Arcadis Nv · EURONEXT:ARCAD
Arcadis Nv — Q2 2025 Earnings Presentation
25 slides from Arcadis Nv's earnings presentation, Jul 31, 2025
Slide 1: Strong margin, well positioned for growth
Strong margin, well positioned for growth Arcadis Q2 and Half Year 2025 Results
Slide 2: Strategic and operational review
PART 1 Strategic and operational review Alan Brookes CEO 2 • t
Slide 3: Strong margin performance while positioning for future growth
Strong margin performance while positioning for future growth Second quarter results Q2‘25 Organic growth2) 0% Net Revenues, yoy Net Backlog Operating Revenues Net Revenues EBITA Margin1) 12% €965M €3.6B 11.3% Backlog, yoy 1) EBITA excluding restructuring, integration, acquisition & divestment costs
Slide 4: Key wins in high growth areas support backlog quality
Global Business Area: Resilience Key wins in high growth areas support backlog quality H1‘25 Developments Revenue visibility drivers Backlog • Good order intake: Water (US), Project win Key Client relationships Energy Transition (Germany), supporting near-term backlog 7% ytd organic growth1) Nuclear
Slide 5: Data Centers and Pharma drive order intake, while shifting market dynamics delay some clients' decisions
Global Business Area: Places Data Centers and Pharma drive order intake, while shifting market dynamics delay some clients’ decisions H1‘25 Developments Revenue visibility drivers Backlog • Significant Pharma and Data Project win Key Client relationships Center wins supporting near-term backlog 2% y
Slide 6: Ramp up of major projects on track, positioning for large pursuits drives solid pipeline
Global Business Area: Mobility Ramp up of major projects on track, positioning for large pursuits drives solid pipeline opportunities H1‘25 Developments Revenue visibility drivers Backlog • Large North America projects Project win Key Client relationships secured last year: ramp-up on supporting nea
Slide 7: Continued investments in digital integration across GBAs drive project wins
Global Business Area: Intelligence Continued investments in digital integration across GBAs drive project wins H1‘25 Developments Driving wins across our GBAs Driving Advisory Enterprise Decision work in Places Configuring our product suite to embed Analytics (EDA) and Resilience them into GBA deliv
Slide 8: Shift in market dynamics provides opportunity to position for future growth
Spotlight on UK & Ireland Shift in market dynamics provides opportunity to position for future growth UK & Ireland Solid client relationships across GBAs – Net Revenue split H1 2025, 22% of total H1‘25 Developments areas of investment and growth acceleration • Organic revenue decline drag on group o
Slide 9: Major projects across portfolio supporting H2 growth
Spotlight on Major Projects Major projects across portfolio supporting H2 growth Phasing of major projects driving ramp-up1) Major projects ramp-up driving H2 revenue step-up 10-15% of Large Mobility Large US Energy total backlog contracts Pharma Transition & investments Water emerging Won: Q3’24 Wo
Slide 10: Financial results
PART 2 Financial results Willem Baars Interim CFO 10 • t
Slide 11: Resilient performance with margin strength and stable revenues
Resilient performance with margin strength and stable revenues Half year 2025 results • Net Revenues stable on organic €1,039M 11.1% basis H1’24: €1,016M H1’24: 11.1%2) • Strong operating EBITA margin Net Debt Operating EBITA margin3) performance amid substantial investments in strategy • Discipline
Slide 12: Strong margin trajectory supported by strategic levers
Strong margin trajectory supported by strategic levers Operating EBITA margin1) • Strategic margin levers contributing: % – Increased Key Clients share – Higher GEC contribution 67% – Project selectivity LY: 59% Key Clients revenue • Investments in products and people contribution • On track to meet
Slide 13: Substantial investments supporting efficiency and future growth
Substantial investments supporting efficiency and future growth Investments in products & people Impact • Investment in data mesh and data platforms allowing business to build Data platform & AI, products and scale AI ✓ Faster, more valuable data Digital Products • 600 Data engineers ✓ Driving large
Slide 14: Cash generation in line with seasonal pattern
Cash generation in line with seasonal pattern Free Cash Flow1) bridge H1‘25 – H1‘24 € millions Free Cash Flow generation in line with seasonality and impacted by: • Increased cash taxes due to: – overpayment in 2023 from Section 174, reducing 2024 by €26m – additional prepayments for Q4’25 13 • Incr
Slide 15: Strong margin expansion from improved quality of portfolio
Strong margin expansion from improved quality of portfolio Global Business Areas: Resilience • Strong results US, Germany and 38% of net revenues Half year Second quarter the Netherlands, offsetting slower € millions | period ended 30 June 2025 2025 2024 change 2025 2024 change performance in the UK
Slide 16: Navigating market challenges while positioning for growth
Navigating market challenges while positioning for growth Global Business Areas: Places • Good growth in US Pharma and 36% of net revenues Half year Second quarter Data Centers € millions | period ended 30 June 2025 2025 2024 change 2025 2024 change • Delays in Industrial Manufacturing Net revenues
Slide 17: Significant Rail wins in quarter enhance long term visibility
Significant Rail wins in quarter enhance long term visibility Global Business Areas: Mobility • Strong performance in North America 24% of net revenues Half year Second quarter • Slower UK and Australia € millions | period ended 30 June 2025 2025 2024 change 2025 2024 change infrastructure market Ne
Slide 18: Cross GBA collaboration provides greater value to clients
Cross GBA collaboration provides greater value to clients Global Business Areas: Intelligence • Revenues driven by Enterprise Asset 2% of net revenues Half year Second quarter Management (EAM) and Tolling & € millions | period ended 30 June 2025 2025 2024 change 2025 2024 change Travel IQ sales in N
Slide 19: Wrap up
PART 3 Wrap up Alan Brookes CEO 19
Slide 20: Key takeaways
Key takeaways Half year 2025 Looking ahead Strong margin performance while positioning Confident in return-to-growth in the second for growth half of 2025 • Significant wins in high-growth areas with Key Clients, • Large contracts ramping up, increased strengthening backlog quality UK spending and i
Slide 21: Q&A
PART 4 Q&A 21
Slide 22: Appendix
@ARCADIS Appendix
Slide 23: Profit & Loss Statement
APPENDIX Profit & Loss Statement in € millions Half Year Period ended 30 June 2025 2025 2024 change Gross revenues 2,453 2,512 -2% Materials, services of third parties and subcontractors -516 -553 -7% Net revenues 1,937 1,959 -1% Personnel costs -1,504 -1,519 -1% Other operational costs -192 -183 5%
Slide 24: Net Revenues Geographical Breakdown
APPENDIX Net Revenues Geographical Breakdown Net Revenues H1’25 Geographical breakdown per GBA as % of total Arcadis Net Revenues H1’25 Resilience Places Mobility Intelligence 8% 14% 8% 19% 3%6% 27% 22% 20% 27% 40% €1.9B 48% 19% €726M €706M €459M €46M 67% 27% 71% 22% 27% 25% Americas Continental Eur
Slide 25: Disclaimer
Disclaimer Statements included in this presentation that are not The forward-looking statements are based upon our current historical facts (including any statements concerning expectations, plans, estimates, assumptions and beliefs that investment objectives, other plans and objectives of involve n