Construction company Strabag H1 EBIT jumps 35% on infrastructure demand, raises 2026 outlook

Strabag SE

28/08/2026 06:12

Overview
Austria construction group's H1 output up 12% yr/yr, revenue rises 15%
EBIT for H1 climbs 35% to €174 mln, net income rises 25%
Company raises 2026 outlook as order backlog hits record €36 bln, up 27%

Outlook
Strabag raises 2026 output guidance to approach €23 bln, up from about €22 bln
Company lifts 2026 EBIT margin forecast to 5.5–6%, previously 5–5.5%
Strabag maintains 2026 net investments guidance at no more than €1.5 bln

Result Drivers
INFRASTRUCTURE DEMAND - Strong demand for infrastructure construction, especially in Germany and international markets, drove output and order backlog, per CEO Stefan Kratochwill
MAJOR CONTRACTS - Large-scale infrastructure and mining contracts in Germany, Chile, Australia, Austria, and Eastern Europe contributed to order backlog growth
ACQUISITIONS IMPACT - Output growth in the UK was partly due to the acquisition of Van Elle; employee numbers rose following acquisitions and project expansion

Company press release: ID:nEQ52RkGva

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 EPS
 
EUR 1.03
 
H1 EBIT
 
EUR 174 mln
 
H1 EBITDA
 
EUR 560.09 mln
 
H1 Order Backlog
 
EUR 36 bln
 
H1 Pretax Profit
 
EUR 203.86 mln
 

Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy."
Wall Street's median 12-month price target for STRABAG SE is €112.25, about 31% above its August 27 closing price of €85.70
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 13 three months ago

Reuters Recommended Reads
Aug 27 - Mota-Engil profit jumps 24% on Africa, Latam growth; backlog hits record
Aug 26 - Eiffage reports half-year revenue up 2.3%, confirms outlook
Aug 27 - Belgium's CFE Group H1 net profit jumps on Construction & Renovation, VMA contributions

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)