Strabag record high
By Sandy Guthrie31 August 2010
A +10% rise has led to a record order backlog being reported by Strabag SE, one of Europe's leading construction groups which has particular strengths in Central and Eastern Europe.
Strabag said the € 15.75 billion order backlog was "another record high", and that this time, the growth was not solely a result of newly-acquired large-scale projects in the Polish transportation infrastructure segment. In Slovakia, the full consolidation of railway construction subsidiary Viamont in the first quarter of 2010, had a positive effect on the order backlog.
The company said it continued successfully to pursue the strategy of expanding its market presence in Benelux, Scandinavia and non-European markets to avoid being fully exposed to the margin pressure on the core markets in Europe.
Hans Peter Haselsteiner, CEO of Strabag, said' "The lower first-quarter output volume resulting from the winter weather could not be compensated for in the second quarter - at € 5.2 billion we are -7% below the levels after the first six months last year - but we are well on our way to concluding the current financial year with output volume and results at the previous year's levels."
Expenses for raw materials, consumables and other services remained stable in the first six months in terms of revenue. Earnings before interest, taxes, depreciation and amortization (EBITDA) nevertheless gained +14% over last year as a result of the write-up through profit or loss for Czech railway construction company Viamont of € 24.6 million. Strabag increased its share in the company from 50% to 100%.