Key events: integration of the concession activities into Ferrovial Infraestructuras, opening of new toll roads, acquisition of Sydney airport, and inclusion in the Dow Jones Sustainability Indexes
Excluding extraordinary items, net profit rose by 29%
Operating profit increased by 38% to 335 million euros: non-construction activities contributed 73% of the total, and concessions alone contributed 46%
Consolidated revenues increased by 22% to 3.575 billion euros: construction (+12.4%), concessions (+35.2%), property development (+106.5%) and services (+54.8%)
The construction backlog amounted to 5.889 billion euros, the real estate backlog to 863 million euros and the services backlog to 825 million euros
Ferrovial had a net cash position of 228 million euros in September
Gross capital expenditure amounted to 748 million euros
Net profit attributed to the controlling company increased by 136% to 394.7 million euros in the first 9 months of 2002, or by 29% excluding extraordinary items, which were mainly generated by the sale of 40% of Cintra, Ferrovial´s toll road subsidiary. All the group´s business areas continued to make considerable progress between January and September; margins and the main operating figures (backlogs and toll road traffic) performed positively, ensuring activity in the coming months.
Operating profit climbed 38% to 355 million euros and the operating margin improved to 9.9% (8.8% in September 2001). Concessions provided 46% of the total operating profit (non-construction activities as a whole accounted for 73%).
Net revenues increased 22% year-on-year to 3.575 billion euros; all business lines expanded considerably. The rapid pace of production in Spain increased construction revenues by 12.4%, and concession revenues rose 35.2% due to revenue growth at the Canada and Ausol (Málaga-Estepona) toll roads and Bristol airport (UK) and the greater contribution from toll roads in Chile. Real estate sales rose by 106%, boosted by the considerable increase in homes delivered. Service revenues rose 54.8%.
Sales abroad amounted to 958 million euros in September and accounted for 27% of total group revenues; Poland, Portugal, Canada and Chile were the main contributors.
Gross capital expenditure amounted to 747.6 million euros, mainly in concessions (400 million euros), to acquire a stake in Sydney airport (233 million euros) and an additional 5.8% interest in the 407 Express Toll Route (Toronto, Canada), as well as property development (land purchases-296 million euros).
Ferrovial had a net cash position of 228 million euros in 30 September 2002, compared to 595 million euros in debt in September 2001. The cash position was up 106 million euros on June 2002.
Ferrovial was Spain´s first construction group to be included in the Dow Jones Sustainability Index - the world´s main benchmark for companies committed to sustainability.
Construction and concessions - major growth engines
Construction revenues increased by 12.4% to 2.692 billion euros in September 2002 (reflecting the strong pace of production in Spain), boosted by the construction works on the M-45 toll road and the Artxanda tunnels (Bilbao) and Estepona-Guadiaro toll road (Málaga), which were opened in recent months. Despite this intense activity, the construction backlog increased year-on-year by 9% to 5.889 billion euros at 30 September.
Concession revenues climbed 35.2% to 333.2 million euros, with substantial contributions from the 407 ETR (Canada, revenues +35%) and Ausol (Málaga-Estepona, +15%) toll roads, and a greater contribution from airports and from the road tolls in Chile. Three toll roads were opened in the last nine months: the M-45 toll road, the Artxanda tunnel, and the Estepona-Guadiaro stretch in Málaga (Ausol II), which was opened in August.
Ferrovial grouped its transport infrastructure concessions business (toll roads, airports and car parks) into Ferrovial Infraestructuras in September. The new holding company has 1.466 billion euros in equity and is made up of 60% of Cintra - which deals exclusively with toll road concessions - and 100% of Ferrovial Aeropuertos and Cintra Aparcamientos.
Continued growth in property development and services
Property sales also grew considerably, increasing by 106% to 452.5 million euros in September as a result of the rapid pace of deliveries in the last 9 months. The property backlog (863 million euros) was similar to 2001, as was the pre-sales figure (457 million euros), boosted by new developments which reached the market in the last two months.
Services revenues increased by 54.8% to 244.3 million euros and the services backlog rose by 14.4% on September 2001 to 825 million euros. Eurolimp (acquired at the end of 2001) contributed 63 million euros in revenues.