Wsp Global Inc · TSX:WSP
Wsp Global — FY2018 Earnings Presentation
21 slides from Wsp Global's earnings presentation, Mar 14, 2019
Slide 1: Q4 and fiscal 2018 results
Q4 and fiscal 2018 results March 14, 2019
Slide 2: Key Highlights
Q4 and F2018 Results Key Highlights Organic growth in net revenues of 2 3.5%, spanning across all of our reportable segments. Key 2015-2018 Global Strategic Plan objectives met Recent presentation of an ambitious 2019-2021 Global Strategic Plan
Slide 3: Q4 2018 and F2018 Highlights
Q4 2018 and F2018 Highlights
Slide 4: Q4 2018 net revenues were $1.5 billion, up 4.2%
Q4 and F2018 Results Q4 2018 Net revenues were $1.5 billion, up 4.2% year over year. Organic growth in net revenues 4 stood at negative 2.4%. Adjusted for FEMA-based net revenues for Q4 2017, consolidated organic growth in net revenues for the quarter would have stood at 2.6%. Adjusted EBITDA was $1
Slide 5: Acquisitions added over 5,000 employees
Q4 and F2018 4 Acquisitions added over 5,000 employees Results Sweden 25 employees Norway 160 employees United States 5,000 employees 5 Australia 210 employees — Financed using balance-sheet
Slide 6: Canada Fiscal 2018
Q4 and F2018 Results Canada Fiscal 2018 6 3.5% organic growth in net revenues 14% adjusted EBITDA margin before global corporate costs Significant project • Confederation Line extension project (Ottawa)
Slide 7: Americas Fiscal 2018
Q4 and F2018 Results Americas Fiscal 2018 7 0.7% organic growth in net revenues (Mid-single digit if adjusted for 2017 FEMA-related revenues) 14.6% adjusted EBITDA margin before global corporate costs Significant project • US Army Corp of Engineers for a 5-year contract for general engineering desig
Slide 8: EMEIA Fiscal 2018
Q4 and F2018 Results EMEIA Fiscal 2018 5.1% organic growth in net revenues 8 • 6% organic growth in net revenues in the Nordics • 7% organic growth in net revenues in the UK 10.3% adjusted EBITDA margin before global corporate costs Significant project • North and Mid-Wales Trunk Road Agency : four-
Slide 9: APAC Fiscal 2018
Q4 and F2018 Results APAC Fiscal 2018 9 5.6% organic growth in net revenues • 16% organic growth in net revenues in Australia Significant project win • West Connex Rozelle Interchange project, considered as one of the most complex infrastructure projects ever undertaken in Australia
Slide 10: Key Executive Appointments
Key Executive Appointments ALAIN MICHAUD RYAN BRAIN Senior VP, President & CEO Operational Performance Canada and Strategic Initiatives IVY KONG A.-M. BOUCHARD Managing Director Global Director, Asia Environment & Resources
Slide 11: Q4 and F2018 Financial Performance
Q4 and F2018 Financial Performance
Slide 12: Revenues and Net Revenues
Q4 and F2018 Results Revenues* and Net Revenues* Revenues* Net Revenues* +13.9% +12.4% 7,908.1 6,942.2 6,020.6 5,356.6 12 +4.2% +4.6% 2,043.9 1,954.3 1,541.0 1,478.6 Quarter Year Quarter Year 2017 2018 2017 2018 * Non-IFRS measure
Slide 13: Adjusted EBITDA and Adjusted EBITDA margin
Q4 and F2018 Results Adjusted EBITDA* and Adjusted EBITDA margin* +18.9% 11% adjusted 660.0 EBITDA margin 555.2 +21.1% 13 11% adjusted 169.5 EBITDA margin 140.0 Quarter Year 2017 2018 * Non-IFRS measure
Slide 14: Adjusted net earnings and adjusted net earnings per share
Q4 and F2018 Results Adjusted net earnings* and adjusted net earnings per share* Adjusted Net Earnings* Adjusted Net Earnings per share* +26.2% 295.2 233.9 14 +24.1% 50% 50% 2.83 2.28 59.1 39.4 0.38 0.57 Quarter Year Quarter Year 2017 2018 2017 2018 * Non-IFRS measure
Slide 15: Free Cash Flow: Long-term progression through seasonality
Q4 and F2018 Results Free Cash Flow: Long-term progression through seasonality 220.6% of net earnings 547.4 15 296.1 244.9 2016 2017 2018
Slide 16: Financial position and net debt/TTM adjusted EBITDA ratio
Q4 and F2018 Results Financial position and net debt/TTM adjusted EBITDA* ratio (in $M, CAD) Q4 2018 Financial liabilities $1,524.7 Less: Cash ($254.7) Net debt $1,270.0 15 TTM adjusted EBITDA* $660.0 Net debt / TTM adjusted EBITDA* (adjusted for 12-month net revenues for 1.8x all acquisitions) Adeq
Slide 17: Decreasing DSO
Decreasing DSO* 17 79 79 78 76 76 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 *Non-IFRS measures
Slide 18: 2019 Outlook
2019 Outlook
Slide 19: 2019 Outlook
Q4 and F2018 Results 2019 Outlook Net revenues* Between $6,600 million and $6,900 million Adjusted EBITDA* Between $740 million and $790 million 1) Seasonality and adjusted EBITDA* Between 18% and 30%, Q1 being the lowest and Q3 being the highest fluctuations Effective Tax rate 26% to 28% DSO* 78 to
Slide 20: 2018 Regional operational outlook
Q4 and F2018 Results 2018 Regional operational outlook CANADA NORDICS Strong transportation and infrastructure Economic indicators now point sector pipeline towards a cooling off period UK 20 Prospects from the public sector ASIA remain solid. Focus on business development Concerns over Brexit and i
Slide 21: WS)?
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