The construction company's activity was affected in several markets by the Covid-19 pandemic, especially Angola and Brazil.
Teixeira Duarte’s FY2020 profit dropped 75.3% compared to the previous year as the company’s activity was affected in major markets, especially Angola and Brasil, due to the Covid-19 pandemic. Foreign markets now account for 69.1% of the company’s turnover (was 73.% in 2019).
“In all markets, Teixeira Duarte’s activity was affected by the Covid-19 pandemic situation, although with different circumstances and scope depending on the sectors and areas of activity, the countries, the official measures implemented there and those also assumed by other stakeholders,” says the company’s report, released this Friday to the Securities and Exchange Commission (CMVM).
Teixeira Duarte’s turnover stood at 608 million euros, 30.7% less than in 2019. In Portugal, the drop was 20.4% while in foreign markets it was 34.5%. The construction company closed the year with an order book of €1,348 million, to which must be added an overall amount of €92,414 in works awarded or contracted.
The company’s EBITDA recorded a 47.1% fall compared to the previous year, reaching the amount of €100,494. In addition to the effect of the coronavirus, “the reduction of this indicator, in the amount of €89,541, is justified essentially by the variation in operational exchange rate differences” and by the sale of 50% of the subsidiary TDE – Empreendimentos Imobiliários, S.A. in 2019.
Teixeira Duarte reported a profit of €3.6 million, down from €14.4 million a year ago, which represents a fall of 75.3%.
As for the future, the Portuguese company “foresees the continuity of operations in the different sectors and markets in which it has been operating, even if influenced by the Covid-19 global pandemic situation,” it points out, adding that it “expects to achieve consolidated operating income of around 700 million euros” this year.