Vinci announces a drop in profit in the first half impacted by the infrastructure tax

The French group recorded a turnover up 4,4% to more than 33,77 billion euros, driven by its concessions (+7%), energy (+6%) and construction branches ( +3%).

Vinci Airports benefited from an increase in air traffic generally exceeding the pre-Covid level. The Energy branch is driven by the needs linked to the energy and digital transition.

Regarding Vinci Construction (nearly half of the group's revenue), activity continues internationally, and in France it is driven by the rehabilitation of existing buildings (notably social housing) and the construction of public buildings. (particularly within the framework of the “Ségur Plan” for hospitals).

For 2024, Vinci has “specified” its objectives, with in particular “a further increase in its turnover, but of a lesser magnitude than that achieved in 2023”.

“Operational results should also improve,” he adds, but the “net result could be close to the level reached in 2023, particularly as a result of the new tax on long-distance transport infrastructure decided by the French government.”

The amount for Vinci of this tax is estimated at around 280 million euros.

“Vinci continued its growth trajectory in the first half of 2024, despite a high comparison base,” commented its CEO Xavier Huillard, referring to a “record” order book level going forward: “thus having good visibility on its activity, Vinci approaches the next financial years with serenity and continues its policy of selectivity in the choice of businesses.

For the manager, quoted in a press release, "operating results and free cash flow generation are progressing remarkably despite taking into account the new tax on long-distance transport infrastructure in France, which targets almost exclusively motorway concession companies.

Vinci also reports consolidated net financial debt "up significantly" at 23,4 billion euros, as a result of its investments in new concessions or to extend their duration.

Among the acquisitions over the last six months are the takeover of 50,01% of Edinburgh airport, a 20% stake in Budapest airport allowing it to become its operator, and even the acquisition of a section of the Denver ring road, the first major operation carried out in concessions in the United States.