The joint venture formed by Leandlease and Turner (subsidiary of ACS) has been awarded a project to extend the Jacob K. Javits convention centre (New York) for a total of 1.5 billion dollars (approx. 1.4 billion euros). The project, which has been promoted by the Empire State Development Corporation, includes new meeting and exhibition romos, as well as improved access to the installation. For ACF analysts, the news should do down well with the market given the size of the contract (7% of Hochtief’s portfolio) and “the fact that ACS continues to strengthen its presence in the US market (its main market in terms of revenues within its construction business).
For its part, CIMIC, ACS’ Australian subsidiary, posted a net profit of 580,3 million Australian dollars, at the top end of the 520/580 million Australian dollars previously forecast by the company. The margin has improved from +3.9% to +5.3%. ACS owns 71.7% of Hochtief, which has a 72.7% stake in CIMIC. Bankinter analysts believe these figures will have a positive impact on ACS results, due to be published on February 28. They explain:
ACS’ presence in the Australian market will continue to be a catalyst in 2017, a year in which a rise in revenues is expected due to infrastructure investment plans and increased activity as a result of the recovery in raw material prices.