Conconcreto 3Q 2024 Net Income More-Than-Doubles Year-on-Year
Medellin-based construction giant Conconcreto announced November 13 that its third quarter (3Q) 2024 net income jumped by 293% year-on-year, to COP$238 billion (US$53.7 million).
“Despite the current macroeconomic context — characterized by low growth in the Colombian economy, especially in the construction sector, and a slower-than-expected decline in inflation and interest rates — the company has demonstrated its ability to successfully execute its projects,” according to Conconcreto.
While profits dramatically improved, revenues actually fell 16% year-on-year, to COP$442 billion (US$99.8 million), “mainly due to the reduction in the participation in the ‘Vía 40 Express’ concession and lower execution in construction services due to the exit of the ‘Ruta 40’ consortium,” according to the company.
Meanwhile, Conconcreto’s cash position has decreased “due to the disbursements made by the company to support the working capital necessary for the execution of construction projects,” according to the company.
Operating income also improved year-on-year, to COP$101 billion (US$22.8 million), with an operating margin of 13.2% — 280 basis points higher than in 3Q 2023.
“The improved result was due to other profits that increased by COP$18 billion (US$ million) due to positive results in the appraisal of the assets of [real estate investor] FPC Pactia,” in which Conconcreto is a partial shareholder.
As for its construction and infrastructure backlog, Conconcreto reported a total of COP$3.2 trillion (US$772 million) equivalent to 3.2-years of execution, according to the company.
