Get 40% Off
💰 Buffett reveals a $6.7B stake in Chubb. Copy the full portfolio for FREE with InvestingPro’s Stock Ideas toolCopy Portfolio

ACS posts 17% rise in 2023 profit stoked by construction overseas

Published 29/02/2024, 17:36
© Reuters. FILE PHOTO: The logo of Spanish construction conglomerate ACS is displayed atop the company's building in Madrid, Spain, February 10, 2023. REUTERS/Violeta Santos Moura/File Photo
ACS
-

By Corina Pons

MADRID (Reuters) -Spanish builder ACS on Thursday posted a higher-than-expected 17% rise in 2023 net profit as it continues to benefit from its construction portfolio in the United States and Australia, and from toll-road businesses.

It said it netted 780 million euros ($842 million), while revenues rose 6.3% from a year earlier to 35.73 billion euros.

Analysts polled by LSEG had expected, on average, a 5.6% rise in revenues and 2.3% increase in profit.

The road concession business generated 206 million euros in profit, 5.7% higher than a year ago, as motorway traffic exceeded pre-pandemic levels.

Abertis, the toll road concession company in which ACS holds a 50% stake, increased its contribution to the group net income by 25% to 179 million euros.

On the back of strong results from construction activities also in its home country, the company said in late 2023 it had begun to evaluate possible sale of its services unit Clece, which operates mainly in Spain.

ACS is following the same strategy as its main domestic rivals such as Ferrovial and Sacyr, that both have sold their services businesses in the last few years to focus on construction and concessions activities.

ACS' activities in North America accounted for 66% of total construction revenues, after the company won projects to build new airport terminals, stadiums and highways, mainly in the United States.

($1 = 0.9258 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.