BAM: net result outlook for 2009 between €100 million and €120 million
- Net result for the first half of 2009: €41.9 million
- Revenue for the first half of 2009: €4.1 billion
- Order book at a sound level: €12.4 billion at 30 June 2009
- All sectors profitable – with the exception of property
- Profitable in all European home countries
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Course of business during the first half of 2009
As a European construction and property group, Royal BAM Group has been operating under difficult market conditions during the first half of 2009. Volumes are shrinking, competition is intensifying and there is substantial pressure on pricing in almost all markets. Despite this economic backdrop, many BAM operating companies performed strongly in the first half of the year. The circumstances in the various markets will not enable the companies to repeat the excellent results of 2007 and 2008. Revenue in the first half of 2009 fell by approximately 4% to €4.1 billion (2008: €4.2 billion). When the impact of currency exchange rate fluctuations is taken into account, revenue remained at the same level as in the first half of 2008.
All sectors posted a profit for the first half of 2009 except for property. Overall, BAM made a profit in all five European home countries. The result before tax decreased to €53.7 million (2008: €165.6 million). The drop in profit can primarily be attributed to the loss in property of €36.8 million (2008: €52.9 million profit). This loss was caused by under recovery of overheads and provisions for lower sales price forecasts in the Netherlands, the United Kingdom and Ireland. Although the developments on the property market - as on almost all other markets - are still marked by a great deal of uncertainty, BAM is convinced that its own property companies will again contribute to the Group's profits in due course.
The net result for the first half of 2009 is €41.9 million (2008: €131.0 million).