Hochtief increases profit by 40% thanks to AI boom and data center construction
The construction group Hochtief reported a record order backlog of €90 billion, driven by the growing number of data centers being built. Operating profit rose by 40% over nine months.
EJ Yao · Unsplash License
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In brief
- Hochtief reported a record order backlog of 90 bn euros, 29 percent higher than a year earlier.
- Orders for data centres over the past year totalled almost 27 bn euros.
- Operating profit over the first nine months rose 40 percent to 752 million euros, and revenue rose 14 percent.
Record order backlog
Hochtief's order backlog rose to 90 bn euros by the end of September. That is 29 percent more than a year earlier (Hochtief: Baukonzern profitiert von KI-Boom - Gewinn um 40 Prozent gesteigert – DER SPIEGEL). According to the quarterly report, data centres alone brought the company orders worth almost 27 bn euros over the last twelve months.
Financial results
In the first nine months, the group's operating profit grew 40 percent year on year, to 752 million euros. Revenue increased 14 percent, to just over 32 bn euros.
Management commentary
CEO Juan Santamaría said the record order backlog gives the company excellent prospects for the future. He is also the head of Hochtief's parent company, the Spanish construction and infrastructure group ACS.
AI-driven growth
The growth in orders is linked to rising demand for infrastructure supporting artificial intelligence. More and more data centres require new facilities, which translates into revenue for construction firms such as Hochtief.
Sources
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