Investing.com | Editor Hari G
Published Nov 17, 2023 08:44AM ET
MADRID - Spanish construction group OHLA has staged a remarkable financial recovery, as evidenced by its latest earnings report. The company, which suffered a loss of €88.8 million in the previous year, announced on Thursday that it had turned its fortunes around, posting a profit of €14.2 million. This positive shift was further underlined by a substantial increase in EBITDA to €84.2 million and a rise in sales to €2.26 billion.
The market responded favorably to OHLA's financial turnaround, with shares climbing 7.1% to €0.44 today. Despite a decrease in order intake to €2.45 billion, largely due to the high base effect from last year's inclusion of the Maryland Purple Line project worth approximately €800 million, OHLA remains optimistic about its performance for the remainder of the year.
Looking ahead, OHLA is confident that it will surpass its annual targets, with projected sales nearing €3.50 billion and EBITDA expected to exceed €125 million. This upbeat forecast reflects the company's successful restructuring efforts and its ability to secure new projects, positioning it well for sustained growth in the upcoming periods.
Drawing on real-time data from InvestingPro, OHLA's market cap currently stands at 282.23M USD. The company's revenue growth has been accelerating, as evidenced by a rise of 24.9% over the last twelve months as of Q2 2023. This aligns with the company's impressive gross profit margin of 49.03% over the same period, which supports OHLA's positive financial turnaround.
Two key InvestingPro tips for OHLA are worth highlighting. Firstly, despite recent volatility, OHLA's stock is trading at a low Price / Book multiple of 0.44 as of Q2 2023, indicating potential undervaluation. Secondly, analysts predict that OHLA will continue its profitability trend this year, which is consistent with the company's own optimistic performance forecast.
For more insightful tips and data, consider subscribing to InvestingPro. With a current Black Friday sale offering discounts of up to 55%, it's an opportune time to access additional tips - there are 9 more available for OHLA alone. InvestingPro's subscription can provide invaluable guidance for navigating the financial market landscape.
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Written By: Investing.com
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