NIEUWEGEIN, The Netherlands, January 21 /PRNewswire/ --
- Profit Forecast for 2007: Similar Operating Result (2006: EUR 42 million)
- Order Book for 2007: Sharp Rise to Approx. EUR 1.4 billion
- Final Annual Figures for 2007: 14 March 2008
Profit Forecast for 2007 Confirmed
Ballast Nedam is confirming the 2007 EBIT forecast of a similar operating result, issued in March 2007 (2006: EUR 42 million). This result is satisfying, given the sharp rise in the rates charged by suppliers and subcontractors in 2007. It is not yet possible to pass on these price rises to our customers in full straight away. This has put some pressure on the profit margins in our order book. Volume in both the property market and the infrastructure market is remaining at a high level.
Sharp Growth in Order Book for 2007
The order book grew sharply from EUR 1.1 billion at the close of 2006 to approx. EUR 1.4 billion. The orders obtained since the third quarter of 2007 include the following:
Development and Building
- In Eindhoven, Ballast Nedam is developing the Berckelbosch housing project, a large-scale development involving approximately 925 homes. Work started on the construction of the first 70 dwellings in October 2007. In 2008, a start will be made on the sale and construction of 149 homes. The sales volume of these 219 dwellings is approximately EUR 70 million.
- In the Prima Bolnes project at Ridderkerk, Ballast Nedam is developing 39 single-family dwellings, and 42 apartments with a multi-storey car park beneath them. Construction will commence in the spring of 2008. As part of the same project, 144 social rented dwellings are being constructed for the Woonvisie housing association. This project has a total revenue of approximately EUR 37 million.
- At Spijkenisse, Ballast Nedam has a one third share in the VOF Dijkzone, which involves the development of 263 apartments. Of these apartments, 173 will be sold and the remaining 90 will be rented. Construction of the project will start in April 2008 and the revenue for Ballast Nedam amounts to EUR 49 million.
- Agreement was reached with Woonmaatschappij Maasland in December 2007 with regard to the Lavendel project at Cuijk. The commission involved the construction of 60 apartments, together with 3000 m2 shopping space and a multi-storey car park for 100 vehicles. Ballast Nedam has also developed a further 43 apartments at Cuijk. Construction will start in 2008. The total revenue of these projects at Cuijk is EUR 22 million.
- At the end of December 2007, a contract was signed with Rabo Bouwfonds for the construction of 112 homes in Zoetermeer. Together with a previous contract for the construction of 29 villas in Zoetermeer, the revenue comes to well over EUR 23 million.
- In 2007, Ballast Nedam commenced the construction of 132 apartments on the Churchilllaan at Rijswijk. The project was commissioned by Schouten De Jong. The revenue amounted to EUR 20 million.
- In December 2007, Stadswonen commissioned the construction of 493 student units in Rotterdam's Cité project. This order represents a revenue of EUR 35 million.
- Amvest/Lingotto has commissioned Ballast Nedam to build a 2-storey car park, as well as commercial space and 76 apartments at the very tip of the Haveneiland, on the new residential suburban island complex of IJburg in Amsterdam. This order involves a sum of EUR 17 million.
- At the end of 2007, Ballast Nedam won an order from the Ymere housing association for the construction of a multi-story car park with apartments and residential care units in the Slotervaart district of Amsterdam. The contract price for this project amounts to approximately EUR 13 million.
- The Accor group has contracted Ballast Nedam to renovate the Hotel The Grand in Amsterdam. Interestingly, it has been almost 20 years since Ballast Nedam converted this former town hall to a hotel. This order is worth EUR 15 million.
Property Management and Maintenance
- A contract has been signed with the Belgian company Cofinimmo, which invests in rental property. This contract involves the property management and structural maintenance of 250 properties in the Dutch hotel and catering sector. The contract, which is worth approximately EUR 4 million, spans a period of 2 years.
- Ballast Nedam has won a design & construct order from ProRail for the construction of a crossing beneath a railway line and a noise barrier along the section of track from Roosendaal to Vlissingen, in the Augustapolder at Bergen op Zoom. This contract is worth EUR 13 million.
Offshore Wind Turbines
- Ballast Nedam has leased the heavy lifting vessel Svanen to the Danish company MT Højgaard A/S. The Danish contractor will use the Svanen in 2008 to install foundations for offshore wind turbines. On 1 April 2008, the Svanen will start work on the Rhyl Flats project, involving the construction of 25 wind turbines in the Irish Sea. MT Højgaard A/S also has an option to subsequently employ the Svanen for the Gunfleet Sands project, involving the construction of 45 wind turbines off the east coast of England. The vessel will complete work on the latter project in November 2008.
Compressed Natural Gas Filling Stations
- Via its fully owned subsidiary, CNG Net B.V., Ballast Nedam has made a flying start on establishing a nationwide network of natural gas filling stations, in addition to acquiring its partner, Dutch4 B.V. Seven stations are currently operational, the latest of which opened in Hengelo at the end of 2007. Another 40 sites will become operational in the course of 2008. The ultimate objective is a national network of 250 compressed natural gas filling stations.
Final Annual Figures for 2007
Ballast Nedam will present its audited, final annual figures for 2007 and a profit forecast for 2008 on Friday 14 March 2008, before the stock exchange opens.
Futher information: Ballast Nedam N.V., Adrie van Kessel, telephone number +31(0)30-285-41-61 or +31(0)6-22-45-71-85