Worley Limited · ASX:WOR
Worley — H1 FY25 Earnings Presentation
46 slides from Worley's earnings presentation, Feb 26, 2025
Slide 1: Half year results 2025
Half year results 2025 26 February 2025 26 February 2025 1 2 3 Business performance Half year results 2025 Outlook AGENDA and strategic progress Chris Ashton Tiernan O’Rourke Chris Ashton 1
Slide 2: Disclaimer
Disclaimer The information in this presentation about Worley Limited, guarantees or predictions of future performance or and the entities it controls (Group) and the Group’s activities outcomes. They involve known and unknown risks and is current as at 26 February 2025 and is in summary form uncerta
Slide 3: Performance highlights
Performance highlights 1 Strong result in a challenging ↑6.8% ↑9.0% operating environment Aggregated revenue Underlying EBITA vs H1 FY24 We remain on track to achieve our FY25 outlook. We’ve continued to deliver earnings vs H1 FY24 growth at a higher rate than revenue. We’ve increased margins and ma
Slide 4: Business performance and strategic progress
Business performance and strategic progress Chris Ashton, Chief Executive Officer Worley - Half year results 2025 4
Slide 5: We support healthy people, relationships and environments
We support healthy people, relationships and environments Our highest priority is to keep our people safe and well and feeling included and respected The right people, the right experience, the right outcome Transformational leadership Shaping culture Future fit We continue to invest in developing o
Slide 6: Strong result in a challenging operating environment
EBITA % excl. Normalized cash Aggregated revenue EBITA procurement conversion Strong result in 16% CAGR H1 FY22 PF to H1 FY25 17% CAGR H1 FY22 PF to H1 FY25 +1.9 pp H1 FY22 PF to H1 FY25 a challenging 5,610 5,989 120% 120% operating 4,599 376 8.4 100% 345 100% 3,836 269 7.5 80% 80% 233 environment 5
Slide 7: Measuring our strategic performance in H1 FY25
Measuring our strategic performance in H1 FY25 Our strategic focus and deliberate actions have driven our strong results What we said we’d do What we’ve achieved Earnings and margin growth ✓ Focus on high value solutions – sharing in the value we bring to our customers Harnessing global trends, we s
Slide 8: Diversification underpins our results
Diversification Our purpose gives us… Sector diversification gives us… underpins our Expanded portfolio exposure through Broad stability and growth the breadth of our capability across irrespective of end sector cyclicality traditional, transitional and results sustainable work 24% We have the bread
Slide 9: Strategic wins
Strategic wins Bookings $6.7 $6.6 $6.8 $6.6 $6.2 $2.3 $1.8 $1.8 $1.6 $3.1 Unlocking high $4.4 $4.8 $3.1 $5.0 $5.0 growth opportunities H1 FY23 H2 FY23 H1 FY24 H2 FY24 H1 FY25 Expanding into through innovation ✓ H1 FY25 Bookings up on H1 FY24 attractive adjacencies ✓ Sole-sourced wins increased, now
Slide 10: Confident in our long term growth
Confident in our Factored sales pipeline (total open) long term growth 15% +17% Two-year CAGR (Jan-23 to Jan-25) Annual growth +1% (Jan-24 to Jan-25) Pipeline steady with 46% green shoots appearing Expected to be awarded in next 67% 12 months Strong bookings maintained as (up 1.5% on pcp) evidence o
Slide 11: Macro trends are driving momentum in our growth markets
Macro trends are driving momentum in our growth markets Where we play Our key growth markets4 Market data supporting positive long-term outlook across Energy, Chemicals and Resources Upstream Oil & Gas capex forecast revisions1 800 Billion USD Gas Since 2021, capex forecasts for Large, mature 600 De
Slide 12: Half year results 2025
Half year results 2025 Tiernan O’Rourke, Chief Financial Officer Worley - Half year results 2025 12
Slide 13: Key financials
Key financials Earnings and margin growth in line ↑ $5,989m $4,473m ↑ with our medium-term targets Aggregated revenue Aggregated revenue excl. Procurement • Achieved H1 FY25 result despite a challenging $5,610m in H1 FY24 $4,601m in H1 FY24 +6.8% growth operating environment, including ongoing delay
Slide 14: Drivers of EBITA margin improvement
Drivers of EBITA margin improvement • Our deliberate strategy to focus on higher value solutions continues to deliver rate improvement and increased margin • All service types have been delivered at higher margins on pcp Worley - Half year results 2025 14
Slide 15: Margin improvement driven by deliberate strategic actions
Margin improvement driven by deliberate strategic actions Building blocks to higher margin Trends beyond FY253 New work being won at ✓ Focus on high value solutions – sharing in the value we bring to our customers higher margins ✓ Margin improvement continues to flow from pipeline1 to backlog to rev
Slide 16: Drivers of backlog change
Drivers of backlog change Backlog Walk ($b) • Wins and scope increases exceeded backlog delivered in the period demonstrating our strong bookings • Backlog impacted by $1.6b from cancellation of NorthVolt Sweden battery materials project • Current backlog continues to support our outlook for FY25 an
Slide 17: Disciplined capital management
Disciplined capital management 75 120% Our capital management position supports our growth plans with good liquidity, 115% 70 the maintenance of strong credit ratings and access to well-priced debt capital. Target 110% range 65 105% Down from 100% 60 65.7 pcp 95% 55 H1 Target H1 range Operating prod
Slide 18: Investment to support growth and drive shareholder value
Investment to support growth and drive shareholder value Strategic levers Targeted contribution to earnings growth and margin expansion Short Medium Long term term term Our strategy is to support continued growth while $ NEW GROWTH MARKETS maximizing shareholder returns. SCALING NEW BUSINESSES Level
Slide 19: Outlook
Outlook Chris Ashton, Chief Executive Officer Worley - Half year results 2025 19
Slide 20: Outlook context and Group outlook
Outlook context Group outlook1 A higher cost of capital as well as policy and economic headwinds, are We reconfirm our outlook expectations for FY25 influencing the pace of the energy transition. We are seeing some and are targeting low double digit EBITA growth customers rebalance their portfolios
Slide 21: Worley - Half year results 2025
& & Worley - Half year results 2025 21
Slide 22: Supplementary information
Supplementary information Worley - Half year results 2025 22
Slide 23: Delivering our ambition
Delivering our ambition Our ambition H1 FY25 achievements in line with our ambition • Over 48,500 recognition moments reaching 4 in 10 of our people, a 14% increase on the same period in FY24. • Over 72,000 learning activities completed in our online elearning platform Our people We energize and emp
Slide 24: Delivering our ambition
Delivering our ambition Operational priorities H1 FY25 achievements in line with our ambition • Utilization above target (87.8%) Operational excellence • Percentage of work through GID is 14.4%, up 0.2pp on H1 FY24. GID headcount up 1.8% on Quality of earnings, utilization H1 FY24 targets, resource
Slide 25: How we define our sustainability-related work
How we define our sustainability-related work We categorize our overall sustainability-related as the sum of Sustainable work and Transitional work. The combination of market segment and solution is used to determine how we categorize the work. We refer to all work falling outside of sustainability-
Slide 26: Our diversified business
Our diversified business Sustainable1 | Transitional | Traditional A global leader delivering Sector aggregated revenue (%) aggregated revenue (%) knowledge-based project and asset services 6% 14% Traditional 1% • Leading position in energy, 24% Energy 17% Chemicals Transitional 10% chemicals and re
Slide 27: Where we play
Where we play We’re actively managing our portfolio of businesses. We do this by pursuing growth in a structured way in target markets with significant growth opportunities at higher margins Mature Developing Energy Oil Integrated Combustion Midstream Low-carbon Renewable Networks Nuclear Power to X
Slide 28: Key financials
H1 FY25 H1 FY24 vs. Key financials H1 FY24 Aggregated revenue $5,989m $5,610m 6.8% Aggregated revenue excl. procurement $4,473m $4,601m (2.8%) • Growth driven by Americas and EMEA Underlying EBITA $376m $345m 9.0% regions and energy and resources sectors Underlying EBITA margin % excl. procurement 8
Slide 29: Low-carbon hydrogen
Number of wins in different project phases for sustainability-related1 work in H1 FY25 vs H1 FY24 Project wins Sustainability-related wins Traditional wins FY25 FY24 FY25 Wins by project phase Q1 Q2 Q1 Q2 Q1 Q2 Operations and 24 15 17 18 18 12 maintenance • Total number of sustainability-related win
Slide 30: Reconciliation of statutory to underlying results
Reconciliation of statutory results to H1 FY25 H1 FY24 Reconciliation of statutory to underlying underlying results ($m) ($m) Statutory result (NPAT for the Group) 190 109 results adjusted for non- Add: Net finance costs 43 57 trading items Add: Amortization of acquired intangible assets 43 43 Add:
Slide 31: Segment results by region
Segment results H1 FY25 H1 FY24 vs. H1 FY24 H2 FY24 vs. H2 FY24 By region Aggregated revenue ($m) 5,989 5,610 6.8% 6,006 (0.3%) Americas 2,466 2,258 9.2% 2,536 (2.8%) EMEA 2,523 2,218 13.8% 2,391 5.5% • Americas growth on pcp driven by APAC 1,000 1,134 (11.8%) 1,079 (7.3%) project mix with contribut
Slide 32: Segment results by region and service type
Segment results By region and service type Americas EMEA APAC TOTAL vs. H1 vs. H1 vs. H1 H1 FY25 H1 FY24 H1 FY25 H1 FY24 H1 FY25 H1 FY24 H1 FY25 H1 FY24 vs. H1 FY24 FY24 FY24 FY24 Aggregated revenue ($m) 2,466 2,258 9.2% 2,523 2,218 13.8% 1,000 1,134 (11.8%) 5,989 5,610 6.8% Professional services1 1
Slide 33: Regional highlights
Regional highlights Americas EMEA / APAC Aggregated revenue1 Factored sales Backlog3,4 Aggregated revenue Factored sales Backlog3,4 pipeline1,2,4 Pipeline2,4 3 4 5% $9.4b 9% 3 2 $5.9b 46% 42% $6.8b 45% 54% $5.4b 47% 11.0% 2 13.1% 9% 41% Segment margin 90% 32% 53% Segment margin 1 excl. procurement 1
Slide 34: Segment EBITA by sector
H1 FY25 H1 FY24 vs. H1 FY24 Segment EBITA Aggregated revenue ($m) 5,989 5,610 6.8% Energy 2,925 2,587 13.1% By sector Chemicals 1,462 1,820 (19.7%) • Energy sector has grown, benefiting Resources 1,602 1,203 33.2% from continued global investment in 550 17.0% Segment EBITA ($m) 470 both sustainabili
Slide 35: Margin profile
Margin profile Underlying EBITA % 6.1% 6.8% 6.5% 6.4% 6.1% H1 Underlying EBITA $m 5.8% H2 726 751 Total 635 606 6.8% 6.5% 5.7% 6.3% 6.0% 5.4% 6.1% 5.8% 6.1% 6.3% Proforma 547 516 360 463 406 352 337 FY22 FY23 FY24 FY25 296 283 H2 256 H1 366 345 376 251 233 283 269 Underlying EBITA % (excl procuremen
Slide 36: Calculation of EBITA% excluding procurement
Calculation of H1 FY24 H2 FY24 H1 FY25 EBITA% Aggregated revenue ($m) 5,610 6,006 5,989 excluding procurement Growth rate on pcp 6.8% EBITA ($m) 345 406 376 Growth rate on pcp 9.0% Underlying EBITA Underlying EBITA margin excluding = aggregated revenue EBITA% 6.1% 6.8% 6.3% procurement – procurement
Slide 37: Foreign exchange
Foreign exchange Constant currency FX impact1 Group EBITA FX Translation Impact 7 (17) (28) FY23 FY24 HY25 Impact Total EBITA ($m) (2) (2) (1) (1) (4) (3) (15) ARS INR CAD NOK USD US Pegged Other 1. Constant currency impact demonstrates what the impact would be on our H1 FY25 EBITA results if foreig
Slide 38: Cash collection
Cash collection H1 FY25 ($m) H1 FY24 ($m) FY24 ($m) EBITA 376 287 693 Reported cash conversion ratio is 97.5% of Non-cash items: underlying EBITA, with normalized cash Less: Share of associates' profits in excess of (57) (20) (28) dividends received conversion ratio of 116.2%1 to account primarily f
Slide 39: Balance sheet and liquidity metrics
as at as at 31-Dec-24 30-Jun-24 Weighted average cost of debt1 4.3% 4.7% Balance sheet Average maturity (years) 2.5 2.9 and liquidity Interest cover (times) 10.2x 8.6x metrics Net debt, $m (statutory definition) 2 1,503 1,533 Net debt/EBITDA (times)3 1.5x 1.5x Loan & overdraft facilities4 3,684 3,51
Slide 40: Capital management: Debt
Capital management: Debt Maturity Profile as at 31 Dec 2024 Debt 1,600 1,400 • Maintained a well-diverse debt portfolio 1,200 • Weighted average debt maturity at 2.5 1,000 years • Investment grade credit ratings, 800 provides access to well-priced debt capital 600 400 200 0 FY25 FY26 FY27 FY28 FY29
Slide 41: Utilization remains above target and is 87.8% at 31 December 2024
• Utilization1 remains above target and is 87.8% at 31 December 2024 % of work through GID • Global Integrated Delivery (GID) 92% Staff Utilization1 20% 91% headcount is 5,600 at 31 December 24, 90% 18% up 1.8% on H1 FY24. Percentage of 89% work through GID is 14.4%, up 0.2pp on 16% 88% H1 FY24. (To
Slide 42: Backlog
Backlog 14.8 Backlog Walk ($b) 13.8 12.7 4.2 4.0 2.8 7.2 6.0 4.9 3.4 2.6 3.1 2.0 2.1 1.8 7.2 6.7 7.3 6.0 5.6 5.7 at Dec-23 at Jun-24 at Dec-24 at Dec-23 at Jun-24 at Dec-24 Energy Chemicals Resources Traditional Transitional Sustainable 2.8 1.3 Energy Americas Chemicals 5.9 EMEA 7.3 Resources 5.5 2.
Slide 43: Glossary
Glossary $, $m, $b – Australian dollars unless otherwise stated, Australian GID - Global Integrated Delivery millions of dollars, Australian billions of dollars gm – Gross margin APAC - Australia, Pacific, Asia & China GST - Goods and Services Tax CAPEX - Capital expenditure H1/H2 – First half of th
Slide 44: Backlog definition and fixed price vs reimbursable contract types
Backlog Fixed price vs reimbursable definition contract types Backlog is the total dollar value of the amount of revenues Reimbursable Contracts (~82% of our revenue in HY25): expected to be recorded as a result of work performed under • These contracts are based on reimbursing of reasonable and all
Slide 45: Rules for items excluded from underlying results
Rules for items excluded from underlying results Worley has guidelines for determining items to be excluded from non IFRS profit measures, such as underlying NPATA and underlying EBITA. These guidelines are for determining underlying profit for internal management reporting and external reporting pu
Slide 46: Registered office
Registered office: Level 19, 420 George Street Sydney NSW 2000 Australia T: +61 2 8923 6866 E: investor.relations@worley.com E: media.relations@worley.com Worley Limited ABN 17 096 090 158 worley.com Worley - Half year results 2025 46