Bloomberg News

Mota-Engil Advances After Full-Year Profit Jumps: Lisbon Mover

March 15, 2012

Mota-Engil SGPS SA (EGL), Portugal’s biggest construction company, advanced the most in almost six weeks after the company posted increased full-year profit and predicted revenue growth this year.

The stock rose 11 percent in Lisbon, the biggest advance since Feb. 3. Adjusted net income, excluding a loss related to a stake in Martifer SGPS SA, climbed 30 percent to 52 million euros ($68 million), Mota-Engil said yesterday in a regulatory filing. Revenue gained 8.6 percent to 2.2 billion euros on demand for new construction projects in South America.

Revenue growth for 2012 is expected to exceed 15 percent, the Oporto-based company said. Chief Executive Officer Jorge Coelho predicted the order book will remain above 3.5 billion euros this year after reaching 3.8 billion euros in 2011.

The company had “astonishing fourth-quarter results, strong guidance for 2012 and a stable dividend per share,” Bruno Silva, an analyst at Banco BPI SA, said in a note today. BPI has an “accumulate” recommendation on the stock and a price target of 1.25 euros a share.

Mota-Engil climbed 11.7 euro cents to 1.225 euros in Lisbon today. The shares have advanced 18 percent this year, giving the company a market value of 250.7 million euros.

CEO Coelho said at a news conference yesterday that more than 70 percent of Mota-Engil’s orders last year came from markets outside Portugal and that this tendency is expected to continue.

Mota-Engil’s board will propose a dividend of 11 euro cents a share.

To contact the reporter on this story: Henrique Almeida in Lisbon at halmeida5@bloomberg.net

To contact the editor responsible for this story: Jerrold Colten at jcolten@bloomberg.net


The Good Business Issue
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus