The construction group does not want to return to Ukraine until at least four conditions have been met.
Strabag increased its consolidated profit by 31% to EUR 823 million in 2024, despite mixed market conditions.
Record order backlog of EUR 25.36 billion and broad positioning contributed to the strong result.
Construction output of around EUR 21 billion and an EBIT margin of at least 4.5% are expected for 2025.
The Austrian group Strabag SE, one of Europe's leading construction giants, is enjoying full order books. The order backlog has risen to 25.36 billion euros, an increase of eight percent. According to Neo Group CEO Stefan Kratochwill, who has worked in various management roles at Strabag for more than 20 years, this means "good basic capacity utilization until well into 2026".
The fact is: Strabag achieved "the best result in its history" in the previous year. Earnings before interest and taxes increased by 21 percent to 1.06 billion euros, while net profit rose by almost a third to 823 million euros.
"I am convinced that Strabag is in a strong position. We have everything we need: the right people, the resources and a clear joint plan," says Kratochwill. "We have reached key milestones in the implementation of our Strategy 2030 in 2024 and this year." Kratochwill recalled his predecessor Klemens Haselsteiner, who died suddenly of an aneurysm in January 2025 at the age of 44. "During this time, the Strabag family has grown even closer together," says Kratochwill. "Klemens worked out the 2030 strategy with us, and we are sticking to this course."
Commitment to Australia:
In March 2025, the Group completed the acquisition of the Georgiou Group in Australia.
"This is an important step for us, as our plan is to expand our position in the Anglo-Saxon region and be represented with a local business in Australia," says the CEO. "In doing so, we are further diversifying our country portfolio. This broad positioning is a key element for our long-term resilience and stability." With this acquisition, the share of business outside Europe has doubled to nine percent.
21 billion construction output targeted
While construction output amounted to 19.2 billion euros in the previous year, the target for this year is 21 billion euros. "The declines in output in Austria and Hungary were more than offset," says CFO Christian Harder. "The strongest growth of 28 percent was recorded in Poland."
However, residential construction only accounts for six percent of Strabag's total output and therefore only plays a minor role. "Infrastructure, on the other hand, accounts for more than 50 percent of our total output and is the backbone of our portfolio," says Kratochwill
Market leader role
Germany is considered the most important market. Strabag also wants to participate in the 500 billion euro special fund for the expansion and renovation of infrastructure in Germany. "The need for modernization is enormous, but we don't expect the first projects from this package until 2026 at the earliest," says the top manager. This is because the planning and approval processes in Germany need to be accelerated first, "only then will the package be able to take effect". In Germany alone, 16,000 dilapidated bridges need to be renewed. Strabag employs 40,000 of its almost 80,000 staff there and is the market leader. The order backlog in Germany amounts to 11 to 12 billion euros.
Conditions for returning to Ukraine
"Major projects are going well in Germany, but there is little money available in the municipalities," says Kratochwill. "We are currently not working at full capacity." Strabag withdrew from Ukraine in 2021. It attaches "clear conditions" to a return. "The war must have ended sustainably, there must be a stable government and financing must be secured," says the CEO. "And there must be compliance conditions that meet our high standards."
Source: Kurier