Risk management
Active risk management, as understood and regularly applied within the voestalpine Group, aims to safeguard the company’s long-term existence and enhance its value, and is therefore a key success factor. The Group systematically identifies, analyzes, and evaluates significant risks at an early stage. This is achieved through a standardized risk management process conducted several times a year, as well as through internal control systems that form an integral part of the organization. Continuous risk monitoring ensures that appropriate risk-mitigating measures can be taken in a timely manner. In the interests of sustainable, responsible, and value-oriented corporate management, risk management is an integral part of decision-making and business processes in all areas of the company and at all hierarchical levels. It also includes the responsible use of resources and the environment, as well as compliance with regulatory requirements. Risk management extends across both the strategic and operational levels and is a key element in the sustainable success of the company.
The operational risk environment of the voestalpine Group (such as failure of critical production facilities or critical IT systems, risks of decarbonization, availability of raw materials and energy supply, disruptions to logistics and supply chains, the effects of geopolitical conflicts, deindustrialization in Europe, and potential risks in the financial sector) remained virtually unchanged in the first six months of the current business year and also compared with the previous year. The main risk areas and their risk-mitigation measures, which are presented and described in detail in the voestalpine Group's Annual Report 2024/25 (Annual Report 2024/25 – “Report on the Company's Risk Exposure”), therefore remain valid for the half-year management report.
Based on the lessons learned from past economic and financial crises and their impact on the voestalpine Group, and in particular from recent crises, additional measures – primarily business-related – have been implemented in recent years to minimize risk. These measures, also described in detail in the 2024/25 Annual Report, have been consistently pursued and further developed. In a continuously challenging economic environment, the various developments and their possible effects (such as the 50 % increase in US tariffs on all steel and aluminum imports, global (trade) conflicts, and changes in geopolitical conditions) are being closely monitored and assessed, with further countermeasures introduced as necessary. Organizational and restructuring measures initiated in some areas are being implemented as planned.
Concrete hedging measures have been developed and implemented for previously identified risks within the voestalpine Group. These measures aim to reduce the potential financial impact and the likelihood of occurrence. It should be noted that, as of the date of this half-year management report, the Group’s operational risks – apart from global crises and their effects – are considered limited and manageable and do not jeopardize the company’s long-term viability.