logo
Share SHARE
FONT-SIZE Plus   Neg

Ballast Nedam Slips To Loss In FY12, Suspends Dividend; Shares Down

Shares of Dutch construction and engineering firm Ballast Nedam (BLSNF.PK) fell about 7 percent Friday morning, as the firm reported a loss for fiscal 2012. At the same time, the board decided to refrain from paying a dividend for the year.

The company noted that its current dividend policy is to place 50 percent of profit for distribution as dividend. But, it has made a substantial loss in 2012, solvency deteriorated, and the difficult market conditions are expected to continue.

As a result, the board has decided to refrain from paying a dividend for 2012. Dividend for 2011 was 0.47 euros. In view of the loss incurred and loss of more than 500 jobs, no bonuses will be paid for 2012, the company added.

For the full year, the company posted a loss of 41 million euros, compared to profit of 9 million euros in the previous year. Loss per share was 4.24 euros, as against a profit of 0.93 euros per share a year ago.

Loss before income tax was 38 million euros, compared to a profit of 12 million euros in the prior year.

Operating loss was 31 million euros, following 49 million euros of reorganization expenses and impairment losses on land positions, and property, plant and equipment. In 2011, operating profit was 19 million euros.

Earnings before interest, taxes, depreciation and amortization or EBITDA, plunged to 2 million euros from 47 million euros a year earlier.

Annual revenues declined to 1.3 billion euros from 1.38 billion euros reported last year. Order book was 1.76 billion euros, down from 1.95 billion euros a year earlier.

Theo Bruijninckx, CEO of the company said, "Our strategic choice in 2012 was to move where possible from the persistently poor, and strongly capacity-driven, markets. We are continuing to focus on the markets in which Ballast Nedam is able to add value in a distinctive way."

For full-year 2013, the company expects operating profit of about 15 million euros.

In Amsterdam, Ballast Nedam shares are currently trading at 11.38 euros, down 6.95 percent.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Bimbo Bakeries is recalling packages of certain bread products across 11 states, after it received three consumer-reports of small pieces of glass found on the outside of the bread. Design software maker Autodesk, Inc. said Thursday after the markets closed that it swung to a second quarter loss, hurt by lower revenue and a hefty tax charge. However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations, but its quarterly revenue fell short of analysts' forecast. GameStop reported an increase in second-quarter profit, driven by strong same-store sales growth and improved margins, partly offset by a stronger dollar and one-time charges. Both earnings and sales surpassed Wall Street estimates. The video-game retailer lifted its guidance for 2015. GameStop shares gained about 2 percent in after-hours trade.
comments powered by Disqus
Follow RTT