VINCI – First Half 2013 Financial Results

  VINCI – First Half 2013 Financial Results

Good performance in a difficult environment impacted by poor weather:

  *Revenue rises 4.3% to €18.7 billion
  *VINCI Autoroutes traffic improves
  *EBITDA increases, operating income and net income declines limited
  *Net financial debt falls €1.2 billion over 12 months
  *Order book stays at high level: €31.8 billion
  *Interim 2013 dividend unchanged: €0.55 per share

2013 outlook: slight increase in full year revenue on a comparable basis

Business Wire

RUEIL-MALMAISON, France -- July 30, 2013

Regulatory News:

VINCI (Paris:DG):

Key figures

                         First half                            Full year
                                     2012           2013/2012       2012
€ in millions            2013                    change
                                     (Pro forma^1                   (Pro
                                     )                              forma^1)
Revenue ^2               18,711    17,942        +4.3%           38,634
EBITDA ^3                 2,383     2,347          +1.5%           5,418
% of revenue             12.7%     13.1%                        14.0%
EBIT                      1,487      1,547          -3.8%           3,679
% of revenue              7.9%       8.6%                           9.5%
Operating income          1,484      1,526          -2.7%           3,660
% of revenue             7.9%      8.5%                         9.5%
Net income attributable   748        785            -4.7%           1,917
to owners of the parent
% of revenue             4.0%      4.4%                         5.0%
Earnings per share (€)   1.37      1.44          -4.7%           3.54
^4
Interim dividend per     0.55      0.55          -               1.77
share (€)
Net financial debt       (12,998)  (14,239)      +1,242          (12,527)
Order book at 30 June    31.8      33.2          -4.3%           31.3
(€ in billions)

^1 Amounts adjusted in line with the change in accounting method arising from
the application of IAS 19 Amended and described in Note B.4 of the half-year
financial report at 30 June 2013.
^2 Excluding concession subsidiaries’ revenue derived from works carried out
by non-Group companies. Revenue calculated according to IFRIC 12, including
works carried out by non-Group companies, amounted to €18,883 million in the
1^st half of 2013, up 3.6% compared to the 1^st half of 2012.
^3 Cash flow from operations before tax and financing costs.
^4 After taking dilutive instruments into account.

VINCI’s Board of Directors, chaired by Xavier Huillard, met on 30 July 2013 to
finalise the financial statements for the six months ended 30 June 2013. The
Board also studied the outlook for 2013 and approved the payment of a 2013
interim dividend in the amount of €0.55 per share, unchanged compared to the
2012 interim dividend.

VINCI’s first half 2013 accounts were marked by increases in revenue and
EBITDA, slight declines in operating income and net income as well as a
significant drop in net financial debt, all within a difficult environment
that was impacted by severe weather across most of Europe.

VINCI’s first half 2013 consolidated revenue increased 4.3% to €18.7 billion.
This was the accumulation of 2.6% organic growth, a 0.4% negative currency
effect and 2.1% growth from acquisitions.

Concessions revenue rose 1.4% (+2.0% on a comparable structure basis) to more
than €2.5billion, with a 2.2% increase at VINCI Autoroutes and strong growth
at VINCI Airports (+14%).

Contracting revenue (VINCI Energies, Eurovia, VINCI Construction) was €16.1
billion, up 5.3% actual or 3.2% on a comparable structure basis.

In France, revenue totalled €11.8 billion, an increase of 2.7% (up 2.4% on a
constant structure basis).

Outside France, revenue rose 7.1% to €6.9 billion (up 2.9% on a constant
structure and exchange rate basis). The proportion of revenue generated
outside France was almost 37%.

Comparable basis revenue growth accelerated to +3.8% in the 2^nd quarter of
2013, compared to the 1^st quarter growth rate of +1.1%. This improvement
occurred in both the Concessions (+2.9% in the 2^nd quarter of 2013 vs. +1.0%
in the 1^st quarter) and Contracting (+3.9% vs. +2.4%, respectively)
activities. Within Contracting, sustained Construction activity inside and
outside of France compensated for the decline at Eurovia which continued to be
impacted in Central and Eastern Europe. Activity at VINCI Energies was stable
overall during the 2^nd quarter.

CONCESSIONS: €2,577 million (+1.4% actual; +2.0% on a comparable structure
basis)

VINCI Autoroutes: Toll revenue increased 2.1% to €2,065 million. This was due
to an improvement in traffic on the intercity network in the last few months
(+0.3% overall, +0.7% for light vehicles, -2.1% for heavy vehicles), the A86
Duplex ramp-up (+0.1%) and other impacts (+1.7%).

VINCI Concessions generated revenue of €465 million in the first half of 2013,
an increase of 1.0% on a comparable structure basis. VINCI Airports posted
strong increase of 14%, with firm growth in traffic at Nantes-Atlantique
airport and Cambodia Airports. VINCI Park's revenue fell slightly to €301
million (down 1.9% on a comparable structure basis, including a 2.5% fall in
France and a 0.7% decline internationally).

CONTRACTING: €16,129 million (+5.3% actual; +3.2% on a comparable structure
basis)

In France, revenue came in up 4.0% at €9,367 million (up 3.5% on a constant
structure basis).

Outside France, revenue rose 7.2% to €6,761 million, representing an increase
of 2.8% on a constant structure and exchange rate basis and accounted for
close to 42% of the total in the Contracting business.

VINCI Energies: €4,419 million (+5.8% actual; -0.4% on a comparable structure
basis)

In France, revenue was €2,652 million (stable actual or down 0.8% on a
comparable structure basis). There was good performance in the telecoms
sector, whereas the situation in industry varied between regions. Activity in
the service sector was down, due to VINCI Facilities higher selectivity in
terms of accepting orders.

Outside France, revenue totalled €1,766 million (up 16.1% actual or stable on
a comparable structure basis). Revenue rose sharply in Brazil, Belgium, the
Netherlands, the United Kingdom and Switzerland. Business levels were stable
in Germany before taking GA Gruppe into account (acquired in 2012). After
strong growth in 2012, revenue fell in the first half of 2013 in Morocco and
Sweden. Business levels continued to decline in Southern Europe.

Eurovia: €3,603 million (-6.0% actual; -6.3% on a comparable structure basis)

In France, first-half 2013 revenue was €2,308 million, with a decrease of 2.2%
(on an actual and comparable structure basis). Adverse weather conditions in
the first half of 2013 affected the traditional roads business. However,
specialised activities related to rail infrastructure and urban transport were
stable.

Outside France, revenue totalled €1,295 million, down 12.1% actual and down
12.6% on a comparable structure basis. There was a sharp drop in revenue in
Central European countries (Poland, Slovakia and the Czech Republic) following
the completion of major projects, particularly tough weather conditions and
the market decline. Activity levels also declined in Germany and in Quebec. In
contrast, the United Kingdom and the United States posted strong business
activity.

VINCI Construction: €8,107 million (+11.0% actual; +10.4% on a comparable
structure basis)

In France, revenue amounted to €4,407 million (up 10.4% actual or 9.8% on a
constant structure basis). This reflects business from the Tours–Bordeaux
high-speed rail line, which accounted for 10% of revenue growth in the first
half of 2013, along with a slight decline in the building activity. Business
levels in French overseas territories remained robust.

Outside France, revenue totalled €3,700 million (up 11.8% actual or 11.1% on a
comparable structure basis). Sogea Satom (African subsidiaries), VINCI
Construction Grands Projets, Soletanche Freyssinet and Entrepose Contracting
all achieved strong business activity. There was also growth in activity in
the United Kingdom and the Benelux. However, revenue fell among Central
European subsidiaries.

As a whole and across all contracting business lines, the Tours-Bordeaux
high-speed rail line project generated revenue of €639 million in the first
half of 2013 (€185million in the year-earlier period).

VINCI Immobilier: revenue rose 0.6% to €360 million in the first half of 2013,
with growth in commercial property offsetting a slight decline in residential
property.

Cash flow from operations before tax and financing costs (EBITDA) amounted to
€2.4billion (+1.5%), equal to 12.7% of revenue. VINCI Autoroutes’ EBITDA
margin showed good improvement, increasing to 69.8% during the first six
months of 2013, mainly due to a good control of operating costs, compared to
68.9% during the same period last year.

Operating income from ordinary activities (EBIT) was €1.5 billion, down 3.8%
and represented 7.9% of revenue, compared with 8.6% in the first half of 2012.
In addition to the impact of poor weather, EBIT was impacted mainly by
increased depreciation charges at VINCI Autoroutes stemming from investments
put into operation over the past 12 months (the Balbigny-Lyon section of the
A89, the widening of the A63 and the “green package”). These effects were only
partially offset by the French competitive and employment tax credit (Crédit
d'impôt pour la compétitivité et l'emploi, or CICE).

Financial income/(expense) remained stable at -€307 million. The €30 million
cost of debt decrease compensated for the expensing of the financial charges
related to recent VINCI Autoroutes investments coming into operation.

Net income attributable to owners of the parent amounted to €748 million, down
4.7% due to the factors cited above as well as the impact of the tax measures
imposed in the second half of 2012. Diluted earnings per share was €1.37
(€1.44 per share at 30 June 2012).

Net financial debt at 30 June 2013 was €13.0 billion, a reduction of €1.2
billion compared to the end of June 2012. Six-month 2013 operating cash flow
amounted to €165 million (€240 million during the 1^st half of 2012). VINCI
Autoroutes investments declined approximately €200 million to €348 million.
Financial investments to–date amounted to €214 million (compared to €422
million during the 1^st half of 2012). Also, €654 million were paid to the
Group’s shareholders in the form of dividends (of which €441 million in the
form of newly issued shares). During the 1^st half of 2013, 3.5 million shares
were repurchased for a total amount of €124million (average price per share:
€35.24).

VINCI’s and its affiliates’ credit ratings were confirmed by Standard & Poor’s
(BBB+) and Moody’s (Baa1), both with stable outlooks.

Since the beginning of 2013, the Group has successfully issued €1.9 billion of
public and private bond placements with an average spread above 3-month
Euribor of 90 basis points and maturities between 2 and 15 years.

At 30 June 2013, the Group’s very high liquidity of €11.9 billion was composed
of €5.5billion in available cash and €6.4 billion in unused medium-term bank
credit facilities maturing between 2016 and 2018.

Order intake during the first six months of 2013 totalled 16.9 billion and
does not include several significant contracts recently won, including the Red
Line South of the Doha metro in Qatar and Dynamo Moscow Stadium which are
expected to enter the order book during the second half of the year.

The overall Contracting order book at the end of June 2013 stood at €31.8
billion, up approximately €500million since the beginning of the year.

2013 outlook

VINCI is confident about its outlook despite a still difficult economic
environment. The Group confirms that the trends observed in the 1^st half
should continue in the 2^nd half:

  *Slight organic growth of revenue,
  *Confirmation of the upturn in VINCI Autoroutes networks traffic,
  *Sustained growth of VINCI Airports traffic,
  *Increase of EBITDA; smaller operating income and net income decline
    compared to the 1^st half,
  *Order book to remain at a high level, particularly with a significant
    order intake coming from outside Europe.

Also, the finalisation of the legal and financial operations relative to the
acquisition of ANA, Portuguese airports concession holder, should occur within
the coming weeks. Its activity should be consolidated into the Group’s
accounts during the 2^nd half. Following this operation, VINCI’s net financial
debt will increase, ceteris paribus, by about €3 billion.

Interim dividend

An interim dividend of €0.55 per share in respect of 2013, unchanged compared
to 2012, will be paid in cash on 14 November 2013 (ex-date: 11 November 2013).

Post period events

On 5 July 2013, VINCI acquired 4,643,968 shares of Aéroports de Paris (ADP) at
a price of €78.50 per share, for a total amount of €364.6 million, bringing
its total participation in ADP’s capital from 3.3% to 8.0%.

                                  **********

Agenda
                     *Press conference:  08:30
                     *Analysts meeting:  11:00
31 July 2013     
                   Location for both events: Pavillon Ledoyen, 1 avenue
                   Dutuit, 75008 Paris
24 October 2013     *Quarterly information at 30 September 2013
11 November 2013    *2013 interim dividend ex-date
14 November 2013    *Payment of 2013 interim dividend

                                  **********

This press release, the first half 2013 slide presentation and the Group’s
half-year financial report at 30 June 2013 are available in French and English
on VINCI’s website: www.vinci.com.

APPENDIXES

Appendix A: HALF YEAR FINANCIAL STATEMENTS

INCOME STATEMENT                           First half
                                                     2012            2013/2012
€ in millions                              2013                   change
                                                     (Pro forma^1)
Revenue excluding concession                18,711  17,942          +4.3%
subsidiaries’ revenue derived from works
Concession subsidiaries’ revenue derived    172      280             -38.5%
from works ^2
Total revenue                               18,883   18,222          +3.6%
Operating income from ordinary activities   1,487    1,547           -3.8%
% of revenue ^3                            7.9%    8.6%           
Share-based payment expense (IFRS 2)        (43)     (49)            -11.1%
Goodwill impairment expense                 (1)      (1)             -28.6%
Income/(loss) of companies accounted for   41      29             +42.7%
under the equity method
Operating income                            1,484    1,526           -2.7%
% of revenue ^3                            7.9%    8.5%           
Cost of net financial debt                  (295)    (326)           -9.3%
Other financial income/(expense)            (12)     20              n.a.
Income tax expense                         (385)   (392)          -1.9%
Non-controlling interests                  (45)    (43)           +4.1%
Net income attributable to owners of the    748      785             -4.7%
parent
% of revenue ^3                            4.0%    4.4%           
                                                               
Earnings per share (in €) ^4                1.37     1.44            -4.7%
Interim dividend per share (in €)          0.55    0.55           -

^1 Amounts adjusted in line with the change in accounting method arising from
the application of IAS 19 Amended and described in Note B.4 of the half-year
financial report at 30 June 2013.
^2 In application of IFRIC 12, Service Concession Arrangements.
^3 % calculated on revenue excluding concession subsidiaries’ revenue derived
from works.
^4 After taking dilutive instruments into account.

SIMPLIFIED CONSOLIDATED BALANCE SHEET

                                               31 Dec. 2012   30 June 2012
                                  30 June 2013
€ in millions                                  (Pro forma^1)  (Pro forma^1)
Non-current assets -              26,300         26,459          26,719
concessions
Non-current assets –              8,797          8,848           8,471
contracting and other
WCR and current provisions       (5,515)       (6,699)        (5,686)
Capital employed                 29,582        28,608         29,504
Equity attributable to owners     (13,676)       (13,037)        (12,419)
of the parent
Non-controlling interests        (710)         (730)          (692)
Total equity                      (14,386)       (13,768)        (13,111)
Non-current provisions and       (2,198)       (2,313)        (2,154)
other
Long-term borrowings             (16,584)      (16,081)       (15,265)
Gross financial debt              (18,540)       (17,510)        (18,134)
Net cash managed                 5,542         4,983          3,895
Net financial debt               (12,998)      (12,527)       (14,239)

^1 Amounts adjusted in line with the change in accounting method arising from
the application of IAS 19 Amended and described in Note B.4 of the half-year
financial report at 30 June 2013.

CASH FLOW STATEMENT

                                                    First half
                                                                2012
                                                      2013
€ in millions                                                  (Pro forma^1)
Cash flow from operations before tax and financing   2,383     2,347
costs (EBITDA)
Change in WCR and current provisions                  (880)      (921)
Income taxes paid                                     (691)      (511)
Net interest paid                                     (372)      (346)
Dividends received from companies accounted for      24        28
under the equity method
Cash flows (used in)/from operating activities       464       597
Net investments in operating assets                  (298)     (358)
Operating cash flow                                  165       240
Growth investments in concessions & PPP              (399)     (598)
Free cash flow                                       (233)     (359)
Net financial investments                             (135)      (390)^2
Other                                                (79)      (32)
Net cash flows before movements in share capital     (447)     (780)
Increases/decreases in share capital and other        689        302
Share buy-backs                                       (124)      (456)
Dividends paid                                       (701)     (698)
Net cash flows for the period                        (583)     (1,632)
Other changes                                        112       (18)
Change in net financial debt                         (471)     (1,650)
                                                             
Net financial debt at beginning of period             (12,527)   (12,590)
Net financial debt at end of period                  (12,998)  (14,239)

^1 Amounts adjusted in line with the change in accounting method arising from
the application of IAS 19 Amended and described in Note B.4 of the half-year
financial report at 30 June 2013.
^2 Including the buy out of Entrepose Contracting minorities

Appendix B: ADDITIONAL INFORMATION

First half consolidated revenue* by geographical area and business line

                                               2013/2012 change
€ in millions                 2013    2012    Actual  Comparable
FRANCE                                             
Concessions                   2,427   2,386   +1.8%   +1.8%
VINCI Autoroutes               2,105   2,060    +2.2%   +2.2%
VINCI Concessions             323     326     -1.0%   -1.0%
Contracting                   9,367   9,005   +4.0%   +3.5%
VINCI Energies                 2,652    2,656    -0.1%    -0.8%
Eurovia                        2,308    2,360    -2.2%    -2.2%
VINCI Construction            4,407   3,990   +10.4%  +9.8%
VINCI Immobilier              360     358     +0.6%   +0.6%
Eliminations and adjustments  (345)   (253)          
Total France                  11,810  11,495  +2.7%   +2.4%
                                                          
INTERNATIONAL                                      
Concessions                   150     156     -4.1%   +6.5%
VINCI Autoroutes               8        7        +14.8%   +22.1%
VINCI Concessions             142     150     -4.9%   +5.8%
Contracting                   6,761   6,305   +7.2%   +2.8%
VINCI Energies                 1,766    1,522    +16.1%   +0.1%
Eurovia                        1,295    1,472    -12.1%   -12.6%
VINCI Construction            3,700   3,311   +11.8%  +11.1%
Eliminations and adjustments  (10)    (14)           
Total International           6,902   6,447   +7.1%   +2.9%

* Excluding concession subsidiaries’ revenue derived from works carried out by
non-Group companies (IFRIC 12).

Consolidated revenue* for the second quarter

                                              2013/2012 change
€ in millions                 2013    2012   Actual  Comparable
Concessions                   1,400   1,370  +2.2%   +2.9%
VINCI Autoroutes               1,168   1,135   +2.9%   +2.9%
VINCI Concessions             232     235    -1.3%   +2.9%
Contracting                   8,898   8,436  +5.5%   +3.9%
VINCI Energies                 2,305    2,159   +6.8%    0.0%
Eurovia                        2,260    2,445   -7.6%    -6.3%
VINCI Construction            4,332   3,832  +13.0%  +12.7%
VINCI Immobilier              175     156    +12.1%  +12.1%
Eliminations and adjustments  (184)   (167)         
Total revenue                 10,289  9,795  +5.0%   +3.8%
of which:
                               6,467    6,136   +5.4%    +5.2%
France
Europe excl. France            2,503    2,457   +1.9%    } +1.6%
International excl. Europe    1,319   1,203  +9.6%  

* Excluding concession subsidiaries’ revenue derived from works carried out by
non-Group companies (IFRIC 12).

Order book

                     At 30 June   Jun.13/Jun.12    At 31  Jun.13/Dec.12
                                                         Dec.
€ in billions         2013  2012  change                     change
                                                         2012
VINCI Energies         7.1   7.3    -3%                 6.8     +4%
Eurovia                6.6    6.9    -4%                 6.4     +3%
VINCI Construction    18.1  19.0  -5%                 18.1   0%
Total Contracting     31.8  33.2  -4%                 31.3   +2%
of which:
France                 17.2   18.7   -8%                 17.2    0%
France ex-SEA          14.4   14.9   -3%                 13.7    +5%
Europe excluding       9.4    9.5    -1%                 9.4     0%
France
International         5.2   5.0   +3%                 4.7    +9%
excluding Europe
Total Contracting     29.0  29.4  -1%                 27.8   +4%
ex-SEA

Appendix C: VINCI AUTOROUTES

Change in VINCI Autoroutes’ revenue at 30 June 2013

                                VINCI Autoroutes  of which:
                                                 ASF    Escota  Cofiroute
Light vehicles                   +0.7%              +1.4%  0.0%    -0.8%
Heavy vehicles                  -2.1%             -1.7%  -3.5%   -2.7%
Total traffic - Intercity       +0.3%             +0.9%  -0.4%   -1.1%
network
A86 Duplex                       +0.1%              -       -        +0.4%
Other impacts                   +1.7%             +1.9%  +0.9%   +2.0%
Toll revenue (in € millions)     2,065              1,168   316      562
2013/2012 change                +2.1%             +2.8%  +0.5%   +1.3%
Revenue (in € millions)          2,112              1,198   322      572
2013/2012 change                +2.2%             +3.0%  +0.7%   +1.2%

Total traffic on motorway concessions – Intercity network

                          Second quarter            First half
in millions of km         2013    2012    Change  2013    2012    Change
travelled
VINCI Autoroutes           11,793  11,710  +0.7%   20,960  20,908  +0.3%
Light vehicles             10,248   10,157   +0.9%    17,915   17,796   +0.7%
Heavy vehicles            1,545   1,553   -0.6%   3,045   3,112   -2.1%
of which:
ASF                        7,235    7,131    +1.5%    12,825   12,709   +0.9%
Light vehicles             6,219    6,113    +1.7%    10,820   10,668   +1.4%
Heavy vehicles            1,015   1,018   -0.3%   2 005   2,041   -1.7%
Escota                     1,717    1,699    +1.1%    3,132    3,144    -0.4%
Light vehicles             1,563    1,542    +1.3%    2,834    2,835    -
Heavy vehicles            154     157     -1.5%   298     308     -3.5%
Cofiroute (intercity       2,772    2,813    -1.5%    4,881    4,936    -1.1%
network)
Light vehicles             2,405    2,442    -1.5%    4,155    4,190    -0.8%
Heavy vehicles            367     371     -1.1%   726     747     -2.7%

Contact:

VINCI
Press
Maxence Naouri, +33 1 47 16 31 82
maxence.naouri@vinci.com
Analysts/Investors
Thomas Guillois, +33 1 47 16 33 46
thomas.guillois@vinci.com
or
Christopher Welton, +33 1 47 16 45 07
christopher.welton@vinci.com