Operational net profit up 12% to EUR 450 million, or +18% on a comparable basis Solid sales growth of 7% year on year driven mainly by Turner Nominal net profit of EUR 579 million, +61% on a comparable basis, driven by strong operational profit growth and a EUR 147 million net one-off, non-cash gain at CIMIC (in Q2) Strong operating cash flow of EUR 1.8 billion last twelve months (LTM), up EUR 432 million year on year; sustained high cash conversion Strong new orders growth sustained with EUR 32.1 billion, up 15% year on year Strategic focus on growth markets (approx. 50% of new orders) and vast majority with lower risk profile Record order backlog of EUR 66 billion, up 18% FY 2024 guidance reiterated: operational net profit of EUR 560–610 million (up to +10% year on year) Positioned to further expand presence in strategic growth markets HOCHTIEF has delivered a solid performance during the first nine months of 2024 marked by a solid increase in profits, sales and net operating cash flow. This growth is further supported by the continued strong expansion of the order book driven by a further significant rise in new orders. Furthermore, the Group has made important progress in its strategic development with several important transactions. “The future of the infrastructure sector is being driven by digitalization, demographics, decarbonization and deglobalization. The Group has positioned itself as a leading infrastructure and services provider and is well on track to meet the rising demand driven by these megatrends”, says CEO Juan Santamaría. Group sales of EUR 23.6 billion show a 7% increase year on year driven mainly by our U.S.-based business Turner. HOCHTIEF’s operational net profit rose 12% to EUR 450 million or 18% on a comparable basis. The nominal net profit of EUR 579 million, up 61% year on year on a comparable basis, was mainly driven by the strong operational profit growth and a EUR 147 million one-off, non-cash gain, net of provisions in the second quarter at our Australia-based business CIMIC. Looking at the last twelve months, operating cash flow stands at a strong level of around EUR 1.8 billion, up EUR 432 million and reflecting a high level of cash conversion. The cash flow performance for the nine-month period includes the characteristic seasonal movement seen during the first quarter of the year. HOCHTIEF ended the period with a net debt position of EUR 1.66 billion driven by strategic capital allocation decisions taken during the period as well as seasonality. Adjusting for the full consolidation of Thiess, the Abertis capital increase, bolt-on M&A, f/x effects and the HOCHTIEF dividend, net cash would stand at EUR 790 million. For the fourth quarter HOCHTIEF expects a strong operating cash flow performance. The strong growth trend in our orders has continued during the first nine months of the year. New orders rose 15% year on year to EUR 32.1 billion. These new orders include several important advanced-tech (particularly in the fast growing data center market), energy transition and sustainable infrastructure projects, with strategic growth markets accounting for around 50% of the Group’s total new orders. In addition, HOCHTIEF continues to perform strongly in the civil works and building markets where we have a leading presence stretching back several decades. As a consequence, the Group’s order backlog ended September 2024 at a record level of EUR 66 billion, up 18% year on year. Group OutlookHOCHTIEF is well positioned for the future based on its solid, long-standing local positions in its key developed markets, its geographical and currency diversification and a significantly derisked and expanding order book. The guidance for 2024 is to achieve an operational net profit of between EUR 560 and 610 million which represents an increase of up to 10% compared with last year subject to market conditions.
