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Highlights

  • Aecon Group Inc has inked an agreement with Connor, Clark & Lunn Infrastructure to sell off its 49.9% interest in Bermuda International Airport for USD 128.5 million in cash.
  • In Q2 2023, the firm posted a total revenue of CAD 1,166.9 million.
  • The company’s profit before income taxes also registered an increase to CAD 41.2 million, as compared to a loss of CAD 7.9 million in pcp.

Canada-based Aecon Group Inc (TSX: ARE) operates in two segments, namely Construction and Concessions. Under its Construction segment, the company deals in diverse requirements of the construction of public and private infrastructure projects. Under the Concessions segment of the company, ARE develops, finances, constructs, and operates infrastructure projects.

Recently, the company inked an agreement with Connor, Clark & Lunn Infrastructure to sell off its 49.9% interest in Bermuda International Airport for USD 128.5 million in cash. Post the agreement, Aecon Group holds 50.1% shares in Skyport and the airport management contract.

In the second quarter of the year 2023, the firm posted a total revenue of CAD 1,166.9 million, which was nearly 4% higher than the previous corresponding period.. ARE attributes this growth in revenue to the contributions from its Construction segment and Concessions segment. The company’s profit before income taxes also registered an increase to CAD 41.2 million, as compared to a loss of CAD 7.9 million in pcp. Its net income was recorded at CAD 28.2 million in Q2 2023, versus a net loss of CAD 6.3 million in the previous corresponding period.

Top 10 Shareholders

Approximately 22.27% of the total shareholding in the firm is held by its top ten shareholders. While Mackenzie Financial Corporation holds around ­­­5.66% stake in the company, Mirae Asset Global Investments (USA) LLC owns 4.96% shares in the firm.

Stock Price Performance
The company’s stock price has jumped by 4.22% over the last one month. It has gained around 12.75% in the three months. The stock’s 52-week high and low price stand at CAD 14.04 and CAD 8.29, respectively.

Markets are trading in a highly volatile zone currently due to certain macroeconomic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is September 18, 2023. The reference data in this report has been partly sourced from EODHD/Others.