Bouygues net profit plunges in 2010 despite stable sales

PARIS: French diversified conglomerate Bouygues, active in construction, real estate, media and telecommunications, said Tuesday its net profit plunged 19 percent in 2010 despite stable revenue.

The company said sales were stable in relation to 2009 at 31.2 billion euros ($43.1 billion), although on a like-for-like basis and at constant exchange rates they dropped by three percent.

Net profit fell 19 percent to 1.1 billion euros, but includes a provision of 66 million euros for Bouygues' share of the restructuring plan announced by French engineering group Alstom in October 2010.

It said operating profits declined less, by five percent, to 1.8 billion euros, with all units except road construction company Colas, its largest, posting good operating results.

Net debt fell from 2.7 billion euros to 2.47 billion euros.