CEO’s review

Dear shareholders, associates
and friends of STRABAG SE,

A look at the first half of the year reveals a continued challenging market environment in certain European countries. As a consolidated group, however, we at STRABAG can build on the strengths of our integrated business model, which has allowed us to once again generate strong financial results.

Our output volume remained stable year-on-year at € 8.3 billion, with the decline in the Austrian residential construction market having a delayed impact as expected. The development of incoming orders, meanwhile, was very dynamic. In line with our Strategy 2030, we acquired several new projects related to the energy transition and the adaptive reuse of existing buildings. These include the civil engineering works for the European energy infrastructure project SuedOstLink and the refurbishment of the main and regional offices of the pension insurance organisation in Vienna. We were also awarded several large infrastructure projects in Germany, Canada and CEE. All of these developments are reflected in our order backlog, which for the first time ever exceeded the € 25 billion mark. With a plus of 4% to € 25.2 billion, our current order volume offers us an excellent view towards 2026. Even in the current environment, we are continuing to focus on qualitative rather than quantitative growth. Accordingly, we have succeeded in keeping our EBIT margin stable and significantly expanding our net income after minorities to € 91.51 million.

We are making important progress in the implementation of our strategy, further bolstering our expertise in mechanical and electrical engineering services (M&E) and energy management through organic growth and complementary acquisitions. Our aim is to become a general contractor for the decarbonisation of existing buildings. As the largest construction group in Central and Eastern Europe, we contribute to the achievement of the European climate targets and support the transition to climate-resilient buildings. The temperatures in the summer months in particular show how important energy-efficient buildings will be in the future.

For the 2024 financial year, we continue to expect construction output of around € 19.4 billion and an EBIT margin of at least 4%.