Company DescriptionObrascón Huarte Lain, S.A. engages in the construction and concessions development businesses in the United States, Canada, Mexico, Chile, Peru, Colombia, Spain, Central and Eastern Europe, and internationally. It operates through Construction, Industrial, and Services segments. The company provides civil engineering works and building construction services for public and private-sector customers; and designs, constructs, maintains, and operates industrial plants and systems, including oil and gas, renewable energy, mining and cement, solids engineering, and fire-fighting systems. It also offers property and infrastructure maintenance services for homes and offices, urban green areas, road networks, and social and health services, as well as develops real estate projects, and develops and operates mixed use hotels. The company was formerly known as Sociedad General de Obras y Construcciones Obrascón, S.A. Obrascón Huarte Lain, S.A. was incorporated in 1911 and is headquartered in Madrid, Spain.

How the Company Makes Money

Obrascon Huarte Lain Financial Statement Overview

Summary

Obrascon Huarte Lain shows positive revenue growth and strong cash flow management, with challenges in profitability impacting net income and return on equity. The balance sheet remains stable with a manageable debt level. Focusing on improving operational efficiency and profitability could enhance the company's financial performance moving forward.

Income Statement

Positive

Obrascon Huarte Lain has shown a steady increase in total revenue from 2023 to 2024, with a revenue growth rate of 16.61%. The gross profit margin for 2024 stands at 44.03%, reflecting strong cost management. However, the company faces challenges with profitability, evidenced by a negative net profit margin of -1.37% in 2024. The EBIT and EBITDA margins are modest at 2.02% and 2.62%, respectively, indicating room for improvement in operational efficiency.

Balance Sheet

Positive

The balance sheet reveals a debt-to-equity ratio of 1.13 for 2024, showing a balanced leverage situation. The equity ratio is 14.73%, indicating a moderate level of equity financing. Return on equity is negative at -9.48% due to net losses, highlighting a need for improved profitability. The company maintains substantial cash reserves, providing a cushion against financial volatility.

Cash Flow

Positive

Obrascon Huarte Lain has demonstrated strong cash flow management with a free cash flow growth rate of -18.30% from 2023 to 2024. The operating cash flow to net income ratio is favorable at 3.73, indicating efficient cash conversion. The free cash flow to net income ratio is -2.64, suggesting challenges in translating earnings into free cash flow.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
3.65B	3.13B	3.26B	2.78B	2.83B
	Gross Profit
1.61B	1.38B	1.56B	1.27B	1.24B
	EBIT
73.96M	90.67M	45.81M	24.54M	-8.54M
	EBITDA
95.58M	176.45M	88.53M	188.96M	1.25M
	Net Income Common Stockholders
-49.92M	5.52M	-96.84M	5.95M	-151.22M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
676.35M	611.29M	504.35M	545.08M	502.84M
	Total Assets
3.57B	3.26B	3.19B	3.06B	3.16B
	Total Debt
595.29M	588.54M	532.22M	564.39M	787.14M
	Net Debt
-85.77M	-10.39M	62.91M	56.93M	316.13M
	Total Liabilities
3.04B	2.76B	2.64B	2.44B	2.69B
	Stockholders Equity
526.24M	494.11M	558.40M	624.28M	463.57M
Cash Flow		Free Cash Flow
131.52M	160.98M	-26.68M	-30.28M	-17.10M
	Operating Cash Flow
186.20M	199.60M	11.47M	-633.00K	7.64M
	Investing Cash Flow
15.53M	-33.21M	123.27M	85.62M	-12.93M
	Financing Cash Flow
-128.57M	-43.11M	-185.50M	-63.87M	-59.26M

Obrascon Huarte Lain Peers Comparison

Overall Rating

UnderperformOutperform

Sector (66)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0MKG		€441.50M	0.73	-11.26%	―	―	―
Sector *	66 Neutral	$4.51B	12.29	5.40%	248.53%	4.14%	-12.41%
0HAC		€15.00B	17.81	16.48%	2.83%	―	―
0K97		€2.21B	16.61	-11.39%	21.02%	―	―
0HAA		€5.57B	12.79	8.78%	4.27%	―	―
0OFU		€2.71B	23.11	12.85%	3.63%	―	―
0MKT		€1.53B	15.88	17.19%	―	―	―

* Industrials Sector Average

Performance Comparison

GB:0MKG

Obrascon Huarte Lain

0.32

-0.03

-8.57%

GB:0HAC

Actividades de Construccion y Servicios SA

57.54

18.28

46.56%

GB:0K97

Elecnor

26.10

10.74

69.92%

GB:0HAA

Fomento de Construcciones y Contratas

12.34

1.99

19.23%

GB:0OFU

Sacyr SA

3.49

0.19

5.76%

GB:0MKT

Tecnicas Reunidas

19.65

7.06

56.08%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.