The Apostle Manthus
The first quarter of 2026 may be one of the most important quarters presented by GENTER The last decade. Not only because of the significant increase in profitability, but mainly because it reveals by numbers the change in the group's economic DNA. Behind the lines of the results is now a group which shifts the centre of gravity of its profitability from the execution of projects in the ownership and operation of infrastructure with multi-annual contracts and high predictability.
The total revenue was set at EUR 992.6 million, essentially at the same levels as last year, but real progress is recorded in the results statement. Operating profitability increased by 22.4% at EUR 165.9 million, while the adjusted net profits of shareholders were reinforced by 33.2% at 34.6m euros, with profits per share reaching EUR 0,34.
The strongest change concerns the composition of profitability. The concessions produced EUR 108.6 million EBITDA, increased by 45%, and now account for 65.5% of the total operating profitability of the group. Last year the corresponding size was EUR 74.9 million, which means that within a year almost EUR 34 million EBITDA added Only from this sector. This is a development with particular importance for investors, institutional and non-institutional, as concessions offer greater revenue visibility, higher predictability and a much longer life span than a classic construction cycle.
One of the important catalysts behind this shift is Egnatia Street. The first quarter was the first period of consolidation of the project in the results of the group. It is worth noting that the contribution is recorded in a quarter traditionally showing the lowest traffic activity of the yearAt the same time, work on upgrading the motorway is under way. Nevertheless, Egnatia has already contributed EUR 35,6 million revenue, with a traffic increase of 4.5%.
At the same time Attiki Street continues to function as one of the country's most efficient infrastructure. The transits increased to ECU 24.8 million. Toll revenues reached EUR 55 million and the EBITDA margin spread to 80.1%, a percentage rarely encountered in European infrastructure projects of this size.
The actual dimension of the portfolio begins to be perceived when someone examines the duration of contracts. There are currently concessions and PPPs in the portfolio of GEK TERNA that extend until 2064, as the port of Kavala expires in 2064, the Egnatia in 2060, the BOAK (Chania–Heraclio) in 2059, the Kasteli in 2055, the IRC in Greek in 2053 etc. Egnatia, Attiki Street, Kasteli, BOAK, waste management units, water infrastructure and the port of Kavala compose an infrastructure portfolio with a multi-annual duration of contracts and a significant capacity to produce cash flows.
At the same time, builder arm continues to work with high efficiency. Revenue increased by 8% The EUR 373.9 million, the EBITDA Aided by 9,7% The EUR 51.5 millionWhat is surprising is that margins are kept constant despite a significant expansion of the volume of work. This suggests disciplined project selection and efficient cost management.
The unexecuted remains one of the strongest cards in the group. The signed project portfolio is formed in EUR 7.2 billion, together with the works to be signed it reaches EUR 8.8 billion. It is even more important that the 51% In the case of investments by the group itself, approximately the 25% concerns private investments by third parties. This composition offers greater visibility, lower executive risk and better return on capital.
In the energy sector, the reduction in electricity prices reduced operating sizes. However, the image is more complex than EBITDA suggests. The new gas plant in Komotini it has offered a significant contribution through the holdings consolidated with the equity method. Thus, despite the fall in the operating result, the profits before tax and net profits of the sector were strengthened.
Another point of strategic importance is the position in the EYDPThe acquisition of 12.8% of the company cost around EUR 134 million And absorbed much of the quarter's investments. This move adds exposure to a sector with long-term infrastructure characteristics, compatible with the group's overall development philosophy.
The financial arm, GEK TERNA acquired an investment grade from Moody’s and S&P. This is a development that directly affects the cost of financing, the ability to access markets and the attractiveness of the share in large international portfolios.
Despite the large investment programme, financial position remains strong. Available can be obtained from: EUR 1.57 billion, while the adjusted net lending with the exception of project finance is structured in EUR 402 million. It is also worth noting that about 91% total lending the financing of projects without reference to the parent company.
The first quarter of 2026 confirms that GEK TERNA is in the process of expanding its financial footprint. The construction feeds the unexecuted, concessions strengthen the production of cash flows, new projects gradually enter into operation and the investment tier adds another financial aid lever.
At the same time, the share of the 55-day-chart Fibo has started and develops a large rise angle giving indications of possible upward passage within the zone of EUR 45 to EUR 48.
* Apostolos Manthos is responsible for technical analysis & investment strategy
** The content of the Article may in no way be regarded as advice or suggestion or recommendation or invitation to purchase or sell any share or investment or financial product traded on an organised or non-market.
