After years of setbacks and a series of profit warnings, construction company BAM has posted the highest profit in ages. The company was left with 180 million euros at the bottom of the line, which was 18 million a year earlier.
The fact that things are going so well is partly due to the sale of foreign subsidiaries in Belgium and Germany. The company also decided a number of years ago not to take on any more risky projects and that policy now seems to be paying off.
Shareholders will again receive a profit distribution from the company for the first time in 4 years.
Build fewer houses
A few months ago, the sector association Bouwend Nederland warned that the Netherlands would be closed to new construction projects after the nitrogen ruling of the Council of State. “This statement is dramatic for the construction sector,” said chairman Maxime Verhagen when it became clear that from now on account must be taken of the nitrogen released during construction.
BAM says that the consequences for its own projects are not too bad. “Building Netherlands speaks for the entire industry. It’s a different story with us,” says Ruud Joosten, the highest boss at BAM. “It has a limited impact on our projects. We are well positioned with construction projects that are less affected by the nitrogen development.”
He says he is concerned about the consequences of the ruling. “This has major consequences for the whole of the Netherlands because it is not possible to build in many places. That will also have a secondary effect on us.”
Last year, BAM received an unexpected visit from the FIOD and the Public Prosecution Service due to possible irregularities in completed projects of BAM International. “That was a big surprise for us on that day,” says Ruud Joosten.
“If we have something to say about it, we are happy to do so. At the moment there is not, and I will leave it at that,” says Joosten.
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