Driven by the resumption of travel and construction sites, the construction and transport infrastructure giant Vinci recorded a net profit of 1.9 billion euros in the first half of 2022, higher than before the pandemic and more than doubled by compared to 2021, he announced on Friday.
The group’s turnover is also significantly above pre-Covid levels, 28.52 billion euros (+ 26% compared to 2021).
Vinci achieved a very solid overall performance in the first half of 2022, with almost all of the business lines having exceeded their levels of turnover and pre-health crisis results, commented the group’s CEO Xavier Huillard, quoted in the communicated
These results are higher than the expectations of analysts, who rather expected a half-year turnover around 27.23 billion for Factset and 27.36 billion for Bloomberg, and a net profit around 1.5 billion in both cases.
Vinci Airports’ results and cash flow recovered spectacularly thanks to the acceleration of the recovery in air traffic and the effects of the savings plans implemented. Traffic is now very close to its 2019 level in many network platforms, Mr. Huillard noted.
The group has also slightly raised its objectives for this branch of its activity.
While it was aiming for traffic in 2022 of around 60% of its 2019 level and a net result close to breakeven, given a stronger and faster recovery than expected in the 1st half, it now expects – excluding epidemic recovery – on traffic over the whole year close to 70% of its 2019 level, leading to positive net income and free cash flow.
The construction branch, which accounts for nearly half of the group’s turnover, saw it increase by 10.7% to 13.45 billion euros. Its highly seasonal operating income amounted to 254 million euros, up nearly 20% compared to the first half of 2021.
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Regarding road traffic, Vinci Autoroutes recorded higher traffic than in 2019 for both light and heavy vehicles, commented Mr. Huillard.
However, the trend for light vehicles is affected by the rise in fuel prices, while for heavy vehicles, the activity remains well oriented, he said.
Given these results, the group confirms its objective of a 2022 net result above its 2019 level.