By Ed Frankl
Hochtief AG said Monday that first-quarter profit and sales rose, driven by its Asia Pacific division and Abertis toll-road business.
The German construction company said operational net profit came to 118.2 million euros ($124.7 million) in the three months to the end of March, up from EUR99.2 million in the same period last year.
Sales in the period rose 8.1% to EUR5.33 billion, particularly strong at its Asia Pacific and Americas businesses, while orders rose 10.1% to EUR6.51 billion.
The Essen-based company’s profit contribution from Abertis increased by EUR8 million to a positive of EUR5 million, with 1Q traffic volumes now above the same period of 2019.
Hochtief added that its squeeze-out process for all outstanding shares in its subsidiary Cimic is expected to be completed by the end of the second quarter, valued in total at EUR940 million. The company said it had more than 96% of shares in Cimic in early May.
On Friday, Cimic shares ceased trading on the Australian stock exchange.
Hochtief, 50% owned by Spain’s Actividades de Construccion y Servicios SA, confirmed its full-year forecast and expects operational net profit of EUR475 million-EUR520 million, up between 5% and 15% on year.
It said the global economy is facing significant inflationary and supply-chain pressures, but that it is well-positioned to actively manage these challenges.
Write to Ed Frankl at [email protected]
Credit: www.marketwatch.com /