Bouygues reduces its net loss in the first quarter despite the surcharge and declining sales

In the first quarter, the exceptional contribution on profits cost it 25 million euros.

Bouygues, whose sales fell by 3,2% in the first quarter to 12,2 billion euros, had recorded a net loss of 156 million euros over the same period in 2025.

Around 09:55 GMT, Bouygues shares were down 1,96% at 51,96 euros in a slightly rising market.

The group said on Thursday it was "very vigilant" regarding the "indirect consequences" related to the conflict in the Middle East, but maintained its financial targets for the year.

It highlights an improvement in its current operating income from activities (ROCA), a profitability indicator, which rose by 11,6% in the first quarter to €77 million. According to the group, this improvement is "primarily driven by Equans," its energy and services subsidiary acquired from Engie in 2022.

"Equans has begun to transform the perception of the Bouygues group and we believe this trend could continue," Oddo BHF analysts said in a note, noting that sales are below analysts' consensus but that the ROCA profitability indicator is better than expected by specialists.

"Beyond the current context, the stock's performance will depend on the SFR takeover bid. Bouygues Telecom entered into exclusive negotiations with SFR's parent company, Altice France, in mid-April, alongside Iliad (Free) and Orange.

On this point, discussions "are actively continuing" but "the devil is in the details", according to Stéphane Stoll, Chief Financial Officer of Bouygues, on Thursday during the publication of his group's quarterly results.

"As expected, the ROCA of TF1 and Bouygues Telecom are down year-on-year," the group, which employs around 200.000 people in 80 countries, also stated.

The company anticipated that, over the year, the profitability of the television channel would suffer from "anticipated tensions in the linear advertising market" and that that of the telecom operator would be diminished by a "planned increase in depreciation".

Despite a "very uncertain macroeconomic and geopolitical environment", Bouygues confirmed its ambitions for 2026, forecasting "stable revenue at constant exchange rates" and "maintaining current operating income from activities (ROCA) at a historically high level, after several years of significant improvement".

The group also announced that it had been selected by the Swedish authorities as part of a consortium called Feronord, comprising the Swedish company Infrakraft and two of its subsidiaries, Bouygues Travaux Publics and Colas Rail (Colas), to build approximately 36 kilometers of railway track as part of the "East Link" project in Sweden.

This project includes "significant earthworks as well as 28 bridges and three viaducts, including a major 1,4-kilometer structure" between the Stockholm/Mälardalen region and Östergötland. "The execution phase is estimated at around 1,2 billion euros and could begin in early 2028," according to Bouygues.