Financing and treasury
Key figures treasury
2020 | 2021 | 2022 | 2023 | 2024 | |
Interest and other income (€ mn) | 27.89 | 26.96 | 50.74 | 119.19 | 144.85 |
Interest and other expense (€ mn) | -48.49 | -39.53 | -40.07 | -75.07 | -69.43 |
EBIT/net interest income (x) | -30.6 | -71.3 | 66.2 | 19.9 | 14.1 |
Net debt/EBITDA (x) | -1.5 | -1.3 | -1.5 | -1.9 | -1.8 |
The number one objective for the treasury management of STRABAG SE is assuring the continued existence of the company through the maintenance of constant solvency. This objective is to be reached through the provision of sufficient short-term, medium-term and long-term liquidity. Liquidity for STRABAG SE means not only solvency in the strict sense but also the availability of guarantees. The activity of building requires the constant availability of bid, contract fulfilment, advance payment and warranty guarantees and/or sureties. The financial scope of action is thus defined by sufficient cash and cash credit lines, on the one hand, and by sufficient surety credit lines on the other.
The management of liquidity risks has become a central element of the corporate management at STRABAG. In practice, liquidity risks come in various forms:
- In the short term, all daily payment obligations must be covered in time and/or in their entirety.
- In the medium term, liquidity levels must be sufficient so that no transactions or projects become impossible due to a lack of sufficient financial means or guarantees or that they cannot be executed at the desired pace.
- In the long term, there should be sufficient financial means available to be able to pursue the strategic development targets.
In the past, STRABAG has always oriented its financing decisions according to the risk aspects outlined above and has organised the maturity structure of the financial liabilities in such a way as to avoid a refinancing risk. In this way, the company has been able to maintain a great scope for action, which is of particular importance in a difficult market environment. The respective liquidity needed is determined by targeted liquidity planning. Based on this, liquidity assurance measures are made, and a liquidity reserve is defined for the entire Group. The liquidity situation is continuously monitored by treasury management, managed via a corporate-wide cash pooling system and supported at project level by strict working capital management.
€3.7billion
Cash and cash equivalents
The existing liquidity of € 3.7 billion sufficiently covers the Group’s liquidity needs. STRABAG SE has access to a total of € 8.8 billion in cash and surety credit facilities. This includes a syndicated surety credit line of € 2.0 billion and a revolving syndicated cash credit line of € 0.4 billion, both maturing in 2026. Bilateral credit lines with banks also exist. The high level of diversification of its cash and surety facilities gives STRABAG a balanced risk spread regarding the provision of credit and secures the Group’s comfortable liquidity position.
BBB+, stable
S&P corporate credit rating
In September 2024, the investment grade rating was raised one notch by Standard & Poor’s (S&P) to BBB+, outlook stable. The decision was based on STRABAG’s sustained strong performance, supported by a high order backlog. The company’s diversified, vertically integrated business model, combined with consistent risk management and strong market positions in the core markets, were identified as key drivers. Given this robust foundation, the company continues to expect a solid net cash position.
Payment obligations
€ mn | Book value 31.12.2024 | Book value 31.12.2023 |
Bank borrowings | 536.39 | 534.71 |
Lease liabilities | 390.88 | 364.22 |
Total | 927.27 | 898.93 |