Bam Group reports net loss

Market declines in the Netherlands and challenging conditions in other European markets have pushed Dutch contractor Royal Bam group into a first half net loss of €251 million, compared to a profit of €66 million for the same period in 2011.

Revenue for the group reached €3.5 billion, a slight drop on 2011, when revenues for the first six months of the year were €3.6 billion. The company attributed this slump to a fall in revenue from civil engineering (down €49 million) and property (down €65 million).

Bam's construction and mechanical and electrical services division saw revenues rise 1.5% year-on-year in the first half to reach €1.6 billion. Business in this sector is expected to hold steady, with a backlog of €4.3 billion, 4% lower than end-2011 figures. Total backlog for the group stood at €10.8 million, compared to €10.4 million at year-end 2011.

While Bam's European markets struggled, its international business recorded good results with the group reporting a good level of new orders, especially in Australia and the Middle East.

Bam forecast income before tax and impairments from continuing operations of at least €100 million for the full year 2012.