13 Goodwill
The composition of and changes in goodwill is shown under item (12) consolidated statement of changes in fixed assets.
The goodwill at the balance sheet date is composed as follows:
T€ | 31.12.2024 | 31.12.2023 |
STRABAG Cologne (N+W) | 131,118 | 131,118 |
Czech Republic (S+E) | 72,233 | 73,580 |
STRABAG Poland (S+E) | 61,473 | 60,560 |
STRABAG Cologne (S+E) | 61,105 | 61,105 |
ELCO Group (I+S) | 52,574 | 0 |
STRABAG PFS Germany (I+S) | 39,650 | 39,650 |
Bockholdt GmbH & (I+S) | 29,029 | 29,029 |
STRABAG PFS International (I+S) | 27,763 | 14,682 |
Germany (various CGUs; N+W) | 22,679 | 22,679 |
Austria (various CGUs; S+E) | 22,600 | 22,600 |
Ed. Züblin AG (N+W) | 17,057 | 17,057 |
Construction materials (various CGUs; S+E) | 9,077 | 9,209 |
Other | 9,435 | 9,469 |
Total goodwill | 555,793 | 490,738 |
The comparison of the carrying amounts with the recoverable amounts of the cash-generating units determined by the annual impairment testing showed a need to recognise an impairment loss of T€ 0 (2023: T€ 7,454) on goodwill. This figure is shown under depreciation and amortisation. The recoverable amount of the impaired cash-generating units amounts to T€ 0 (2023: T€ 13,724).
The recoverable amount of these cash-generating units (CGUs) corresponds to their fair value less cost to sell. The necessary impairments of the cash-generating units in the previous year exclusively affected goodwill; impairment was not necessary for other assets of the CGUs.
The methods of measurement are explained in the section “Accounting policies” (Impairment of non-financial assets). The method applied here is a Level 3 measurement.
Regarding the sensitivity analysis of goodwill, we refer to our notes under “Estimates - (a) Recoverability of goodwill”.
The following table presents the key assumptions used in calculating the recoverable amount for significant goodwill.
There were no intangible assets with indefinite useful lives allocated to the CGUs listed below.
Carrying amount | Methodology | Detailed planning period | Growth rate | Discount rate after tax | |
T€ | 31.12.2024 | 31.12.2024 | 31.12.2024 | 31.12.2024 | 31.12.2024 |
STRABAG Cologne (N+W) | 131,118 | FV less cost of disposal (Level 3) [2023: FV less cost of disposal (Level 3)] | 4 (2023: 4) | 0 (2023: 0) | 8.71% (2023: 9.25%) |
Czech Republic (S+E) | 72,233 | FV less cost of disposal (Level 3) [2023: FV less cost of disposal (Level 3)] | 4 (2023: 4) | 0 (2023: 0) | 9.44% (2023: 10.20%) |
STRABAG Poland (S+E) | 61,473 | FV less cost of disposal (Level 3) [2023: FV less cost of disposal (Level 3)] | 4 (2023: 4) | 0 (2023: 0) | 11.20% (2023: 11.01%) |
STRABAG Cologne (S+E) | 61,105 | FV less cost of disposal (Level 3) [2023: FV less cost of disposal (Level 3)] | 4 (2023: 4) | 0 (2023: 0) | 9.86% (2023: 9.89%) |
The method used is a discounted cash flow model based on recognised valuation techniques, with the forecast of the cash flows calculated by the management on the basis of experience. The key assumptions used to determine the recoverable amount were future cash flows and the cost of capital. Management does not consider that any reasonably possible change in the key assumptions would cause the carrying amount of the CGU which contains the above-mentioned goodwill to exceed its recoverable amount.
The sensitivity analyses described in the section “Estimates – (a) Recoverability of goodwill” did not lead to an impairment loss of the above-mentioned significant goodwill in any of the analysed cases.