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Builder CGP Reports Solid Results on Dividend Payout

Novo mesto, 21 July (STA) - CGP, one of the few larger Slovenian builders to survive the crisis, expects to generate EUR 90m in revenue this year with EBITDA projected at EUR 8m. The shareholders approved EUR 1.18m dividend payout on Monday.

The Novo mesto-based company, which is active in construction engineering, production and road maintenance, has been operating well despite the crisis, chairman Martin Gosenca assessed.

Operating profit (EBIT) amounted to EUR 5m and earnings before interest, interest, taxes, depreciation and amortisation (EBITDA) to EUR 8m in 2013 on revenue of EUR 80m.

Revenue in the first half of the year was up 15% year-on-year to EUR 44m so Gosenca expects the target revenue of EUR 90m and EBITDA of EUR 8m to be attained or even surpassed by the end of the year.

CGP has already secured half of the planned projects for next year with Gosenca citing demands for "unusually" high guarantees for infrastructure projects as the main obstacle.

After a deep slump, the sector is still struggling with Gosenca expecting new impetus from investments in transport infrastructure, energy and green projects.

The shareholders' meeting held today endorsed the management's proposal to allocate EUR 1.18m or EUR 1.10 gross per share for dividends, leaving the remaining EUR 13.91m in distributable profit undivided.

CGP employed 570 staff at the end of last year.

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