Ferrovial success outside Spain
By Sandy Guthrie27 July 2012
Spanish group Ferrovial's construction division reported €2 billion in revenues for the first half of 2012, an improvement of 2% year-on-year, but with 68% of its construction backlog for projects outside its home market.
With earnings before interest, tax, depreciation and amortization (EBITDA) up by 56%, to €161 million, the construction division maintained the trend of previous quarters, and Ferrovial said that the international growth mitigated the decline in activity in Spain.
International revenues in this division expanded by 27% in the period. Of the total construction backlog, which amounts to €9.5 billion, €6.6 billion are in international projects, and the remaining 32% (€2.9 billion) are in Spain.
The group said its construction subsidiaries Poland's Budimex and Webber in the US saw double-digit growth in revenues. Budimex increased revenues in by 25% to €687 million, and Webber's revenues rose by 43% to €276 million.
Ferrovial said the construction division had landed the Highway 407 East Extension contract in Ontario, Canada, among other projects.
The Ferrovial group, which also includes services and airports, reported combined EBITDA amounting to €440 million, a 15.2% increase compared with the first half of 2011. Ferrovial said it had extended its international footprint with international activities accounting for 62% of revenues, 58% of the backlog and 43% of EBITDA.
It said these results did not reflect a services contract in Sheffield, UK, worth around £1.4 billion pounds (€1.8 billion), whose financial closure is expected during 2012.