SSAB Green Coat
SSAB Green Coat

Ruukki Construction

Sustainable building and construction products and services in Europe

Fast facts

Number of employees: Approximately 1,400

Share or SSAB Group's total EBITDA: 13% (2020)

Revenue in 2020: SEK 5,516 million

Head of Ruukki Construction: Sami Eronen (1971)

Share of SSAB Group's revenue: 8% (2020)

Ruukki Construction offers sustainable building products and services such as roofs, envelopes and frame structures. Core business segments are non-residential and residential construction. Ruukki Construction has operations in 10 countries and production units are in Finland, Poland, Sweden, Estonia, Lithuania and Ukraine. Ruukki’s customers are active in construction and real estate sectors.

Environmentally-aware construction has become normal practice. Alongside environmental awareness, customers’ requirements include the construction of high-quality, healthy buildings. Ruukki is responding to evolving requirements by offering customers the best products and solutions to promote sustainability. Examples of this include increasingly more energy-efficient panels and the Ruukki Life panel, which is mostly made from recycled material which cuts carbon dioxide emissions originating in production by as much as 20%.

Market position

Ruukki Construction has a strong market position in residential and non-residential construction in Finland, Scandinavia, the Baltic states, Poland, the Czech Republic and Slovakia, which are Ruukki’s key geographical market areas.


Demand drivers and trends

Construction business cycles impact greatly on demand in Ruukki Construction’s market area. Recent years have seen strong demand in the construction markets in the Nordic countries and in Europe, but growth is now gradually plateauing. Alongside this, demand and the markets are being driven strongly by trends such as digitalization, consumer behavior, urbanization and sustainable construction.
Market position

Strengths

  • Recognized brand in core markets and customer segments
  • Product and service innovations
  • Reliability with high quality, sustainable and certified products as well as extensive warranties
  • Strong know-how in steel-based building products

Strategy

Ruukki Construction has over the past years divested non-core businesses and created a foundation to achieve profitable growth. Following completion of the divestment of Building Systems business unit in May 2020, Ruukki Construction is able to fully focus on growth in its product businesses within Roofing and Building Envelopes in the core market areas: the Nordics, Baltics and CEE. During past years, Ruukki Construction has successfully grown strongly in its core businesses.

 

Ruukki Construction will continue to develop the core business units, with SSAB as its main steel supplier. Ruukki Construction’s goal is to offer its customers complete roofing and building envelope product deliveries, including design and technical support. In its core business, Ruukki Construction focuses on outperforming construction market growth, both organically through an already launched commercial excellence program and portfolio development as well as by considering acquisitions to strengthen the offering in prioritized segments and markets

Strategic focus areas and targets

  • Safety 
  • Outperform the general construction market growth in core markets
  • Continuous improvement in unit cost and capital efficiency
  • “SSAB ONE in Ruukki” implementation
  • Reach an EBITDA margin of more than 10% in 2022
 
Customers and end users

Customers and end-users

Core business segments:

  • Non-residential construction
  • Residential construction
  • Industrial construction

Ruukki Construction’s customers operate in many activities in real estate and construction. The most important decision groups are:

  • Architects and structural designers
  • Main contractors and installation companies
  • Real estate owners and developers
  • Residential roofing dealers and tin smiths
  • House owners

Products and services

  • Steel roofs, rainwater systems and accessories for residential construction
  • Components such as sandwich panels, load-bearing sheets and façade claddings for non-residential construction
  • Frame solutions used in non-residential buildings 
  • Bridges
  • Design and installation services

Ruukki Construction has production units in Finland, Poland, Lithuania, Sweden, Estonia and Ukraine. Ruukki Construction’s major steel supplier is SSAB Europe. There are also external steel suppliers, mainly in CEE and Russia. Competitiveness is secured by market level pricing from all suppliers.

Competitors

Steel-based building product suppliers Kingspan, Lindab, and locally Areco & many other smaller companies

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