Heijmans forecasts profitable year

By Helen Wright16 November 2010

Dutch housing contractor Heijmans is maintaining its outlook for a profitable close to 2010 despite reporting a -10% year-on-year drop in third quarter revenues to € 640 million.

The company reported an operating profit margin of almost 2% in the three months ended 30 September, compared to 1% during the same period last year.

CEO Gerrit Witzel was upbeat: "Despite difficult circumstances in the construction sector, I am fairly satisfied with the course of events. The operating results show an improvement while turnover decreases; the order portfolio remains at good levels. The focus on integrated approach, quality improvement and cost control are bearing fruit. We know how to operate in a difficult market."

Heijmans sold 1069 houses in the first nine months of 2010, compared to 708 last year and reported that residential building activities in the Netherlands and infrastructure activities in the Netherlands and Belgium performed particularly well.

But the company reported a "virtually unchanged" order portfolio compared to the end of June. In recent months, Heijmans said it received new projects for a total of € 600 million.

Meanwhile, in anticipation of growing demand for large and complex projects in the market, the company said it is combining its Proper-Stok and Heijmans Vastgoed operations into a single integrated organisation.

In addition, Heijmans is reorganising its infrastructure activities into two divisions consisting road and road technology, and underground and location-dependent infrastructure projects.

"This adaptation of the organisation will create more synergies between the various infra disciplines and create a more effective alignment with market requirements," the company said.

Delivered directly to your inbox, Construction Europe Newsletter features the pick of the breaking news stories, product launches, show reports and more from KHL's world-class editorial team.
More News from Construction Europe
Loxam accelerates environmental shift
Equipment rental company aims to halve direct emissions by 2030 and cut indirect emissions by 30%
Construction starts on Milan’s renewable offices
New CityWave building will put ‘quality of life’ first and aims to have a “positive impact” on the environment
New HBOX+ lighting tower from Himoinsa
HBOX+ is designed for efficiency, connected remote control, safety and easy transport
Mike Hayes Editor, Construction Europe Tel: +44 (0)1892 786 231 E-mail: mike.hayes@khl.com
Simon Kelly Sales Manager Tel: +44 (0) 1892 786 223 E-mail: simon.kelly@khl.com