ACS leaves 3.5% in the stock market after the collapse of its Australian subsidiary Cimic

  • The Australian subsidiary of the construction group has fallen 7% in Sydney
  • Hong Kong-based GTM has questioned the firm’s accounts

ACS has fallen 3.5% in the stock market at the close of the session this Monday after its Australian subsidiary Cimic has dropped 7.07% in the market of that country when a Hong Kong analysis firm raised doubts about the results of this firm in 2018.

The shares of the group chaired by Florentino Pérez were exchanged at 38.62 euros per share on the Madrid stock market, which represented a decrease of 3.73% compared to the close of the session on Friday.

Cimic sent the Australian market regulator, the Australian Securities Exchange Limited, a statement in which it ensures that its annual reports and financial results for the full year 2018 are up to date. “Fully audited and comply with accounting standards”.

A Hong Kong analytics firm called GTM, reported by the local Sydney Morning Herald newspaper, is the one that raised doubts around the accounts de Cimic, stating that the firm would have “inflated them, hiding a worse result to maintain the price.”

Cimic reported a net profit of 781 million Australian dollars (about 492 million euros) in 2018, 11% more, driven by the restructuring undertaken in the company in previous years and the large infrastructure projects undertaken.

The company with which ACS operates in its second largest market behind North America, increased its revenues by 9% last year, to report 14.7 billion dollars (9.303 million euros). Cimic It also managed to shoot cash generation by 18% of their businesses, up to 1,200 million euros.