Construcciones El Condor Sees 2Q 2017 Profits Jump Nine-Fold
Medellin-based construction giant Construcciones El Condor announced August 11 that its second-quarter (2Q) 2017 net income rose nine-fold year-on-year, to COP$159 billion (US$53.6 million), while revenues jumped 55%, to COP$455 billion (US$153 million).
Earnings before interest, taxes, depreciation and amortization (EBITDA) rose five-fold, to COP$226 billion (US$76 million), according to the company, which focuses mainly upon highway construction.
Operating revenues for first-half 2017 were COP$275 billion (US$92.7 million), up 62% over the same period last year “mainly due to considerable construction revenues in [Colombian highway] projects which are in the construction stage as is the case with Pacifico 2, Pacifico 3, Transversal de las Americas and Ruta al Mar among others,” according to the company.
“The company expects to continue achieving its revenue budgets, which could generate an additional increase for the second semester of 2017,” the company added.
The big jump in net income “is explained principally by the income from sale of investments (non-recurring event) and the increase in profit from construction services provided, which the company expects to maintain during the second semester. Net margin was 57.6%,” according to the company.
“The infrastructure sector continues to be a key economic driver and this quarter´s figures reflect projects that are maturing and increasing their rate of execution. The projects that supported the construction revenues in the second quarter of 2017 were Transversal de las Americas, Caucheras, Pacifico 3, Pacifico 2 and Cesar Guajira,” the company added.
As of June 2017, the company administers an investment portfolio with infrastructure projects that have a book value of approximately COP$668 billion (US$225 million).
Debt ratio was 26% (calculated over total assets) and net equity as of June 31, 2017, was COP$905 billion (US$305 million), up 16.9% year-on-year.
Meanwhile, order backlog — the balance of works hired and works to be implemented — was COP$2.782 trillion (US$938 million), the company added.
