BAM forecasts net profit in 2006 of approximately €130 million and maintains dividend

30 November 2006 08:06 - Royal BAM Group nv
  • Net profit for first nine months of 2006: €68.5 million
  • Dramatic loss recorded by Wayss & Freytag Schlüsselfertigbau
  • Favourable operational results from other activities
  • Turnover growth in first nine months of 2006: +11%, organic: +4%
  • Order book at a record level: €13.0 billion
  • Strategic agenda 2007 - 2009 formulated

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Course of business during first nine months of 2006

Over the first nine months of 2006, Royal BAM Group recorded a net result of €68.5 million (2005: €111.1 million). This result includes a loss in Germany of €110 million. As announced on 20 November 2006, the forecasted loss for 2006 of the German non-residential construction company Wayss & Freytag Schlüsselfertigbau has been raised to €115 million. Despite the favourable operating results from the other activities, BAM expects that it will be unable to achieve ist profit forecast for 2006 (approximately €180 million) as announced when the half year figures were published. Based on current information, BAM expects to record a net profit of approximately €130 million for the 2006 financial year.

Turnover for the first nine months of 2006 was approximately €5.8 billion (2005: €5.3 billion). One reason for the increase is the financial consolidation as of 1 February of the participating interest in AM. Property developer AM operates independently and with its own identity at arm's length from BAM.