Strabag grade rating maintained at BBB and Group outlook stable

Austrian construction group Strabag has maintained its Standard & Poor (S&P) investment grade rating of BBB – while also retaining its stable outlook. Explaining its decision, S&P cited Strabag’s well-diversified and vertically integrated business, its access to raw materials, and the group’s adequately high liquidity. However, S&P says Strabag is in a cyclical and intensely competitive market with high project risks and low margins. According to S&P, Strabag currently has sufficient room to manoeuvre regar
January 2, 2013 Read time: 1 min
Austrian construction group 945 Strabag has maintained its Standard & Poor (S&P) investment grade rating of BBB – while also retaining its stable outlook.

Explaining its decision, S&P cited Strabag’s well-diversified and vertically integrated business, its access to raw materials, and the group’s adequately high liquidity. However, S&P says Strabag is in a cyclical and intensely competitive market with high project risks and low margins.

According to S&P, Strabag currently has sufficient room to manoeuvre regarding the key performance indicators for the BBB- rating. The company will need this manoeuvrability, says S&P, in case the stronger price pressure in the sector leads to a short-to-medium-term deterioration of results.

For more information on companies in this article

Related Content

  • Rural roads important to global development
    April 12, 2012
    Maryvonne Plessis-Fraissard highlights that the key importance of rural roads in the context of global development is only now being fully recognised, is not receiving enough attention and is facing vital new challenges Rural roads have only relatively recently received attention in development research. The International Bank for Reconstruction and Development, or World Bank, moved away from the World War II reconstruction mandate during the early 1960s to start, and address, the "Third World" developme
    Read More
  • Copy of Article
    May 4, 2012
    Special fabrics are often used in civil engineering works, including highways, to make soil stronger Geosynthetics have been used in roadway construction for thousands of years with natural materials being mixed with soil to improve quality and stability. While today's products are much more sophisticated, the principles are the same. For example, when used with soil, geotextiles (permeable fabrics) can filter, separate, reinforce, protect, or drain, and they are often made from polypropylene or polyester,
    Read More
  • Advances in geosynthetics boost soil stabilisation
    May 3, 2012
    Special fabrics are often used in civil engineering works, including highways, to make soil stronger Geosynthetics have been used in roadway construction for thousands of years with natural materials being mixed with soil to improve quality and stability. While today's products are much more sophisticated, the principles are the same. For example, when used with soil, geotextiles (permeable fabrics) can filter, separate, reinforce, protect, or drain, and they are often made from polypropylene or polyester,
    Read More
  • Advances in geosynthetics boost soil stabilisation
    March 13, 2012
    Special fabrics are often used in civil engineering works, including highways, to make soil stronger Geosynthetics have been used in roadway construction for thousands of years with natural materials being mixed with soil to improve quality and stability. While today's products are much more sophisticated, the principles are the same. For example, when used with soil, geotextiles (permeable fabrics) can filter, separate, reinforce, protect, or drain, and they are often made from polypropylene or polyester,
    Read More

Highlighted Content