ÖBB Annual Report 2025

Consolidated Financial Statements 266 Österreichische Bundesbahnen-Holding Aktiengesellschaft Consolidated Financial Statements | Group Management Report 74 29.4. Commodity risks ÖBB-Infrastruktur AG’s Power Supply Management/Energy Sector division is responsible for the procurement of grid-bound energy sources and energy-related products (emission certificates, certificates of origin) within the ÖBB Group. All of these products are either supplied to internal or external customers or used to operate the 16.7 Hz traction current network. Price fluctuations for these products influence the expenses of the ÖBB Group and thus represent a market risk. Since around two thirds of the traction power required and the entire electricity needed for supplying the operating facilities (train stations, etc.) is procured on the electricity market, the ÖBB Group is strongly affected by electricity price volatility. The risk management strategy therefore arranges for price hedging. A major risk in the procurement of energy is the fluctuation of market prices. This must also be seen against the background that the sales prices for traction power and the tariffs for operating facilities for each calendar year must be fixed in the fourth quarter before the start of delivery or that the tariffs for the use of the traction power grid must even be announced one year earlier for the first time. It is therefore particularly relevant for the ÖBB Group to have already hedged or fixed the prices in advance. Prices are hedged by concluding forwards and futures for the planned purchase quantities for traction power, energy losses and operating facilities. In addition to securing prices, the hedging also serves to increase planning reliability, which is necessary as the basis for price calculation. Against the background of the procurement strategies and for risk diversification, the ÖBB Group decided on a long-term rolling procurement (rolling hedge). The defined procurement period varies depending on the hedged items (up to three years for energy). A certain percentage of the quantity to be procured (a required supply, the target purchase amount) must be purchased each procurement year at defined points in time by energy portfolio management. An upper and lower quantity corridor was defined in order to incorporate portfolio management’s price expectations into the procurement process. There is the option of hedging the price for a higher or lower quantity than the target purchase quantity depending on price expectations. This corridor ceases to apply at the end of this procurement period, meaning that the target purchase quantity corresponds with 100% supply. 29.4.1 Cash flow hedges – power The ÖBB-Infrastruktur sub-group has entered into power transactions (long-term procurement contracts, power forwards and futures on the purchasing side). These power transactions are used to hedge the price for procuring power for the planned purchase quantities with due regard to management of the production portfolio and the long-term purchase agreements. The forward contracts are concluded on the OTC market. Changes in the cash flows for the planned power purchases due to changes in the power price are compensated by the changes in the cash flows of the forwards and futures, which are classified as derivatives in compliance with IFRS9. The purpose of the hedging transactions is to fix the variable prices of planned power purchases. Should purchase contracts be closed by offsetting transactions after the final purchase contracts have been negotiated, both transactions are recognized at fair value through profit or loss. The amount recognized in other comprehensive income until closing is transferred to the Income Statement once the forward is settled (operating facilities closed). The power price is made up of the European Energy Exchange-related price component for Germany and the transport surcharge. In the case of power forwards and futures designated as cash flow hedges, ÖBB-Infrastruktur AG only designates the price component related to the European Energy Exchange settlement price for the expected future procurement as the hedged risk. Following the energy price zone separation into Germany and Austria effective October 1, 2018, the hedge transaction no longer covers the transport surcharge. The ÖBB Group hedges 1,200 GWh per supply year on a rolling basis over a period of from one to three years for the procurement of traction power and energy losses as well as 310 GWh for operating facilities. Derivatives with a positive fair value are stated in the current or non-current financial assets in accordance with the term range (Note18). Derivatives with a negative fair value are stated in the current or non-current financial liabilities in accord- ance with the term range (Note 25).