Impregilo sees order book rising to 8bn in 2007 (IT)

The civil engineering group Impregilo SpA forecast an increase in its order book to €8 bln in 2007 from 5 bln in 2004. In an outline of its 2005-2007 business plan, Impregilo estimated that infrastructure development in the markets in which it is present will total €65 bln over the next three years, €45 bln of which is represented by large public works in Italy.

Impregilo expects to net about €10 bln in orders.

The group said it plans to reduce invested capital through the sale of concessions which tend to immobilise capital over a long period.

It also expects return on sales to rise to more than 8€ by end 2007 from 4.3 pct in 2004 thanks to a reduction in costs and improved efficiency.

In 2007, value of production -- which consists of sales plus work in progress on long-term contracts -- is expected to remain in line with 2004, while the debt/equity ratio is forecast to fall to below 0.5 from 3.1.

The company also said that it will repay a €200 mln bond expiring today.

Earlier this month, cash-strapped Impregilo agreed a €680 mln bridging loan with Banca Intesa SpA, Unicredito Italiano SpA and Sanpaolo IMI SpA, which will largely be used to repay outstanding bonds.
Source: Freeman News

Related News