France's Bouygues expects better profitability in construction in 2020 (updated)

COLAS SA

20/02/2020 07:07

(Adds details)
    PARIS, Feb 20 (Reuters) - French conglomerate Bouygues
 BOUY.PA  said on Thursday it expected an improvement in the
operating margin of its construction activity this year, as well
as strong free cash flow generation stemming from all its
businesses.
    The company, which spans activities from construction to
media and telecoms, reported 2019 results slightly above
consensus figures it had distributed to investors.
    Sales were up 5% at constant exchange rates to 37.93 billion
euros ($40.93 billion) while current operating profit was up
7.2% to 1.68 billion euros.
    Profitability at TF1  TFFP.PA , France's biggest private TV
broadcaster, was once again stronger than at Bouygues' real
estate and infrastructure building units. They had operating
margins of 10.9% and 3.1% respectively.
    The company did not provide a profit margin figure for
Bouygues Telecom but said the business had generated 301 million
euros in free cash flow, just above a target of 300 million
euros.
    Bouygues, which plans a 2.6 euro per share-dividend, also
said net debt had fallen by 1.4 billion euros at the end of 2019
on the back of dividends and the sale of a 13% stake in Alstom
 ALSO.PA .
    
    ($1 = 0.9268 euros)

 (Reporting by Matthias Blamont; Editing by Sudip Kar-Gupta and
Edmund Blair)
 ((matthias.blamont@thomsonreuters.com; +33 1 4949 5054;))