Investor Relations

Creditor Relations

Financing principles

Conservative financing structures constitute the central and basic idea of Vossloh's financing strategies. In the management of its capital structure, Vossloh focuses on the key data for companies with an investment grade rating. Financing and the provision of liquidity of the group of companies typically take place centrally through Vossloh AG as the Group holding company. High creditworthiness of contracting parties plays just as significant a role as our commitment to building and maintaining long-term relationships with our lending partners. Vossloh only uses derivative financial instruments to hedge specific risks from existing or expected future underlying transactions.

Financial position

As the group’s management holding company, Vossloh AG is responsible for managing the group’s finances and funding. Corporate Treasury Management is responsible for the central management of cash flows and for ensuring the financing of all group companies, as well as for hedging and managing financial risks. In addition to liquidity risks, these include, in particular, risks arising from interest rate and currency fluctuations. Derivative financial instruments are used for hedging. The group companies’ funding level is largely ensured by Vossloh AG providing the necessary cash resources. Only in isolated cases where funding outside Germany is either economically preferable or required by law do individual group companies obtain original local financing.

The Vossloh Group’s net financial debt (calculated as financial liabilities less cash and cash equivalents and short-term securities) excluding liabilities from leases increased to €491.5 million at the end of 2025 (previous year: €88.7 million). The increase was mainly due to the financing of the purchase price payment for the acquisition of Sateba. At the end of 2025, net financial debt including liabilities from leases of €61.0 million (previous year: €48.9 million) amounted to €552.5 million (previous year: €137.6 million).

At the end of the reporting year, financial liabilities amounted to €701.5 million and were thus significantly higher than the previous year’s figure of €232.7 million. Promissory note loans accounted for a total of €485 million of liabilities to banks at the end of 2025. In total, promissory note loans comprising a total volume of €600 million were placed in 2025, of which a first tranche amounting to €400 million was already paid out in November 2025. A second payment was made in February 2026. The new promissory note loans were issued with terms of three, five and seven years and both fixed and variable interest rates. A further €42 million of the financial liabilities at the end of 2025 were attributable to the utilization of the syndicated loan, which has a volume of €240 million and a term until February 2030. The interest rate is based on the respective reference interest rate (Euribor or €STR) and a margin agreed in the loan agreement, which is based on the ratio of net financial debt to EBITDA. A maximum amount is set for this ratio (covenant), which, if exceeded, gives the lending banks the option of early termination. Compliance with the covenant must be demonstrated every six months; this was the case at the end of the first half and at the end of 2025. The share of current financial liabilities increased from €62.2 million in the previous year to €168.9 million due to the promissory note loan of €60 million that Vossloh terminated ahead of time during the reporting year and had a repayment date in January 2026, as well as the term loan of €50 million to be repaid in April 2026 (as the last outstanding portion of the financing for the Sateba acquisition which was refinanced in November 2025). At the end of the reporting year, total cash and cash equivalents and short-term securities amounted to € 149.0 million (previous year: € 95.0 million).

Contingent liabilities increased to €17.8 million as at December 31, 2025 (previous year: €26.8 million). The former Locomotives business unit accounted for the bulk of this, with €15.0 million (previous year: €21.1 million). Vossloh AG has been issued with an irrevocable and unconditional guarantee on first demand from a first-class bank for these outstanding contingent liabilities.

At the end of the year, the Group had committed but unused credit lines totaling €306.4 million (previous year: €757.6 million), which are available in addition to cash and cash equivalents.

The hybrid note issued in February 2021 for €150 million with an indefinite term bore interest of 4.0 % in the first five years. Vossloh successfully placed a new hybrid note with a volume of €250 million on the capital market in January 2026. The bond has an indefinite term and can only be called by Vossloh for the first time after five years. Given its structure, it is classified as equity in accordance with IFRS. The related increase in the equity ratio and the further strengthening of the balance sheet structure provide the Group with significantly greater financial flexibility, which effectively supports the implementation of its corporate strategy.

Breakdown of financial liabilities


€ mill.20252024
Noncurrent liabilities to banks489.6133.3
Noncurrent lease liabilities42.637.2
Noncurrent notes payable0.4-
Noncurrent financial liabilities532.6170.5
Current liabilities to banks140.942.2
Current lease liabilities18.411.7
Interest payable to hybrid capital investors5.15.1
Current notes payable1.00.0
Financial liabilities to affiliated companies0.2-
Current liabilities for outstanding dividend payments0.01.1
Other interest payable3.32.1
Current financial liabilities168,962.2
Financial liabilities701,5232.7

 

Financial liabilities are generally measured at amortized cost. Current and noncurrent liabilities from leases result from the recognition of leases in accordance with IFRS 16. For the measurement of these items, see the explanations to Note 10 in the notes to the consolidated financial statements on page 177.

A reconciliation to the measurement categories of IFRS 9 can be found in the section “Additional disclosures on financial instruments” on pages 196 et seqq.

Contract liabilities result from orders where revenue is recognized over a period of time and the advance payments and partial settlements made by customers exceed the cumulative performance from the processing of the respective orders. A breakdown of these liabilities into gross receivables, prepayments and progress billings as well as further information can be found in the notes on contract assets under note 17 in the notes to the consolidated financial statements. While no contractual liabilities were reported in the previous year, trade payables included €12.9 million in contractual liabilities as at the balance sheet date due to the acquisition of the Sateba Group.

In the previous year, several Group companies concluded agreements on reverse factoring. Here, existing trade payables are paid to the respective suppliers on the due date, in some cases by participating banks, while the Group companies concerned can take advantage of an extended payment period. As at the balance sheet date, there were liabilities from this in the amount of €30,7 million (previous year: €29.1 million), which are reported under current liabilities from reverse factoring. Suppliers had already received payments of the same amount.