Bouygues Confirms 2026 Outlook After Strong First-Half Performance
French industrial group Bouygues reported strong results for the first half of 2026 and confirmed its full-year guidance despite continued macroeconomic and geopolitical uncertainty. The main drivers of performance were Equans, the construction business, and a significant improvement in the Group’s financial position.
Group sales amounted to €26.3 billion, down 1.3% year-on-year at constant exchange rates. Current operating profit from activities (COPA) increased to €829 million, up €33 million from the same period last year. Net profit attributable to the Group rose by €114 million to €287 million, despite the continued impact of France’s exceptional tax surcharge on large companies.
One of the most notable achievements during the period was the strengthening of the balance sheet. Net debt declined to €6.5 billion, representing a €2 billion improvement compared with the end of June 2025, while net gearing fell from 62% to 46%. The Group also maintained a very strong liquidity position of €15.8 billion, including €4.2 billion in cash and cash equivalents and €11.5 billion in undrawn credit facilities.
Equans remained the Group’s primary growth engine. The division increased its current operating profit by €96 million, while its operating margin improved to 5.2%, exceeding management’s previous target. Its order backlog reached a record €27.6 billion, providing strong visibility for future activity. Following these results, Equans raised its full-year margin target.
The construction business also delivered resilient performance. The Construction Division’s backlog reached a record €33.4 billion, while Bouygues Construction achieved its highest first-half operating profitability since 2018. The strong order book provides the Group with solid revenue visibility for the coming years.
The media business remained under pressure. TF1 continued to face weakness in the French television advertising market, resulting in lower revenue and operating profit. However, the digital platform TF1+ continued to expand its audience and advertising revenues, while its partnership with Netflix strengthened the platform’s long-term growth prospects.
In telecommunications, Bouygues maintained solid operating performance while advancing one of Europe’s largest proposed telecom transactions. Together with Orange and iliad, Bouygues signed a memorandum of understanding to acquire SFR, in a transaction valuing the Altice France assets at approximately €20.35 billion. If approved by regulators, the acquisition would significantly reshape the French telecommunications market.
Based on its first-half performance, management reaffirmed its guidance for 2026. The Group expects stable sales at constant exchange rates and current operating profit from activities to remain at a record high level. Further improvements at Equans are expected to offset weaker profitability at TF1 and Bouygues Telecom, reflecting continued pressure on the linear television advertising market and higher depreciation and amortisation expenses.
Andrievskii Verdict
Bouygues continues to demonstrate the characteristics investors typically seek in leading European industrial companies: resilient cash generation, a stronger balance sheet, record order backlogs, and a diversified business model capable of offsetting weakness in one segment with strength in another. Today, Equans appears to be the Group’s most attractive growth driver, increasingly becoming the key contributor to earnings expansion and long-term shareholder value.
Aleksei Andrievskii | Advisory Board Member, Bendura Bank AG | Liechtenstein