The assessment of a company’s suitability to issue hybrid bonds generally focuses on the strength and stability of its equity base, the predictability of its cash flows, its leverage, and its ability to service ongoing coupon payments.  

Here, Ferrovial SA’s total equity increased from €5,829 million to €6,354 million, with equity attributable to the parent moving only slightly from €4,039 million to €4,113 million. The company has a significant non-controlling interest (€2,241 million), which can add complexity but also reflects subsidiary-level capital.  

Profitability is relatively low compared to total assets: net profit attributable to owners of the parent was €186 million in 2022, down from €1,198 million in 2021 (which was heavily boosted by fair value adjustments and disposal gains). Operating cash flow was positive at €1,002 million, which supports debt service.  

However, total non-current borrowings are high—€10,776 million—and the group is capital intensive, with large infrastructure project investments. Interest costs and financing cash flows also absorb a significant portion of earnings. The modest net profit and somewhat thin parent-level equity relative to overall liabilities suggest that while a hybrid could be issued, the strength and margin of safety are not as high as for a “Strongly Suitable” issuer.  

Given the stability of infrastructure assets and positive operating cash flows but modest net earnings and high debt, this points to marginal suitability.

<answer>Marginally Suitable</answer>