Implenia AG (IMPN) AI Stock Analysis

• Market Cap: $1.07B
• Dividend Yield: 1.55%
• Average Volume (3M): 81.59K
• Price to Earnings (P/E): 11.5
• Beta (1Y): 0.75
• Revenue Growth: -1.03%
• EPS Growth: -34.58%
• Country: CH
• Employees: 9,046
• Sector: Industrials
• Sector Strength: 78
• Industry: Engineering & Construction
• EPS (TTM): 3.60
• Shares Outstanding: 18,472,000
• 10 Day Avg. Volume: 40,480
• 30 Day Avg. Volume: 81,587
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 0.24
• Enterprise Value/Gross Profit: 0.90
• Enterprise Value/Ebitda: 4.09
• 1Y Price Target: $60.67
• Price Target Upside: 4.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 75 Outperform
• Price Target: ―

Implenia AG's strong balance sheet, characterized by zero debt and a solid equity ratio, is a significant strength. However, challenges in revenue growth and net profit margins, along with cash flow issues, indicate areas for improvement. The technical analysis shows an upward trend, and the valuation suggests the stock is undervalued, which could attract investors. Overall, the stock has a stable outlook with potential for positive performance if financial and operational efficiencies are improved.

Implenia AG Business Overview & Revenue Model

Company Description

Implenia AG operates as a construction and real estate services company primarily in Switzerland, Germany, Austria, Norway, Sweden, France, and internationally. It operates through four divisions: Real Estate, Buildings, Civil Engineering, and Specialties. The company is involved in road building; tunneling; excavations, retaining structures, deep foundations, and noise barriers; civil engineering; infrastructure maintenance; and structural engineering activities. It also provides real estate services comprising real estate development and management, real estate investment, building construction, project management, pollutant cleanup, general and total contracting, building technology, real estate consulting, general planning, and home ownership. In addition, the company offers special construction services, including planning and construction of post-tensioning and geotechnical systems, construction logistics, timber construction, machinery and electrical, and material engineering services. Implenia AG was founded in 2006 and is headquartered in Dietlikon, Switzerland.

How the Company Makes Money

Implenia AG generates revenue through its diverse portfolio of services in the construction and real estate sectors. Key revenue streams include large-scale construction and infrastructure projects, where the company leverages its expertise in engineering, planning, and project management. The company also earns income from real estate development projects, including the acquisition, development, and sale of residential and commercial properties. Partnerships and collaborations with government bodies, municipalities, and private enterprises are significant contributors to its earnings, allowing Implenia to secure contracts for major infrastructure and building projects. Additionally, the company's focus on sustainability and innovation in construction techniques helps it to maintain a competitive edge and attract new business.

Implenia AG Financial Statement Overview

Summary

Implenia AG demonstrates a solid financial footing with a strong balance sheet characterized by zero debt, indicating low leverage and reduced financial risk. While the income statement shows effective cost management, the decline in revenue and net profit margins highlight challenges in maintaining growth and profitability. Cash flow issues persist, although there is potential for improvement. Overall, the company's financial health is stable with areas for growth and efficiency improvements.

Income Statement

Implenia AG's income statement shows a solid gross profit margin of 43.71% for 2024, indicating effective cost management. However, the revenue growth has been flat with a slight decrease of 1.03% from 2023. The net profit margin for 2024 stands at 2.59%, lower than the previous year, reflecting challenges in maintaining profitability. The EBIT margin dropped to 0%, raising concerns about operational efficiency.

Balance Sheet

The balance sheet is strong with zero total debt in 2024, highlighting a significant reduction in leverage and potential risk. The equity ratio improved to 21.05%, indicating a healthier financial structure. Return on Equity decreased to 14.16%, which is still a solid figure but reflects reduced profitability. Overall, the balance sheet shows stability and improved financial health.

Cash Flow

The cash flow statement indicates challenges with negative free cash flow of -37.54 million in 2024, despite improved operating cash flow. The free cash flow to net income ratio is negative, indicating cash flow generation issues. However, the increase in operating cash flow to 43.16 million suggests potential improvement in cash flow management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.56B	3.60B	3.56B	3.76B	3.99B
Gross Profit	1.56B	1.47B	1.44B	1.51B	1.27B
EBITDA	243.89M	217.89M	202.22M	198.58M	-54.04M
Net Income	92.36M	140.96M	104.75M	61.16M	-132.05M
Balance Sheet
Total Assets	3.10B	2.91B	2.75B	2.99B	2.94B
Cash, Cash Equivalents and Short-Term Investments	402.00M	478.81M	609.04M	796.89M	719.99M
Total Debt	0.00	635.42M	645.95M	880.25M	732.84M
Total Liabilities	2.44B	2.33B	2.27B	2.64B	2.64B
Stockholders Equity	652.32M	568.29M	476.20M	333.96M	278.74M
Cash Flow
Free Cash Flow	-37.54M	-90.14M	89.41M	-116.34M	-222.42M
Operating Cash Flow	43.16M	-30.37M	128.13M	-69.25M	-161.53M
Investing Cash Flow	-96.71M	17.71M	170.87M	-123.25M	-31.81M
Financing Cash Flow	-23.91M	-99.08M	-294.33M	107.42M	4.16M

Implenia AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 58.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:IMPN, the sentiment is Positive. The current price of 58 is above the 20-day moving average (MA) of 56.14, above the 50-day MA of 54.90, and above the 200-day MA of 41.24, indicating a bullish trend. The MACD of 1.34 indicates Negative momentum. The RSI at 60.56 is Neutral, neither overbought nor oversold. The STOCH value of 51.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:IMPN.

Implenia AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMPN	75 Outperform	$1.07B	11.51	15.10%	1.55%	-1.03%	-34.58%
Sector *	71 Outperform	¥267.71B	14.94	8.32%	2.77%	6.08%	11.04%
INRN	68 Neutral	CHF1.94B	32.57		1.36%	-3.67%	-12.95%
STGN	61 Neutral	CHF176.67M	17.06		3.08%	-1.46%	-115.85%
RIEN	47 Neutral	CHF248.77M	30.04		3.59%	-28.40%	-117.97%
0QQF	―	CHF302.94M	9.66	14.20%	2.73%	―	―
SRAIL	65 Neutral	CHF2.16B	56.27		0.93%	-9.78%	-69.10%

Implenia AG Corporate Events

Implenia Secures Major Contract for Munich S-Bahn Expansion

Implenia AG, in partnership with HOCHTIEF, has been awarded a significant contract by Deutsche Bahn for the construction of the eastern section of the 2nd S-Bahn main line in Munich. This project, which includes constructing tunnels and connecting structures, aims to enhance Munich’s public transport infrastructure by relieving congestion and improving travel times. The project is set to begin in June 2025 and complete by May 2033, continuing the successful collaboration between Implenia and HOCHTIEF.

Implenia Strengthens Financial Structure with CHF 220 Million Bond Issuance

Implenia has successfully placed a CHF 220 million bond on the Swiss capital market, enhancing its financial structure. The bond, with a 4-year term and 2.50% interest rate, will support general corporate purposes, including refinancing existing debts. This strategic move is expected to extend the company’s maturity profile and strengthen its financial position, with the bond set to be listed on the SIX Swiss Exchange.

Implenia Secures Major Contracts in Data Centers, Healthcare, and Infrastructure

Implenia AG has secured several significant contracts worth over CHF 150 million in the areas of data centers, healthcare, and energy and transportation infrastructure across Switzerland, Germany, and Austria. These projects, including a new data center for Green in Lupfig, the facade for Heidekreis-Klinikum in Germany, and the Klinikum 2 at University Hospital Basel, align with Implenia’s strategic focus on large projects and sector specialization. The contracts are expected to enhance Implenia’s market position and demonstrate its capabilities in delivering innovative and sustainable solutions, potentially impacting stakeholders positively by showcasing growth potential in these sectors.

Implenia AG Shareholders Approve All Proposals at 2025 General Meeting

At the General Meeting of Implenia AG, shareholders approved all proposals, including a dividend of CHF 0.90 per share and the 2024 financial statements, with overwhelming support. The meeting confirmed the re-election of existing board members and introduced Marie-Noëlle Zen-Ruffinen as a new board member, reflecting strong shareholder confidence in the company’s leadership and strategic direction.

Implenia Secures Major Railway Project in Sweden

Implenia AG has been awarded a significant contract by the Swedish Transport Authority to construct a section of the ‘East Link’ railway project in Sweden, valued at approximately CHF 130 million. This project, which includes building bridges, railway tracks, and renovating existing structures, is part of a strategic partnership under the ‘Design and Build’ model, aligning with Implenia’s expertise in large infrastructure projects. The ‘East Link’ project aims to enhance connectivity and regional development along the Swedish east coast, improving train frequency and reducing travel times.