Conconcreto Posts 2Q 2024 Net Profit, Reversing Net Loss in 2Q 2023
Medellín-based multinational construction giant Conconcreto announced August 13 a second quarter (2Q) 2024 net profit of COP$20 billion (US$4.9 million) — a sharp improvement over the COP$1.5 billion (US$373,000) net loss in 2Q 2023.
Revenues also improved 1.4% year-on-year, to COP$272 billion (US$67.7 million), from COP$268 billion (US$66.7 million) in 2Q 2023.
The financial gains pushed the company´s equity to COP$1.43 trillion (US$356 milion), boosting “the short-term sustainability of the company and improving liquidity, mitigating the challenges of the sector in an environment of high interest rates,” according to Conconcreto.
As for first half (1H) 2024, Conconcreto has seen revenues drop 14% year-on-year, to COP$513 billion (US$127 million).
Operating profit so far this year has dipped 4% year-on-year, to COP$70 billion (US$17 million), but net income is up 342% year-on-year, to COP$20.8 billion (US$5.17 million), according to the company.
The construction segment closed 2Q 2024 with a backlog of COP$3.3 trillion (US$821 milion) and accumulated construction work totals COP$454 billion (US$113 million) — up 14.9% versus 2Q 2023, “driven by the housing construction business in the United States,” according to the company.
In its housing businesses, accumulated sales in Colombia hit COP$4 billion (US$995,000), “driven by sales in the ´Contree´ and ´Treebal´ [high-rise condominium] projects in Medellín, as well as the launch of the ´Bosscatta´ project in Bogotá,” according to Conconcreto.
“In the United States, sales amounted to US$7.5 million, a growth of 14.1% versus 2Q 2023 thanks to the launch of new projects,” the company added.
As for its investment business, “this segment continues to provide good results to the company, highlighting FCP Pactia [real-estate investment unit], which achieved an occupancy level of 96%,” according to Conconcreto.
As for its highway concessions unit in Colombia, “the positive impact of the increase in the toll rate on Vía Sumapaz (Vía 40) is recorded, as well as having achieved 50% progress in the [construction] works,” according to the company.
