Asfinag Reports Lower Annual Surplus for 2024

The Austrian state-owned motorway company, Asfinag, announced a surplus of EUR734 million for the year 2024, a decrease from EUR844 million reported in the previous year. The anticipated reduction of EUR100 million in profit was influenced by the suspension of toll increases. Asfinag's Chief Financial Officer, Herbert Kasser, revealed plans to increase the workforce by 235 employees, bringing the total to 3,510 during a recent press briefing.

Notably, revenue from heavy traffic (vehicles over 3.5 tons) fell by 1.4% to approximately EUR1.66 billion, continuing to represent a significant portion of total earnings. Kasser commented that this trend reflects the state of the economy. However, overall toll revenues slightly increased by 0.4%, reaching around EUR2.5 billion. This growth was driven by a 4% rise in toll revenues from passenger cars and a substantial 6.1% increase in vignette revenues, which totaled EUR609 million, contributing to an overall positive financial outlook. Despite these gains, Kasser expressed concern about the ongoing performance of truck traffic.

Kasser expressed satisfaction with Asfinag's financing model, emphasizing the predictability it brings, in contrast to annual budgets that can often be unstable. The Austrian government, as the owner of Asfinag, is expected to receive a EUR255 million dividend for 2024, although Kasser noted that this is ultimately determined by the owner.

Asfinag's investments in the previous year amounted to approximately EUR1.5 billion, with EUR874 million allocated for repairs, surpassing the EUR645 million spent on new construction and other investments. For the current year, Asfinag has planned investments of EUR1.8 billion, with projections exceeding EUR2 billion for the following year, a move that Kasser indicated would lead to increased debt levels.

In terms of financial obligations, Asfinag's net debt rose slightly from EUR10.41 billion to EUR10.56 billion in 2024. Looking ahead to 2030, the company plans to invest EUR656 million in noise protection measures and an additional EUR233 million for water protection facilities along the motorways. Furthermore, Asfinag aims to progressively expand the charging infrastructure for electric vehicles, with a target of installing 1,500 charging stations across their network by 2030. This initiative is intended to enhance the availability of charging points for both cars and trucks along motorways and expressways.

One of the notable long-term projects is the renovation of the Lueg Bridge along the Brenner motorway, which is expected to cost around EUR380 million. This project is essential as it involves the renewal of over 1.8 kilometers of bridges, with the entire traffic clearance scheduled for 2030.

The total length of Asfinag's network in Austria encompasses 2,275 kilometers of road, with an average age of approximately 19 years. Additionally, there are 5,874 bridges averaging around 41 years old and 414 tunnels, which average about 27 years in age. Kasser emphasized that many of the significant road projects from the 1970s and 1980s are nearing the end of their lifecycle.

The environmental organization Virus commented on Asfinag's financial situation, noting that the improved balances in recent decades have been influenced by external factors. They highlighted that any cessation of new construction, whether voluntary or due to external pressures, has positively impacted the financial situation. This cessation is beneficial as it allows for a greater focus on environmental measures and the rising costs of maintenance.