Mota-Engil (EGL) H2 2025 earnings summary

Executive summary

• Achieved record EBITDA of €979 million (18% margin, up 4% YoY) and record net profit of €133 million (+9% YoY), despite an 11% turnover decrease due to project delays in Mexico and Portugal, with disciplined capital allocation and strong cash flow generation.

• Backlog reached a record €16.2 billion (+4% YTD), providing three years of E&C visibility and underpinning medium- to long-term growth, with additional contracts in Brazil and Portugal not yet included.

• Strategic focus on core markets, large-scale contracts, and high-margin segments, with significant new project awards in Portugal, Mexico, Brazil, and Africa.

• Celebrated 80th anniversary, marking the end of a strategic cycle and the start of a new one, with strong operational and financial discipline.

• ESG credentials improved, earning market recognition and awards for sustainability and workplace excellence.

Financial highlights

• EBITDA reached €979 million, a 4% increase YoY, with a margin of 18% (+2 p.p. YoY), driven by all business segments, especially Industrial Engineering (30% margin, +73% YoY turnover).

• Net profit rose 9% YoY to €133 million, achieving a 3% margin, ahead of the 2026 target.

• Turnover was €5.3 billion, down 11% YoY due to delays in Mexico and Portugal and the divestment of Polish operations.

• Operating cash flow increased 27% YoY to €924 million, supporting positive free cash flow and dividend distribution.

• CapEx was €396 million, a 22% reduction YoY, representing 7% of turnover, with 64% allocated to high-return segments.

Outlook and guidance

• 2026 guidance targets double-digit turnover growth (10–15%), recovering from 2025 turnover decline and surpassing 2024 levels.

• EBITDA margin to remain at or above 18%, with net margin stable at 2025 levels.

• CapEx to be maintained around 7% of turnover; net debt/EBITDA to stay below 2x, gross debt/EBITDA below 4x.

• Focus on efficient concession portfolio management, strategic asset rotation, and long-term value creation.