* Indicators marked with „*” was subject of a assurance engagement by an independent auditor.
In 2017, the Budimex Group realised profit on sales in the sum of PLN 6,369,309 thousand, which represents increase close to 14.3%, in comparison to figures for a corresponding period in 2016. Gross profit on sales in 2017 amounted to PLN 809,824 thousand, whereas in the previous year it reached the value of PLN 751,265 thousand, which means that the gross profitability on sales in 2017 was 7.8%, with 13.5% for the previous year. According to the accounting rules assumed, in case the costs budgeted for construction contract implementation exceed the total value of expected revenues, when this fact is identified, Group companies create provisions for losses presented in the consolidated financial statement as “Amounts due and payable to customers under construction contracts”. As at 31 December 2017, the provisions for contract losses amounted to PLN 243,829 thousand and compared to 2016, the balance of the provisions for contract losses decreased by 164,626 thousand. In comparison with the previous year, the sales costs in the period of 12 months ending on 31 December 2017 increased by PLN 1,345 thousand, however, the general management costs were higher by PLN 17,861 thousand than costs borne in 2016.
In 2017, other operating revenues amounted to PLN 61,070 thousand and included, among others, profit on the sale of non-financial assets and investment property in the amount of PLN 3,301 thousand, received compensations and contractual penalties in the amount of PLN 24,828 thousand, release of reserves for penalties and sanctions in the amount of PLN 12,363 thousand, release of reserves for court cases and compensations in the amount of PLN 3,391 thousand, reversal of revaluation write-downs on receivables and inventories respectively in the amounts of PLN 4,405 thousand and PLN 3,251 thousand, and write-downs on overdue liabilities in the amount of PLN 2,656 thousand.
In the period of 12 months ending on 31 December 2017, other operating costs amounted to PLN 31,933 thousand, including PLN 2,870 thousand of costs of write-downs on receivables, PLN 3,070 thousand for costs of write-downs on inventories. The costs of provisions for court cases amounted to PLN 2,617 thousand, PLN 1,806 thousand of which referred to provisions for penalties and compensations. The value of compensations and contractual penalties paid by the Group in 2017 amounted to PLN 13,311 thousand. At the same time, the costs of court fees, execution levies and court proceedings. Moreover, in 2017, the Group recorded a loss on settlement of derivatives of the FX Forward type and currency options in the amount of PLN 1,169 thousand.
PLN 588,318 thousand operating profit in 2017 – 16.5% more than year before
In 2017, the Group recorded an operating profit in the amount of PLN 588,318 thousand, which was 9.24% of the sales revenue value. In 2015, the operating profit amounted to PLN 505,107 thousand, which was 9.1% of the sales revenue value. In the period of 12 months ending on 31 December 2017, the Group recorded a profit on financial activity amounting to PLN 3,687 thousand, in comparison to PLN 8,570 thousand in 2016.
In 2017, financial costs comprised, among others, the following: interest costs amounting to PLN 5,567 thousand, bank commissions on guarantees and loans paid by Group companies in the amount of PLN 24,234 thousand, costs of discounted long-term receivables and liabilities under guarantee deposits amounting to PLN 8,580 thousand.
In 2017, the Group also recorded a loss on the settlement of swap-type derivatives (obtained in order to limit the risks related to interest rates) amounting to PLN 643 thousand and recorded a profit on measurement of these derivatives amounting to PLN 401 thousand. The financial income for 2017 comprised mostly: interest in the amount of PLN 32,865 thousand, estimation of receivables from a concession agreement amounting to PLN 2,931 thousand as well as reversal of discounted long-term receivables amounting to PLN 820 thousand. The Group closed 2017 with the gross profit of PLN 580,423 thousand.
In 2017, the obligatory charge on the financial result resulting from the income tax amounted to PLN 115,838 thousand, including:
As of 31 December 2017, the Group recognised assets for deferred income tax in the amount of PLN 405,208 thousand, in comparison with PLN 444,975 thousand on 31 December 2016. This results mostly from the specificity of construction contract settlements in which the moments of classifying costs as incurred and classifying revenues as fulfilled are different in the tax and accounting context. The net profit assigned to Budimex SA shareholders for 2017 amounted to PLN 464,408 thousand, in comparison to PLN 409,851 thousand for 2016. The net profit assigned to non-controlling interest for 2017 was PLN 186 thousand. The price per share was PLN 18.19 and in relation to the previous year it grew by PLN 2.14.
The Budimex Group closed the year of 2017 with a net profit attributable to the shareholders of the Parent Company of PLN 464,408 thousand, with PLN 409,851 for the previous year.