EANS-News: Construction group STRABAG SE confirms solid outlook

  Corporate news transmitted by euro adhoc. The issuer/originator is solely
  responsible for the content of this announcement.
Earnings Forecast/Outlook

Wien (euro adhoc) - * EBIT forecast 2011 raised to EUR 340 million, net income
after minorities still expected at EUR 185 million
* 2012: Growth with inflation likely
* Adjusted forecasts of subsidiary STRABAG AG, Cologne, have no impact on
STRABAG SE outlook

Vienna, 21 November 2011   The turbulence caused by the euro debt crisis has so
far not affected the output or the expected results of the STRABAG Group over
the course of the current 2011 financial year. While state investment programmes
in markets such as Germany had supported the construction industry through the
middle of the year, the sector already has several difficult years behind it in
countries with lower public-sector spending - such as Hungary - or in the
Adriatic region.

The course of business so far this year has shown notably higher results in
Poland as well as internationally, where significant write-downs had dampened
results the year before. On the other hand, the company has had to accept
market-dependent losses in the construction materials business as well as losses
due to the low capacity use of large equipment and machinery in the fields of
waterway and railway construction. A loss-making project in Scandinavia as well
as one-off costs related to the integration of transacted enterprise
acquisitions in Germany led STRABAG AG, Cologne, a subsidiary of STRABAG SE, to
downwardly adjust its results estimate. An ad-hoc notice in this regard was
released on 21 November 2011.

Thanks to the successful strategy of regional diversification and the related
diversification of risk, however, STRABAG SE can confirm its existing forecast
for the further general course of business. Nevertheless, individual parameters
are being adjusted in the face of the more detailed information that is now
available for the 2011 financial year:

STRABAG had previously expected earnings before interest and taxes (EBIT) of EUR
320 million, corresponding to a margin on the output of 2.3 %. Less the expected
interest result, a tax rate of 30 % and minority interest of approximately EUR
25 million, this would have resulted in net income after minorities of EUR 185
million. This target remains unchanged; however, STRABAG is raising its forecast
for the EBIT to EUR 340 million and for minority interest to EUR 40 million.

The outlook for the output remains at EUR 14.0 billion for the full year 2011.
This corresponds to an expected rise of around 10 % over the previous year. The
segments Building Construction & Civil Engineering, Transportation
Infrastructures and Special Divisions & Concessions as well as Other are
expected to contribute EUR 5.1 billion, EUR 6.3 billion, EUR 2.5 billion and EUR
0.1 billion to the output, respectively.

For 2012, STRABAG remains convinced of growing at most with inflation across all
markets and of raising its output to approximately EUR 14.3 billion. STRABAG
bases these forecasts on the assumptions that the economic framework in Europe
will remain unchanged in the coming year. This means that the financing
environment for our private and industrial clients may not worsen, at the same
time that a rapid recovery of the conditions or significantly higher government
spending is not to be expected in the STRABAG core markets.

The forecasts made in May 2011 on the individual results-related items and
planned expenditures are currently being reworked and will not be published
until after clear and meaningful information becomes available on the general
economic situation and on the political decisions regarding the euro debt
crisis, most likely, however, in the spring of 2012. STRABAG expects that
earnings in the Transportations Infrastructures segment will stay weak in the
next year, while a compensating development of the other segments could be

Further inquiry note:
Diana Klein, CFA
Head of Corporate Communications
Tel:   +43-1-22422-1116

end of announcement                               euro adhoc 

company:     STRABAG SE
             Donau-City-Straße  9
             A-1220 Wien
phone:       +43 1 22422 -0
FAX:         +43 1 22422 - 1177
sector:      Construction & Property
ISIN:        AT000000STR1, AT0000A05HY9
indexes:     WBI, ATX Prime, ATX, SATX
stockmarkets: official market: Wien 
language:   English

Weitere Meldungen: STRABAG SE

Das könnte Sie auch interessieren: