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• The company maintains robust growth results in the first quarter, driven by its P3-focused strategy.
• Profit rates stood at 24.8%, 4.5 points higher than in the first quarter of 2022. 
• In 2023, Sacyr will commission four major P3 assets, increasing the value of its portfolio.
• Sacyr expects to reduce its recourse net debt throughout 2023. Divestment processes for Sacyr Facilities and Valoriza Medioambiente are currently in the confirmatory due diligence phase and binding offers are scheduled for later in May.
• Backlog grows by 8% and exceeds €58.8 billion.

Sacyr achieved solid growth in the first quarter of 2023, thanks to its business model, focused on P3 development.

The company’s EBITDA reached €320 million, which entails a 32% increase compared to 2022. All three Sacyr business units (Sacyr Concesiones, Sacyr Engineering and Infrastructure and Sacyr Services) contributed to EBITDA growth, driven by the commissioning of new highway sections and good asset performance.

Profitability (EBITDA margin) was 24.8%, 4.5 p.p. higher than in 1Q 2022. 

Revenues ended March 2023 at €1,293 million, with an 8% increase, and net profit was €31 million, 51% higher.

P3 assets make up 85% of the EBITDA, which yields a predictable and stable business model. The international backlog is 85% of the total.

According to schedule, Julie Harrison, Permanent Secretary for the Department for Infrastructure of NI, attended the opening event of this strategic route between Dungiven and Drumahoe, that is also part of the Northwestern transport corridor connecting the Belfast metropolitan area and the Northwest of the country to Londonderry.

The project, developed by the Sacyr Engineering and Infrastructure-Wills Bros-Sacyr Somague joint venture, called for the construction of 25.5 km of road between both towns, including four separate junctions, 17 km of side roads, 20 km of access tracks, 9.5 km of pedestrian walkways and 22 structures (6 viaducts, 10 overpasses, 5 underpasses and one wooden sidewalk).

These improvements guarantee the comfort, traffic, and safety of the more than 15,000 users that travel the road each day, and reduce journey times by more than 10 minutes.

Over 600 professionals have collaborated to the make this project a success since the beginning of the contract.

Positive impact

The project has brought on multiple sustainable initiatives throughout construction. For example, 18 new underpasses for wildlife were built at multiple points of the road to ensure their safety. We have also planted over 750,000 trees in the surrounding areas of the project site.

Our colleagues from Sacyr Engineering and Infrastructure have completed two Repsol projects on the el puerto Exterior de A Coruña that will allow the gas company to move their operations from the San Diego inner port to Punta Langosteira. 

This project will prevent the need from gas cargo vessels from entering the port and will notably optimize unloading freight times in the new facility.

The first project we completed, back in 2020 was the development of the new dock for unloading gas in Punta Langosteira.

The 520-meter-long dock can harbor up to 300-meter-long and 200,000 tn vessels. This development included, among other units,19 reinforced concrete floating vessels equivalent in height to a 10-story building, a four-arch viaduct and a  dock pit.

Carlos Balado, head project director for both developments highlighted “the contribution of all involved in both projects and who have worked hard to achieve a major milestone for A Coruña”.

Innovation

As part of our improvement and innovation projects, we have used pairs of floating breakwaters that run parallel to our floating dock Sacyr Uno instead of doing it individually.

We have done a triple concrete piping, so we have put two pumps on top of floats/pontoons to save the distance from land to the isolated breakwaters.

New pipeline

The second activity we completed in May last year was the pipeline. It is 3.8 km long and 11 meters wide; it has 11 underground pipes to transport products from the refinery and the new maritime Repsol terminal in the exterior port: two of them for gas a third for water and the remaining eight for other products.

Sustainable updates

This project entailed additional efforts to ensure safety, environmental and patrimony protection. 

One example is the exhaustive environmental monitoring and control activities of invasive species, such as the pampas grass. We also temporarily deviated a stream and later undertook its environmental restoration.

We have also developed a plan for petroglyph conservation, with the approval of the Galician cultural patrimony authorities and in cooperation with Repsol, to respect the configuration of the archaeological remains. This plan also includes the restoration of the flora along the project site layout.  

55 auxiliary companies and 370 professionals are involved in the dock project, and 35 companies with 290 professionals developed the new pipeline.

Sacyr experienced record growth in 2022 thanks to its successful business model, focused on the development of concession assets.

The company’s EBITDA climbed to €1,502 million, a 63% increase compared to 2021. This growth was due to the commissioning of several highway sections and the fact that the concession assets’ revenues are directly linked to inflation.

This improvement in results came with a substantial increase in profitability (EBITDA margin), that raised the result to a record 25.7%, 6 pp higher than in 2021 (19.7%).  

Revenues in 2022 stood at €5,852 million, a 25% increase compared to 2021, and net profit was €111 million, compared to the €189 million in the red in 2021. 

Sacyr proved the soundness of its predictable and stable business model in 2022. Concession assets made up 88% of the EBITDA, compared to 83% in 2021.    

In 2022, Sacyr fulfilled the main goals in the 2021-2025 Strategic Plan in terms of revenues (€5,852 M vs. €5,500 M), EBITDA (€1,502 M vs. €1,200 M), profitability (26% vs 22%) and percentage of EBITDA contributed by concessions (88% vs. 85%).

Sacyr announced a divestment plan in October 2022 to fulfill the target of drastically reducing the recourse net debt well ahead of schedule.

Today, Manuel Manrique, Chairman of Sacyr, received the National Innovation and Design Award in the Large company category, from their Majesties, King Felipe and Queen Letizia of Spain.

Diana Morant, Minister for Science and Innovation, and Adrian Barbón, President of the Principality of Asturias, attended the award-giving ceremony held in Avilés, among other authorities. 

These awards, given by the Spanish Ministry for Science and Innovation, recognize Sacyr’s business model, that “uses innovation as a foundational and strategic value”.

“To us, innovation is a driver and generator of competitive advantages. It’s a tool that helps us prepare for the future through new ways of designing, building and managing our infrastructures and services”, Manrique explained.

With this award, the Government of Spain acknowledges how Sacyr faces the digitization and ecological transition challenges to find new business opportunities based on open innovation and public-private collaboration

45 innovation projects

In 2022 we developed 45 innovation projects with a budget of over €13 million. Nearly 350 Sacyr professionals are involved in innovation-related initiatives.
 

"Congratulations to the companies that are included in the 2023 GEI," said Peter T. Grauer, Chairman of Bloomberg and Founding Chairman of the U.S. 30% Club.

"We continue to see an increase in both interest and membership globally, reflecting a shared goal of transparency in gender-related metrics”, he added.

To construct the GEI, Bloomberg assesses gender equality practices in companies across five pillars: leadership & talent pipeline, equal pay & gender pay parity, inclusive culture, anti-sexual harassment policies, and external brand.

Barrier breakers
Some of the greatest challenges in traditionally male-dominated fields are opening the doors to female talent and ending the glass ceiling. Sacyr is above the industry average in indicators such as new hires, percentage of women in the workforce, and women in executive and middle management roles.

The company, that obtained the highest possible score in disclosure, positioned itself as the highest-scored in the transport infrastructure industry and got remarkable results in the ‘Equal pay & gender pay parity’ chapter.

“For Sacyr, this new milestone represents the recognition of our commitment to equality and talent, both cornerstones of the 2021-2025 Strategic Plan”, highlighted Patricia Martínez, Chief People Officer at Sacyr.

Committed to gender equality
As part of its commitment to equality, Sacyr has a Diversity, Equality and Inclusion Policy and a Protocol for the prevention and action in cases of harassment and discrimination, as well as an action plan to increase women in leadership.

Additionally, Sacyr also sponsors STEM education programs for women and girls and is signatory of the UN Women's Empowerment Principles and participates in the Target Gender Equality program, both Global Compact initiatives.