Ferrovial (FER) Q1 2025 earnings summary

Executive summary

• Achieved substantial revenue growth across all business divisions in Q1 2025, with strong performance in North American highways and construction.

• Net cash position of EUR 1.9 billion at quarter-end, supported by asset divestments and disciplined capital allocation.

• Announced acquisition of up to 5.06% stake in 407 ETR for CAD 2.09 billion, expected to close in Q2 2025.

• Silvertown Tunnel in London opened, enhancing UK infrastructure portfolio.

• Major corporate events included AGS divestment for EUR 538 million, equity injections in NTO for EUR 152 million, and share buybacks totaling EUR 156 million.

Financial highlights

• Revenue reached EUR 2,059 million, up 7.4% year-over-year; adjusted EBITDA rose 19.1%; adjusted EBIT up 28.3%.

• Construction order book reached an all-time high of EUR 17,187 million, up 4.4% from Dec 2024.

• U.S. highways revenue increased 19.1% year-over-year, representing 98% of highway division revenue.

• 407 ETR toll revenue rose 24.3% year-over-year, driven by toll increases and targeted promotions.

• AGS divestment generated EUR 538 million inflow; capital gain of EUR 297 million recognized in Q1 2025.

Outlook and guidance

• Long-term target of 3.5% adjusted EBIT margin in construction reaffirmed.

• Construction order book at peak level, focused on local markets and lower-risk projects.

• Pipeline includes major managed lanes projects in Atlanta, Tennessee, North Carolina, and Virginia, with new bid submittals expected in H1 2026.

• Dividend guidance for three years provided; future guidance to be revisited.

• Focus remains on US market expansion and selective international opportunities.