Eiffage says proposed tax hike would have cost it 135 million euros in 2023
Adds details of French corporate tax increase in paragraphs 1-3, adds company comment in paragraphs 2, 7
By Dimitri Rhodes
Nov 13 (Reuters) -French construction group and motorway operator Eiffage FOUG.PA said on Wednesday it maintained its 2024 outlook for net profit to be around the prior year's level before a tax surcharge likely to be imposed on large companies in France.
The company said that the surcharge, under consideration by the French parliament after being announced by Prime Minister Michel Barnier in October, would have reduced net profit by 135 million euros if it had been in effect in 2023.
Toll road competitor Vinci said last month that if passed in its current form, the bill would increase its taxes by about 400 million euros for 2024, which would be paid in 2025.
Eiffage reporteda 4.6% like-for-like rise in its third-quarter revenue, citing brisk orders.
The group's contracting order book rose 47% year-on-year to 28.8 billion euros, reflecting twomajor contracts won in late 2023 and the award of Lyon-Turin rail tunnel construction in 2024's third quarter.
"Eiffage benefits from very strong visibility in contracting," the company said in a statement, adding that the value of orders to be delivered in 2026 and later grew by 250% to 13 billion euros.
It said organic growth in contracting was likely to be weaker in 2024 than in 2023.
Eiffage, which runs the 1,883-kilometre (1,170-mile)Autoroutes Paris-Rhin-Rhône toll road network across eastern France, said its total revenue in the third quarter was5.89 billion euros, against 5.46 billion euros in the same quarter of 2023.
($1 = 0.9467 euros)
Reporting by Dimitri Rhodes. Editing by Jane Merriman and Cynthia Osterman
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