However, its UK construction business maintained its profits at the same level as 2009, despite a 7% fall in revenues.
The company said that the UK construction market was starting to be hit by the effects of the government spending and major regional differences in activity were “now very apparent”.
Property activities in the UK were at a low level in 2010 and the recovery seems to be cautious and only in prime locations, the company said. “Although BAM Properties started development work on two new property projects in Glasgow and London during the second half of 2010, additional provisions of over €6m were taken on several regional projects resulting in a €13m loss on the UK property activities.”
For Royal BAM Group as a whole, 2010 revenues of €7.6bn not only down on the €8.3bn of 2009, but also down on the €7.7b that it has forecast as recently as November. This was blamed primarily on the poor weather conditions in December.
All sectors made a profit in 2010, with the exception of the property sector which posted a loss of €187m. Group profit before tax and impairment was €153m in 2010, up from €82m in 2009.
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