OHL Mexico Rises After Profit Beats Estimates: Mexico City Mover
OHL Mexico SAB (OHLMEX*), the Mexican unit of Spanish construction company Obrascon Huarte Lain SA (OHL), led gains on the benchmark IPC index after first-quarter net income exceeded analysts’ estimates.
Shares rose 4.2 percent to 36.25 pesos at 1:52 p.m. in Mexico City, the most intraday since March 22. The IPC advanced 0.3 percent.
Net income increased 97 percent in the first three months of the year to 1.8 billion pesos ($147 million), OHL said in a statement to the country’s stock exchange after the close of trading yesterday. Analysts surveyed by Bloomberg predicted a profit of 971 million pesos.
“Our first impressions on the report are very positive,” Marco Medina, an analyst with Grupo Financiero Ve por Mas SA, wrote in an e-mailed report. OHL Mexico’s efforts to cut costs boosted the company’s profitability in the period, according to Medina, who rates the stock the equivalent of buy.
OHL has gained 28 percent this year while the benchmark index dropped 1.5 percent.
To contact the editor responsible for this story: David Papadopoulos at email@example.com