US road construction projects help drive growth at Ferrovial

Ferrovial’s construction division reported revenue of €7.1 billion ($7.7 billion). Ferrovial said the growth was attributable to positive results in its Polish construction operation Budimex and good performance in Spain.

Among major milestones for the year, it pointed to the 12 construction roads projects it won in Texas and Florida. In Spain, it was also in part of a consortium that has won a €300 million ($324.5 million) to extend Catalonia’s commuter rail system.

Ferrovial is also part of the joint venture to build the new R2 commuter railway line and a new underground station in Montcada i Reixac in Barcelona worth €540.4 million ($584.6 million).

Meanwhile, its construction order book reached a record €15.6 billion ($16.9 billion), excluding around €1.9 billion ($2.1 billion) in pre-awarded contracts.

Last year, the Spanish infrastructure firm also moved to list its shares in both Spain and the Netherlands, as it said it wanted to target the US for further growth. And late last year it announced the sale of its 25% stake in Heathrow Airport.

Across the entire group, which also includes its toll roads and airports businesses, Ferrovial generated revenue of €8.5 billion ($9.2 billion), an increase of 13.2% on the previous year. It made a net profit of €460 million ($497.6 million).

Ignacio Madridejos, Ferrovial CEO, said, “The company is executing well, with major projects like the New Terminal One at JFK on budget and on schedule and others delivered ahead of schedule in 2023.

““We are optimistic about 2024. We expect trends in metro area growth and mobility in key markets to continue to drive increases in traffic in our assets. And a focus on improving and expanding critical infrastructure in the US continues to represent a significant opportunity for us.”