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GEK Terna, Greece's largest GEK, posts an 84% increase in adjusted EBITDA for the first half.

GEK Terna, a Greek energy and infrastructure company, reported a 84% increase year-on-year in its core profit for the first half of 2018. The group cited a better performance from concessions as well as increased construction activity.

Earnings before interest, tax, depreciation and amortization (EBITDA), the group's adjusted profit, rose from 172 millions euros to 317million euros for the period ending June.

GEK Terna reported that the segment's adjusted EBITDA grew 114%, to 167 millions euros. This accounted for 53% group operating profit.

The increased traffic was due to the higher traffic on its motorway system and an adjusted EBITDA contribution of 89 million Euros from Attiki Odos, where traffic grew by 4.8%. Nea, Kentriki Odos and Olympia Odos both reported traffic increases of 7.9%.

Construction revenue increased by 41%, to 813 millions euros. Adjusted EBITDA grew 49%, to 89million euros, thanks to faster project completion.

The backlog of signed construction projects for the group increased to 6.3 billion euro at the end June. This is up from 4.1bn euros at 2024's close, and nearly half of this was due to GEK Terna’s own investments.

GEK Terna said that the increase in operating profits is sustainable. They cited the increasing contribution of concessions. Further gains are expected as major projects such as Egnatia Airport and Kastelli Airport come online. Reporting by Antonis Pottitos; Editing and proofreading by Tomasz Jowski, Elaine Hardcastle

(source: Reuters)