Letter from the CEO

Dear shareholders,
associates and friends of STRABAG SE,

We have had a dynamic and highly successful first half of 2026. The year got off to a colder start than in previous years, and road construction projects in some markets did not get under way until later than usual. Even so, our output in the first quarter was already above the previous year’s level. Momentum picked up noticeably in the second quarter, driven by activity in energy and rail infrastructure. As a result, we increased our output by 12% in the first half of the year, reaching the € 10 billion mark for the first time.

Our order backlog also developed very positively, rising by 27% year on year to a record € 36 billion. This already provides us with a solid base level of capacity utilisation extending into 2028. Major infrastructure projects in Germany, Poland and Slovenia, as well as in Australia and Chile, made significant contributions.

We have already secured a solid base level of capacity utilisation extending into 2028.

Stefan Kratochwill

It is particularly encouraging that our growth is also being reflected in a further improvement in profitability. Despite rising energy prices and higher material costs as a result of tensions in the Middle East, EBIT increased by 35% to € 174 million in the first half of 2026. This underscores the resilience of our business model and the strength of our broad-based positioning.

With the acquisition of WTE Group in March, we reached an important milestone in our Strategy 2030 and have become a full-service provider of water infrastructure. The acquisition of Van Elle in the United Kingdom also strengthens our market position and sustainably expands our market coverage.

For the coming months, we continue to expect positive momentum from the infrastructure business. In Germany, we are seeing a solid volume of tenders, increasingly supported by funding from the off-budget infrastructure fund. At the same time, we see attractive market opportunities in Central and Eastern Europe, supported by EU funding, as well as in the United Kingdom and Australia.

On the back of the strong development in output and earnings, we are raising our outlook for the 2026 financial year. We now expect output of close to € 23 billion, compared with our previous forecast of around € 22 billion. We expect the EBIT margin to be between 5.5% and 6%, up from the previous guidance of 5% to 5.5%.

My particular thanks go to our approximately 90,000 employees worldwide. Their commitment provides the foundation for our success and our continued growth.