Bauer has credited plans put in place in 2016 to turnaround its business for the growth in sales and profitability in 2017, which it revealed today in its annual report.
The company reported that sales revenues were up 19.4% at €1.67bn (£1.45bn) while EBIT increased 27.5% to €89.6M (£78.1M).
Bauer is also forecasting to build on these figures in 2018 with group revenues of €1.8bn (£1.57bn) and EBIT of €90M (£78.4M) and growth of 3 to 8% in future years too.
“In 2017, we recorded above-average growth and further improved our operating profitability,” said Bauer chairman of the management board Thomas Bauer. “This enabled us to continue the turnaround that we initiated in 2016 and is a very good foundation for the future development of the company.”
The company said that it achieved these figures despite the negative impact of currency exchange rates, reassessment of the balance sheet as a result of arbitration for a construction contract in Hong Kong and negative results in its Resources division.
Bauer said that its construction division is benefitting from the global growth in construction markets.
The division recorded a 17.1% increase in revenues to €835M (£728M) but the impact of the arbitration affected earnings after tax resulting in a loss of €15.2M (£13.2M). Bauer said the case related to work in 2012 and, although the verdict was in Bauer’s favour, it affected receivables on the balance sheet by more than €20M (£17.4M).