HEIJMANS MAINTAINS ANNUAL FORECAST AFTER DISAPPOINTING FIRST SIX
MONTHS - FORECAST OF PROFIT AFTER TAX FOR 2007 MAINTAINED AT ¤ 95
's-Hertogenbosch - the Heijmans N.V. results for the first half of
2007 are disappointing, particularly due to the additional loss
provisions recorded by the Building Division. Heijmans is maintaining
its forecast of profit after tax for of the whole year 2007 at ¤ 95
million, with a profit per share of ¤ 3.95. This is based on the
ongoing positive results obtained by the residential development
sector, the successful decline in the portfolio of delivered unsold
non-residential property, the improvements in the orderbook of the
Building Division and slightly improving pricing levels together with
the anticipated higher production volumes for the Infrastructure
activities in Germany and the Netherlands for the second half of
2007. Revenues for 2007 are projected to grow to approximately ¤ 3.8
billion, primarily due to acquisitions. The orderbook at the end of
the second half of 2007 amounted to ¤ 3.6 billion which represents a
growth of 13% compared to year end 2006.
"The good orderbook together with a perceptible improvement in prices
will have a positive effect on the operating results for the second
half of 2007," according to Chairman Guus Hoefsloot, "and as expected
should be able to offset the Building Division's disappointing
results during the first half of 2007."
Highlights for the first half of 2007 compared with the same period
- Profit after taxes ¤ 19 million (first half of 2006: ¤36 million);
- Property Development Division Netherlands: strong position in owner
occupied homes is keeping results at a good level. Risk profile of
unsold non-residential property has significantly decreased;
- Building Division Netherlands: lower results due to additional loss
provisions recorded against projects contracted in 2005; drastic
- Infrastructure Division Netherlands: lower contribution by large
projects amongst others due to delayed starts; somewhat improved
price levels for regular infrastructure work;
- Foreign Operations: decrease in operating results in Germany.
Improved operating results in the United Kingdom.
- Orderbook at the end of June 2007 at ¤ 3.6 billion represents good
size and quality.
- Programmes have been initiated in relation to Central Purchasing,
Project Management, Management.
For the complete press release see attached PDF-file.