During the release of its annual data, Royal BAM Group announced that it will resume paying dividends to shareholders after four years. In 2022, the construction group achieved a gross operating margin of 350 million euros, compared to 278 million in the previous year.
“A good result,” says BAM CEO Ruud Joosten. Joosten is also pleased to announce that BAM can resume paying dividends to shareholders after some difficult years. With this, BAM confirms the already announced wait for the payment of the dividend. “We are much stronger for it,” says Joosten. BAM proposes 0.15 cents per share.
Income
BAM’s revenue fell by 10% to €6.6 billion last year, but that was due to the sale of business units in Belgium and Germany, including the German operating company Wayss & Freytag Ingenieurbau. Excluding these effects, revenue from BAM’s businesses in the Netherlands, UK and Ireland increased by 2%.
Thanks also to the accounting profits from disposals, the net result rose to 180 million euros, from 18 million euros in the previous year. The adjusted operating result amounted to 350 million euros. They were just over 278 million euros in 2021. The order book stands at 10 billion euros.
BAM says Dutch housing activities have made a good contribution and there has been a further recovery of infrastructure in the Netherlands. In the second half of the year, the company saw a greater impact of high inflation, such as rising material and labor costs. There have also been disruptions in supply chains and delays to some projects, the construction group said.
Real estate market
BAM says it sees attractive opportunities in the market due to, among other things, high demand for sustainable buildings and vital infrastructure. “There’s also a huge structural shortage of homes, which means demand remains very high,” says Joosten. According to the CEO, this question needs to be answered intelligently, among other things by making good choices to keep his people working and thus obtain the right returns. ‘At the moment it is better to opt for projects in the social segment, rather than much more expensive houses.’
Source: BNR
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