- Revenues grew 7%, driven by the international market
- The EBIT margin stood at 10.8% in line with the 1Q08 figure
- Rafael Villaseca replaces Honorato López Isla on the Board of Directors
Despite the gloomy macroeconomic and sector-specific outlook, Indra's business performed well over the first quarter of 2009, meeting the company's expectations.
Indra ended 1Q09 with net profit of €47m, an increase of 10% yoy. Revenues rose 7% yoy to €624m and EBIT 7% to €67m. Order intake increased by 6% to €888 m.
The EBIT margin stood at 10.8%, in line with the 1Q08 figure. These results, stemming from the cost management and cost control initiatives the company has rolled out, are enabling Indra to maintain the profitability of its operations within an environment characterised by pricing pressures.
The order backlog amounted to €2,690m, representing 9% growth and outpacing total revenues for the last 12 months. In light of the positive showing reported by the business over the first quarter and the sheer volume of orders in the backlog that can be executed during the remaining nine months of 2009, revenue coverage relative to 2009 guidance stands at 80%, on a par with the coverage reported in the same period last year.
Revenues rose by 5% in Spain and 13% in the international market
Revenues grew by 5% yoy in Spain in 1Q09 and rose by 13% yoy in the international market. By region, revenues grew by 22% in Europe, 7% in Latin America and 20% in other countries.
By vertical markets, the positive performance of Telecommunications & Media and Financial Services, up 10% in the quarter, stands out.
General business performance and objectives for 2009
Over the first three months of the year, the prevailing market situation facing the company has remained sluggish, with little prospect of economic growth on the horizon, and this is expected to continue throughout the rest of 2009.
Against this gloomy backdrop, Indra expects to continue to outperform the rest of the sector throughout the year and reiterates its guidance for full-year 2009 as reported to the markets on 20 January:
- Revenue growth of between 5% and 7%, with higher growth in the international markets.
- Order intake will not only outstrip intake for 2008, but also revenue in 2009, enabling the company to expand its order backlog a further year.
- Maintaining the EBIT margin between 11.3% and 11.5%.
Rafael Villaseca, Indra director representing Unión Fenosa
At its meeting held today, the Board of Directors appointed Rafael Villaseca Marco as proprietary director of Indra in representation of the shareholder interest of Unión Fenosa, replacing Honorato López Isla.
Rafael Villaseca is the CEO of Gas Natural and recently has also been appointed CEO of Unión Fenosa.
Proposed dividend of €0.61 per share (gross)
The Board of Directors has resolved to propose to company shareholders, at the next General Shareholders’ Meeting held on 25 June, the distribution of an ordinary dividend of €0.61 per share against 2008 profits. This represents a pay-out of 55%, in line with recent years’ payout.