Construction group Ballast Nedam issues profit warning
Friday 26 October 2012
Building giant Ballast Nedam issued a profit warning on Friday, saying the group will close the year with an operational loss of €30m.
Not only are fewer homes being built, but the government is also reducing spending on the national infrastructure, such as road building.
The company has now accelerated its strategy to reduce its exposure to the traditional building market and focus on 'integrated projects and niche markets, which are performing well', Ballast Nedam said in a statement.
Ballast Nedam is taking a €15m provision to cover the cost of the reorganisation plus a further €30bn to cover the revaluation of its property portfolio, goodwill and equipment.