Helsinki Stock Exchange rose nearly 200% within a year. Regrettably, I have been trimming my position in Kreate in small increments throughout the rally, but it remains the largest investment in my portfolio.
If I have interpreted the market situation correctly, rock engineering is also starting to pick up. If this turns out to be the case, the acquisition of SRV’s rock engineering business was perfectly timed.
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And what’s best, as I recall, this SRV Infra had a much better margin than Kreate, at least last year.
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An extremely well-managed company. Others should follow this example.
I am, however, a bit intimidated by this pace of growth; hopefully, they can keep up with it.
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