Agbar Q3 net profit down 51.7%

Spain's Aguas de Barcelona (Agbar) group, which has a number of water and waste interests in Latin America, posted a 66.5mn euro (US$78mn) net profit in the third quarter, down 51.7% from 3Q02, Agbar said in a statement Thursday. For the quarter, revenue increased 9.2% to 2.16bn euros and operating profit grew 7% to 210mn euros, although they would have increased 13.5% and 11.8%, respectively, if its Latin American interests were not taken into consideration, according to Agbar. Latin American business represent 5.9% of revenue, down from 9.5% in 3Q02 due in part to the impact of devluation on Latin American currencies versus the euro. Earlier this year, Agbar announced it began to write off the whole of its investments in Argentina and constituted provisions up to the total amount of all the obligations that might be contractually required in relation to its business in this country. Agbar's Argentine interest include a stake in water utility Aguas Argentinas, which serves the greater Buenos Aires area, as well as waterworks companies Aguas Cordobesas and Aguas Provinciales de Santa Fe. The group's waste management interests in that country include Cliba, Ormas Ambiental, Taym and Trieco. In Chile, Agbar holds stakes in capital Santiago's water utility Aguas Andinas, as well as stakes in Chilean utilities and water-related firms Aguas Cordillera, Aguas Decima, Aguas Los Dominicos, Aguas Manquehue, Analisis Ambientales, Brisaguas, Eco-Riles, Gestion y Servicios, Hidraulica Manquehue, Inversiones Aguas Gran Santiago, Inversiones Aguas Metropolitanas and Sociedad Comercial Orbi II. Other stakes include Aguas Guariroba (Brazil), Aguas de Cartagena (Colombia), Aguas de la Habana (Cuba), Aguas de Saltillo (Mexico); and Bolivian waste-management firm Clima. Agbar director Angel Simon has said the group is considering an expansion of its investments in Mexico, adding that although the economic situation in the Americas is currently flat, he has faith in the region and wants Agbar to boost its position there so it can take advantage of the coming recovery.