Vinci sees ‘sharp upturn’ in revenue and earnings
By Andy Brown30 July 2021
French construction and concessions giant Vinci has released its financial results for the first half of 2021, showing a strong increase in revenue and earnings.
Revenue for the whole company in the first half of 2021 totalled €22.6 billion (US$26.8 billion), up 22.3% on an actual basis relative to the first half of 2020. Compared with the first half of 2019, revenue was 4% higher on an actual basis.
The upturn was particularly strong in France, where business levels in the previous year were badly affected by the first lockdown that began on 17 March 2020. Of Vinci’s total revenue, 55% was generated inside France.
The company’s first half year revenue for 2021 of €22.6 billion (US$26.8 billion) also compares favourably to the first half year revenue for 2019, before the Covid-19 pandemic, when it was €21.7 billion (US$25.8 billion).
Revenue at Vinci Construction amounted to €12.2 billion (US$14.5 billion), up 7% on an actual basis compared with the first half of 2019. France accounts for just over half of the total, and Vinci said that business levels remained firm in public works and civil engineering – supported by Grand Paris Express projects – and in road and rail works as well as earthworks.
Outside France, revenue was €6.0 billion (US$7.1 billion), up 19% compared with the first half of 2019. Growth was driven by the ramp-up of several large contracts, including two works packages on the HS2 high-speed rail line in the UK.
Xavier Huillard, Vinci’s Chairman and CEO, said, “The first half of 2021 brought a sharp upturn in revenue and earnings compared with 2020. Free cash flow was positive, despite seasonal business variations that traditionally have a negative impact in the early part of the year.
“Business levels and earnings at Vinci Energies and Vinci Construction were outstanding, exceeding levels seen in 2019. Order intake remained strong and the order book rose to a new record level, giving the Group good visibility as it looks forward to the post-Covid era.”