Results slip at Bouygues

Contractor Bouygues reported a 2% year-on-year drop in sales for the first half of 2013 to €15.2 billion, while operating profit slipped €120 million to €356 million.

The company’s construction businesses – Bouygues Construction, Bouygues Immobilier and Colas – reported stable results, but year-on-year falls at the company’s telecom unit dragged the overall figures down.

Bouygues said it expected profitability to improve in the second half, adding that 2012 should mark the low point in the group’s profitability.

The construction businesses reported operating profit of €210 million fopr the first half of the year, down €2 million year-on-year. Revenues stood at €11.7 billion for the first half, up 2% compared to the first six months of last year.

Operating profit at Bouygues Immobilier was stable year-on-year at €84 million, while Colas reported an operating loss of €76 million in the first half of 2013, €42 million deeper than in the first half of 2012. The company said this was mainly due to unfavourable weather conditions in the first half, especially in mainland France and North America.

Bouygues Construction reported operating profit of €202 million in the first half of 2013, up €39 million on the first half of 2012 – a result that the company said reflected good execution of on-going projects.

For the full-year, the contractor said it expected its construction businesses to report consolidated sales of around €33.2 billion and €33.4 billion – a stable result compared to 2012.