STRABAG reports strong financial performance

Contractor STRABAG is bullish and report strong economic performance for its latest financial results. The firm’s output volume after first nine months of 2015 hit nearly €10.3 billion, an increase of 6% over the same period for 2.14. Meanwhile there was strong growth in earnings with the firm’s EBITDA rising to €403.79 million, and EBIT to €115.81 million. The order backlog was down 11% to €13.8 billion however. For the whole of 2015, the outlook is healthy.

This increase in output volume of 6% was driven primarily by strong performance in Slovakia, Germany, the Czech Republic and Poland. The consolidated group revenue, like the output volume, also grew, gaining 7% to nearly €95 billion.

The higher revenue also resulted in improved earnings before interest, taxes, depreciation and amortisation (EBITDA) in the first nine months of 2015 by 15% to €403.79 million. The EBIT climbed to €115.81 million.

The Management Board of 945 STRABAG continues to expect the output volume in the 2015 financial year to grow from € 13.6 billion to € 14 billion. The EBIT should increase to at least € 300 million. In this regard, the efforts made to further improve the risk management and to lower costs would already have an impact on earnings. This would bring the company one step closer to its target of achieving an EBIT margin (EBIT/revenue) of 3% in 2016.