Dovre Group Plc | Inside Information | July 08, 2025, at 4:20 p.m.
Following the previously announced extensive losses, a deeper analysis has been conducted of the two wind farm projects under construction by Suvic's Swedish subsidiary, Storhöjden and Vitberget. The analysis indicates that insufficient management has resulted in underestimated effort requirements, faulty subcontracting, and delays in project completion. Despite these challenges, both projects remain technically successful.
Based on the updated analysis, the total loss from these two projects is now expected to exceed the previous estimate by approximately EUR 5 million, increasing the total estimated loss to EUR 23.7 million. Of this amount, the estimated loss attributable to Storhöjden is EUR 12.1 million, and to Vitberget, EUR 11.6 million. As previously announced on March 12, 2025, a total loss of EUR 18.7 million has already been recorded in the financial year 2024. The remaining finalization and landscaping work on both projects is expected to be completed by the end of October 2025.
Despite the loss-making projects, Suvic's order backlog enables the continuation of the company's operations, and the delivery of ongoing projects has not been jeopardized. However, within the next 12 months, additional financing needs are expected within the Suvic sub-group. The parent company's cash reserves are sufficient to cover these needs, and the parent company is assessing this as part of the group's overall strategy.
Dovre updates its guidance for 2025 based on the above.
New guidance for 2025: Dovre Group's net sales in 2025 are expected to slightly decline in comparison to year 2024. The Group's Operating Profit (EBIT) is expected to improve significantly, while still remaining negative.
Previous guidance for 2025 (released April 29, 2025): Dovre Group's net sales in 2025 are expected to slightly decline in comparison to year 2024. The Group's Operating Profit (EBIT) is expected to improve significantly.
The Board of Directors and management of Dovre have initiated an action program to develop Suvic. The implementation of the program will be accelerated when Suvic's new CEO, Markku Taskinen, assumes his position on August 4, 2025. In its release on May 22, 2025, the company announced that Taskinen would assume his role no later than September 22, 2025.
For further information, please contact:
Dovre Group Plc
Sanna Outa-Ollila, Acting CEO
Tel. +358 20 436 2000
sanna.outa-ollila@dovregroup.com
Ville Vuori, Chairman of the Board of Directors
Tel. +358 400 369 438
ville.vuori@qanaba.com
Dovre Group is a provider of renewable energy project development and construction projects in wind, solar, battery energy storage systems and heat pump facilities in the Nordic countries through Group companies Suvic Oy and Renetec Oy. In addition, Proha Oy provides project management software with related services and eSite provides industrial virtual reality services. Net sales for the Group in 2024 were 99.3 MEUR and it employs around 200 people. Website: www.dovregroup.com
Suvic founded in Oulu in 2017, operates in the Nordic countries with a focus on renewable energy construction. The company introduces new and innovative practices in design, construction, and project management. Its current projects include Renewable Power Capital Ltd.'s Storhöjden and Vitberget wind farms (Kramfors, Sweden), Vinliden Vindkraft AB's Vinliden North and South wind farms (Lycksele, Sweden), OX2's Rajamäenkylä wind farm (Isojoki & Karijoki), EPV Aurinkovoima Oy's Heinineva solar park (Lapua), Alight's Eurajoki solar park (Luvia), Fortum's heat pump plants for data center areas in Kirkkonummi and Espoo, as well as Renewable Power Capital Ltd.'s BESS project in Uusikaupunki. Website: www.suvic.fi
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