Atlas Roads hopes for turnaround

Macquarie Atlas Roads reported a net loss of $75.2 million for the six months to June 30, an improvement from a $106.4 million loss in the previous corresponding period.

Macquarie Atlas Roads' preferred performance measure, proportionate EBITDA, rose 3.5% to $244.8 million. Proportionate EBITDA reflects the results of the roads portfolio in proportion to the group's beneficial ownership interest.

Macquarie Atlas Roads did not declare a dividend for the six months to June 30, 2012. Based on the current outlook, the company anticipates being able to declare a dividend in the first quarter of 2013 and hopes to declare a distribution early next year.

The company's share of net losses from its portfolio increased to $33.4 million in the first half of 2012 (from $17.3 million a year earlier). That total included a $26 million loss on the Autoroutes Paris–Rhin–Rhône toll road in France, versus a $11 million profit in 2011.

Revenue from its roads rose by 1.4% to $330.8 million in the first half of 2012 despite a 1.9% fall in traffic volumes. The revenue increase was boosted by toll increases.

Macquarie Atlas Roads has interests in six toll roads located in the United States, the United Kingdom, Germany and France.

Macquarie Atlas Roads was formed from the 2010 restructure of Macquarie Infrastructure Group into two separately listed toll road companies.

Everyday investors should watch net profit or loss, proportionate EBITDA, the group's share of net losses from co‑owned roads, revenue and traffic volume trends, the impact of toll increases, and the company’s dividend or distribution outlook—all of which were highlighted in the company's first‑half report.