Wsp Global Inc · TSX:WSP
Wsp Global — Investor Presentation (October 2023)
29 slides from Wsp Global's investor presentation, October 2023
Slide 1: Introduction to WSP
Introduction to WSP October 2023 Introduction to WSP 1
Slide 2: Who We Are
Who We Are One of the world’s leading professional services firm, providing strategic advisory, engineering, and design services Ranked #1 in ENR Magazine’s 2022 List of Top 225 International Design Firms Global leader in environment with a significant critical mass in water and energy transition On
Slide 3: Our Guiding Principles
3 Our Guiding Principles Introduction to WSP We value We are locally We are future- We foster We have an our people and dedicated with focused and collaboration empowering culture our reputation international challenge the in everything and hold ourselves scale status quo we do accountable 3
Slide 4: Industry leading ESG rankings and recent accolades
Industry leading ESG rankings and recent accolades A 2022 CDP CLIMATE CHANGE Platinum ECOVADIS SUSTAINABILITY RATING QUESTIONNAIRE1 Compliance Leader Verification 13.9 Low Risk ETHISPHERE INSTITUTE FOR 2021-2022 SUSTAINALYTICS ESG RISK RATING2 A Prime MSCI ESG RATINGS ASSESSMENT3 ISS ESG CORPORATE R
Slide 5: Expanding our Global Presence
Expanding our Global Presence 68,800 EMPLOYEES GLOBALLY + 1 900 5,600 12,500 NORDICS CANADA 9,400 UK & IRELAND 2,900 16,100 CENTRAL EUROPE 3,900 USA ASIA 5,100 MIDDLE EAST Introduction to WSP & INDIA 4,300 600 8,400 + 4 250 AFRICA LATIN AMERICA AUSTRALIA & & CARIBBEAN NEW-ZELAND 5
Slide 6: A pure consulting firm with a diversified platform
A pure consulting firm with a diversified platform A non-cyclical business mix Canada EMEIA 18% Transportation & Earth & Property & Power & 30% Infrastructure Environment Buildings Energy 45% 28% 19% 8% Good Aviation Climate, ESG & Industry Sustainability Hospitality & geographic Maritime Industri
Slide 7: An Experienced Board of Directors
An Experienced Board of Directors Linda Christopher Pierre Louis-Philippe Macky SMITH- COLE SHOIRY CARRIÈRE TALL GALIPEAU (Chairman) Introduction to WSP Alexandre Birgit Suzanne Paul L’HEUREUX NORGAARD RANCOURT RAYMOND 7
Slide 8: A Proven Leadership Team with a Strong Track Record
A Proven Leadership Team with a Strong Track Record ALEXANDRE ALAIN MICHAUD PHILIPPE FORTIER MEGAN VAN JULIANNA FOX CHADI HABIB GINO POULIN SANDY VASSIADIS L’HEUREUX Chief Financial Chief Legal Officer and PELT Chief Ethics and Chief Technology Chief Information Chief Communications President and CE
Slide 9: A Proven Track Record
A Proven Track Record +87% +83% 8 957 11 932 7 870 10 279 6 886 6 859 8 916 8 804 6 021 7 908 9 5 357 6 942 4 895 6 380 Introduction to WSP 2016 2017 2018 2019 2020 2021 2022 2016 2017 2018 2019 2020 2021 2022 Revenues Net Revenues* 9 This presentation incorporates by reference section 8.1, “Net rev
Slide 10: A Proven Track Record
A Proven Track Record +182% 750 +207% 725 1 530 1 323 488 459 1 037 1 054 398 316 660 266 555 499 Introduction to WSP 2016 2017 2018 2019 2020 2021 2022 2016 2017 2018 2019 2020 2021 2022 Earnings Before Net Financing Expense and Income Taxes Adjusted EBITDA* *Non-IFRS financial measure without a st
Slide 11: A Decade of Organic Growth
A Decade of Organic Growth 15.0% 12.0% 9.5% 7.3% Range 6.2% 3.0% - 6.0% 5.2% 4.9% 4.6% 3.2% 3.5% 3.5% 3.3% 2.6% 1.6% 1.0% 2007 2008 2009 2010 2011 2012 2013 2014 2015 (1) 2016 (1) 2017 (2) 2018 2019 2020 (3) 2021 2022 2023 Outlook (1) Downturn of Oil & Gas -3.6% Introduction to WSP (2) FEMA (3) Covi
Slide 12: Balance Sheet: flexibility for future growth
Balance Sheet : flexibility for future growth Net debt to Adjusted 1.8x 1.7x 1.7x 1.8x 1.8x 1.1x 0.1x 0.6x 1.5x EBITDA ratio* 2 954 2 458 1 777 1 525 1 400 1 270 1 230 1 045 1 144 1 082 1 013 809 851 845 849 644 574 Introduction to WSP 137 2014 2015 2016 2017 2018 2019 2020 2021 2022 Net debt Total
Slide 13: M&A Strategy
Introduction to WSP M&A Strategy Introduction to WSP 13
Slide 14: Growth: The Benefits of Consolidation
Growth: The Benefits of Consolidation 14 Scale Expertise Integrated Services Size of projects is increasing Acquire best in class expertise Cover the project lifecycle with Financial strength is an asset full suite of services Benefit of knowledge sharing, Geographic and market collaboration and cro
Slide 15: A Successful Track Record of Acquisitions
A Successful Track Record E&I of Acquisitions 11 932.9 15 10 279.1 8 916.1 8 957.2 8 803.9 7 908.1 7 869.6 6 942.2 6,886.3 6 859.1 6 379.6 6 064.0 6 020.6 5 356.6 4 895.1 4 486.8 Introduction to WSP 2 902.4 2 349.9 2 016.0 1 677.2 1 257.5 1 020.1 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 202
Slide 16: Global Strategic Action Plan 2022-2024
Introduction to WSP 2022-2024 Global Strategic Action Plan Introduction to WSP 16
Slide 17: Our 2024 Financial Ambitions
Our 2024 Financial >$10B Net revenues Ambitions > 5% Annual organic net revenue growth We intend to grow net revenues in excess of 30%, adjusted EBITDA by 40% 17.5-18.5% Adjusted EBITDA margin** and adjusted net earnings per share** by 50%. >100% Free cash flow to net earnings 1x-2x Net debt/adjuste
Slide 18: WSP in 2024: A More Diversified Business
WSP in 2024: A More Diversified Business By the end of 2024, WSP’s industry-leading platform is expected to be even more balanced and resilient through expanding in sectors, services and markets with significant growth potential. This will allow us to further our diversification and leverage our mar
Slide 19: Geographical Focus and Collaboration
Geographical Focus and Collaboration Introduction to WSP 19
Slide 20: 2022-2024 Growth Strategy
2022-2024 Growth Strategy Sectors and Services Over the three years of our strategic cycle, we intend to capitalize on our strengths Diversification and further scale our capabilities in our top three market sectors (T&I, P&B and E&E), in addition to expanding in key sectors with significant growth
Slide 21: The Beginning of our Journey
The Beginning of our Journey 2022-2024 Strategic Action Plan Objectives Our Core Pillars 2022-2024 Strategic Objectives People & Culture FOSTER Our Long-Term Vision Expertise LEAD Become the Client ELEVATE undisputed leader in our industry Operational Excellence TRANSFORM Introduction to WSP Our Dri
Slide 22: Our Long-Term Vision
Our Long-Term Vision Looking beyond 2024, we aspire to double in size and achieve a more than 20% adjusted EBITDA margin1. Change Agent Trusted Partner Become the Introduction to WSP undisputed leader Employer of Diversity Choice Advocate in our industry 1 Non-IFRS ratio that is forward-looking, wit
Slide 23: Capital Markets and Shareholder Base Analysis
Introduction to WSP Capital Markets and Shareholder Base Introduction to WSP Analysis 23
Slide 24: Capital Market Profile
Capital Market Profile WSP.TO TSX Symbol 124,631,597(1) $196.31(1) $143.66/$196.31 Shares outstanding Price 52 weeks low/high Introduction to WSP $24B(1) $1.50(2) Market capitalization Annual dividend per share 24 (1) As at October 11, 2023 (2) Expected to remain at this level for 2023, subject to B
Slide 25: Long-Term Focused Shareholder Base: Ambitions to Grow our US Base
Long-Term Focused Shareholder Base : Ambitions to Grow our US Base U.S. 7% International 10% 25 By Geography Introduction to WSP Canada 83% *WSP’s best estimates, based on quarterly filings and discussions with portfolio managers 25
Slide 26: Strong Analyst Support
Strong Analyst Support Analyst Rating Market Perform or ATB Sector Perform or Hold Hold 8% BMO Outperform Canaccord Buy CIBC Outperform Desjardins Buy Laurentian Bank Buy National Bank Outperform Royal Bank Outperform Raymond James Outperform Introduction to WSP Outperform Scotia Buy or Buy 92% Stif
Slide 27: Our Sustainable Business Model Has Delivered Top-Tier Return
Our Sustainable Business Model Has Delivered Top-Tier Return Supporting Long-term Anchor Investors Aug. 2022 $200M July 2020 $151.75/share $70M Sept. 2015 $86.00/share $144M Largest pension fund in Canada Sept. 2014 $42.25/share Approximately C$550 billion asset March 2014 $400M under management $86
Slide 28: In Summary: How WSP Drives Shareholder Value Creation?
In Summary: How WSP Drives Shareholder Value Creation? Durable Organic and M&A Revenue Growth Introduction to WSP Strong Cash Sustainable Flow and Shareholder Margin Disciplined Value Expansion Capital Allocation 28
Slide 29: Thank you
Introduction to WSP 29 wsp.com Thank you