Dear Shareholders

Last year was an eventful one for Implenia. In early October 2018, we changed the Group’s operational leadership, as announced, by welcoming our new CEO, André Wyss. Implenia is pleased to have such an exceptional leader as André Wyss on board, with his many years of international experience in a global firm. The main focus in the fourth quarter was on conducting a comprehensive analysis of the Group’s current status – including identifying the reasons for previously communicated issues in certain units and projects, and defining the measures to counteract them – as well as on the development of our long-term strategy. This analysis gave rise to a new vision, mission and strategy for Implenia, as well as immediate measures to tackle the challenges already communicated.

The Board of Directors has been closely involved in the development of our new strategy, and it is convinced that this strategy puts Implenia on the right track for the future. Implenia is active in markets that benefit from long-term demand trends, such as progressive urbanization and increased mobility requirements. Our strengths and newly honed strategy will enable us to keep growing in these markets, as well as to exploit changes within the industry, such as increasing consolidation, industrialization and digitalization, as well as the rising demand for sustainable solutions.

In terms of its business results for 2018, Implenia is pleased to report strong revenue growth. This is primarily thanks to the results of the Infrastructure segment, but also due to the International and Switzerland segments. The Development segment also achieved another strong performance. However, results did suffer somewhat due to the various challenges uncovered in Norway, South Baden and at a subsidiary of Implenia Construction Germany in Poland.

Although the annual result for 2018 did not meet expectations, Implenia rests on solid foundations. The Board of Directors has therefore decided to ask Implenia Ltd.’s Annual General Meeting of 26 March 2019 to approve payment of a reduced dividend of CHF 0.50 per share (2017: CHF 2.00 per share). This will allow the Group to make the investments needed to put the new strategy on a good footing.

On behalf of the entire Board of Directors, I would like to thank you for your trust in us this past year. I look forward to your continued participation as a shareholder.

Hans Ulrich Meister
Chairman of the Board of Directors