Belgium's CFE Group H1 net profit jumps on Construction & Renovation, VMA contributions
Belgium's CFE Group H1 net profit jumps on Construction & Renovation, VMA contributions
Overview
Belgium construction and engineering firm's H1 revenue fell 2.6% yr/yr
Operating income for H1 rose 51.3%, net profit up 72% yr/yr
Company cites strong performance in Construction & Renovation and VMA segments
Outlook
CFE forecasts 2026 return on equity of at least 10%
VMA's 2026 revenue and operating income expected to show significant increase versus 2025
Company expects weak business activity to continue at MOBIX in 2026
Result Drivers
SEGMENT PERFORMANCE - Co said strong contributions from Construction & Renovation and VMA segments drove operating income growth
DISCIPLINED PROJECT SELECTION - Co attributed higher EBIT margin to disciplined selectivity in taking on new projects and operational excellence
ORDER BOOK VARIATION - VMA and Luxembourg/Poland saw order book growth, while Construction & Renovation Belgium and MOBIX contracted
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Net Income |
| EUR 12.90 mln |
|
H1 EBIT |
| EUR 17.40 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
Wall Street's median 12-month price target for Compagnie d'entreprises CFE SA is €14.75, about 25% above its August 26 closing price of €11.80
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago
Reuters Recommended Reads
Aug 26 - Belgium's DEME H1 net profit rises 20%
Aug 25 - Singapore's Lum Chang Holdings FY net profit soars, helped by construction rev strength
Aug 25 - Hong Kong's SFK Construction interim profit nearly doubles on lower expenses
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)