Greece’s large construction groups are seeking stable cash flows in order to be prepared in case of future difficult times.
For GEK Terna, Intrakat, Avax and Metka stable cash flow means more participation in concession and PPP projects as well as an improvement in the profit margin in constructions.
All companies have a high outstanding balance, a total of 14.3 billion euros, having left behind them the period of the economic crisis in which projects were few and far between. And it is not just public works. Many private projects are underway, with the most important being the development of Ellinikon.
Their managements are cautiously optimistic. Their focus is on the execution of the projects they have undertaken and the financial strengthening of the groups.
The general assessment is that at least until 2030 there will be plenty of work, even outside Greece.
An executive with extensive experience in construction noted that all the construction groups – now four in number – have changed course.
Their managements have learned their lesson from the previous difficult period and now they are not only looking at how to execute the projects, but also how the companies will be strengthened by preparing long-term plans.
