Switzerland's Implenia H1 revenue falls on decline in civil engineering division
Switzerland's Implenia H1 revenue falls on decline in civil engineering division
Overview
Switzerland construction and real estate group’s half-year EBIT rose 6% to CHF 60.4 mln
Revenue for the half-year fell 4.8% to CHF 1.77 bln
Order book increased 9.6% to CHF 8.5 bln; free cash flow improved but remained negative
Outlook
Implenia confirms full-year 2026 EBIT target of ~CHF 150 mln before growth investments
Company expects EBIT to exceed CHF 150 mln from 2027 onwards
Implenia to invest CHF 10-20 mln in growth initiatives in H2 2026
Result Drivers
HIGH-MARGIN SEGMENTS - Co said focus on specialised, high-margin market segments and steady digitalisation of operations contributed to improved profitability and order book
CASH DISCIPLINE - Co attributed improved free cash flow to continued cash discipline and progress in working capital management
INFRASTRUCTURE PROJECT PHASING - Civil Engineering division revenue declined due to lower contributions from early phases of major infrastructure projects underway
Company press release: ID:nEQscdZ5a
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue | Beat | CHF 1.77 bln | CHF 1.65 bln (1 Analyst) |
H1 Net Income |
| CHF 35.57 mln |
|
H1 EBIT |
| CHF 60.40 mln |
|
H1 Free Cash Flow |
| -CHF 117.72 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy"
Wall Street's median 12-month price target for Implenia AG is CHF92.50, about 45.4% above its August 18 closing price of CHF63.60
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 13 three months ago
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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.)