Operating environment

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The corona pandemic continued to have an impact on the operating environment. Although the governmental restrictions eased at the beginning of the first quarter 2022, the omicron variant had an increasing impact on the level of sick leaves and absences. As a result of the Ukraine crisis, the geopolitical tensions were reflected as weakened economic sentiment in the EU in March 2022.

The building technology market continued to be impacted by the cost inflation. There have also been supply shortages and delays in some areas. Caverion has proactively taken various measures to optimise the supply chain and to manage pricing.

Services

In Services, the market demand and general investment activity remained positive.

Caverion has continued to see a general increasing interest for services supporting sustainability, such as energy management and advisory services, driven by regulation and the expected governmental and EU stimulus packages supporting investments in green growth. There has also been increasing interest towards long-term and large-scale service agreements.

Projects

In Projects, the market demand remained stable during the first quarter of 2022.

The market was impacted by increases in material prices, delays in decision-making and supply chain as well as uncertainty in the business environment.



Digitalisation and sustainability are our key themes 

Built environments are a major source of carbon emissions today:

  • 30% of the human carbon footprint comes from buildings.
  • 40% of EU’s final energy is consumed in buildings.
  • 20% of CO2 emissions can be reduced by digitalisation.


We consider digitalisation and sustainability as the key themes driving our future growth. Sustainability needs, in particular, are growing rapidly. Furthermore, other megatrends such as increasing use of technology and urbanisation are supporting Caverion’s growth.

Towards more sustainable investments

Changes in the EU legislation (EBPD) with increased focus on sustainability and carbon neutrality are driving industry growth. Government and EU-level corona-related stimulus packages are focusing development efforts toward sustainable investments over the coming years. Customers are expecting greener solutions and sustainability is becoming a decision criterion.

New consulting services (such as SRI, energy efficiency) and new digital services offer our customers:

  • Reducing costs (improved efficiency and productivity)
  • Generating energy savings
  • Serving to meet sustainability targets and legal requirements
  • Promoting sustainable recovery after corona pandemic
  • Enhancing property attractiveness.

We have taken into account the EU taxonomy requirements applicable to listed companies as of the beginning of 2022. The next goal is to align non-financial reporting and targets with the EU taxonomy.

Digitalisation will revolutionise our industry

New data-driven analytics and new technologies emerging enable developing smart, resilient buildings and cities that are technologically enabled, connected and agile and that both improve the operational efficiency of the buildings/cities and enhance the quality of life for theirs for residents.

Further digitalisation will benefit us in many ways through our solutions:

  • Complete, intelligent solutions and services with life cycle approach
  • New digital solutions (remote services, platforms, etc.), smart technologies (building automation, security and safety, cooling & refrigeration, telematics, etc.), IoT & AI powered solutions, industrial maintenance consulting, management and development to improve efficiency
  • Renewing digital service portfolio and offering new digital tools to improve customer experience.