Hochtief H1 profit rises 18%, hits top end of 2025 guidance

Investing.com -- Hochtief (ETR:HOTG) on Wednesday reported an 18% increase in operational net profit to €355 million for the first half of 2025, reaching the upper limit of its full-year guidance. Adjusted for foreign exchange, profit rose 22% from the prior-year period.

Revenue climbed 25.4% to €18.37 billion, or 29% adjusted for currency. Operational profit before tax rose 32.9% to €588 million, with the margin improving by 20 basis points to 3.2%. EBITDA increased 23.9% to €1.02 billion. 

Nominal net profit rose 10.2% to €481 million, including €126 million in net one-off gains, primarily from the Flatiron transaction completed in Q1.

The company maintained its full-year operational net profit forecast of €680 million to €730 million, implying up to 17% growth over 2024.

New orders totaled €26.1 billion, up 22.5% year-over-year and 26% on a currency-adjusted basis. 

The order backlog stood at €69 billion, up 4.7%, or 15% adjusted. Roughly 55% of new orders came from strategic growth markets, with over 85% of the backlog in lower-risk contracts.

Turner reported €12.2 billion in sales, up 41%, and a 59% rise in operational PBT to €392 million. Its margin improved 30 basis points to 3.2%. 

Operational net profit rose 61% to €283 million. New orders increased 23% to €16 billion, with a backlog of €33.1 billion, up 10%. Net cash grew by €298 million to €2.7 billion.

CIMIC’s revenue rose 26% to €5.3 billion, supported by full consolidation of Thiess. Operational PBT increased 20% to €232 million. 

Operational net profit was stable at €126 million. New orders rose 9% to €6.6 billion, while the backlog fell 6% to €23.2 billion. Net operating cash flow was negative €451 million.

The Engineering and Construction segment posted €801 million in sales, down 55% due to the transfer of Flatiron into a joint venture. 

On a comparable basis, sales rose 14%. Operational PBT rose 1% to €40 million, while operational net profit rose 15% to €33 million. 

New orders increased 64% to €3.4 billion, with a backlog of €12.7 billion, up 13%. Net cash was €690 million.

Abertis, in which Hochtief holds a 20% stake, contributed €36 million to operational results. 

Hochtief received a €119 million dividend in Q2. Abertis acquired a 51% stake in France’s A-63 highway. Average daily traffic rose 3%.

Group operating cash flow for the last 12 months before factoring was €1.98 billion, up €495 million.

For H1 2025, it reached €186 million, up €149 million. Net operating cash flow for the period was negative €177 million. 

Hochtief cited seasonal effects, capital allocation, and currency impacts. Adjusted, net cash would have improved €977 million.

Net debt stood at €1.41 billion, compared to €1.12 billion a year earlier. Liquidity totaled €5.8 billion. 

The company confirmed a €5.23 per share dividend for fiscal 2024, a 19% increase and a 65% payout ratio.