Integrated Interim Report 2019 – Germany needs a strong rail system

Development of business units

Development in the first half of 2019

  • Personnel expenses increased as a result of effects from the collective agreement and the higher number of employees.
  • Digitalization and Group projects were continued.

Subsidiaries / other 

H1

Change

2019

2018

absolute

%

 

Total revenues (€ million)

2,398

2,274

+ 124

+ 5.5

External revenues (€ million) 

280

252

+ 28

+ 11.1

EBITDA adjusted (€ million)

– 119

– 160

+ 41

– 25.6

EBIT adjusted (€ million)

– 366

– 280

– 86

+ 30.7

Gross capital expenditures (€ million)

318

184

+ 134

+ 72.8

Net capital expenditures (€ million)

318

181

+ 137

+ 75.7

 

Employees as of Jun 30 (FTE)

54,926

53,386

+ 1,540

+ 2.9

Subsidiaries/other comprises governance functions (for example Group development, Finance and Treasury and HR) and the non-independent service units (for example Shared Service Center Accounting and HR Services) of the holding company DBAG. In addition, this segment bundles the legally independent service units of DB Group (for example DB Temporary Work and DB JobService) as well as the independent operating service units (for example DB Vehicle Maintenance and DB Systel), which provide services for several DB Group business units.

The increase in total revenues is mainly the result of higher revenues with DB Group customers, including in connection with a higher demand for digitalization and cybersecurity solutions at DB Systel, projects in the areas of vehicle maintenance and vehicle conversion, and performance increases in DB Group and non-Group TOCs at DB Sales and an increase in project business at DB E&C.

The increase in adjusted EBITDA resulted from the decline in other operating expenses due to the first-time application of IFRS 16. The EBIT development was adversely affected mainly by collective agreement effects and the further increased activities in Group projects. Countermeasures were only able to compensate for part of the effects.

Higher capital expenditures resulted primarily from the capitalization of rental and leasing contracts (IFRS 16 effect).

The number of employees increased mainly due to a workforce expansion for Group projects, from service orders and an increase in in-house production depth particularly at DB E&C, DB Systel, DB Services, DB Vehicle Maintenance and DB Services.