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CAPITAL GOODS: Hochtief (HOTGR NR/BBB-/NR): 1H24 Results

CAPITAL GOODS

Firm results, could be a marginal positive although this remains a complicated group with ongoing M&A activity.

  • 2Q Revenue 5% ahead of consensus (only 2 estimates), 7% LfL growth. Orders (+14% LfL) look strong with book-to-bill at 1.3x.
  • 2Q Adj. EBITDA jumps 14% LfL. 35% better than expected, again only 2 estimates.
  • 1H FCF improved from -€159mn to €160mn YoY due to higher EBITDA and better WC changes.
  • Leverage up to 0.8x following full consolidation of subsidiary Thiess and the Abertis capital increase. The acquisition of Dornan Engineering is announced for €400mn EV.
  • Guidance affirmed: operational net profit €560-610mn.
  • Call 15.30 BST.

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