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| Spain's ACS gains 570 million euros of net profit, 2.4% more in a like for like basis ACS, Actividades de Construcción y Servicios, S.A, one of the leading construction companies in the world, says its sales in the first nine months of 2016 accounted for 23,371 million euro, representing a decrease of 5.3% in a like for like basis, this means excluding the effect the exchange rate and the sale of renewable assets in the first quarter of 2015. This decrease is mainly due to the Construction activity, affected by the lower activity in Spain and the termination in Australia of large liquefied natural gas (LNG) projects during the first part of 2015. However, quarterly production at CIMIC has increased by 8% over the previous quarter, confirming the trend change shown in the second quarter and will continue to rise in following quarters. The geographical distribution of sales shows the broad diversification of the Group, in which North America accounts for 46.5% of sales, Europe 22%, Australia 15%, Asia 10%, South America 6% and Africa the remaining 1%. International sales account for 86% of the total. Backlog at the end of September of 2016 amounted to 62,138 million euros, 9.1% higher than in September 2015 ensuring future growth with an equivalent sales geographical breakdown. In fact, the larger proportion of the backlog in Asia Pacific is due to the mining service contracts whose length is much greater than in construction and engineering. Total EBITDA accounted for 1,513 million euro, decreasing by 2.2% on a like for like basis (adjusted by exchange rate impacts and the sale of renewable assets in Spain) Margin over sales improves in 20bp up to 6.5% . Likewise, EBIT stood at 1,119 million euros and increased by 6.6%, on a like for like basis, thanks to the good operating performance of the activities. The operational improvements and the significant reduction in financial expenses contributed to an increase of 14.1% of the attributable net profit of the activities, before corporate costs. It is worth noting that the Construction activity which grew by 44.7% as a result of the transformation processes implemented in Hochtief and its subsidiaries, and the increase in the stake thereof. Net profit in Industrial Services decreased by 2.0%, not considering the sale of renewable assets in the first quarter of 2015, as a result of the slowdown in the oil & gas projects in the Mexican market and the less investments in energy assets in Spain. For its part, Net profit from Environment area increased by 1.7% and includes the contribution of Urbaser as discontinued operations whose sale agreement to a Chinese investment group was signed last September and is pending regulatory approvals, scheduled for early December. The net profit of Grupo ACS in the first nine months of 2016 amounted to 570 million euros, similar to last year which included higher exceptional results in the corporation, mainly related to the shareholding in Iberdrola, whose complete divestment was made by end of March this year with the sale of the remaining stake. write your comments about the article :: © 2016 Construction News :: home page |