Slides
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Return to growth, continued margin expansion Arcadis Q3 2025 Trading Update 1
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Q3 2025 Trading Update PART 1 Alan Brookes CEO 2
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1) EBITA excluding restructuring, integration, acquisition & divestment costs 2) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments. 3© Arcadis 2025 | Arcadis Q3 2025 Trading Update Net Revenues €936M Operating EBITA Margin1) Backlog Net Revenues €3.5B 1% Net Revenues 2% Backlog Q3‘25 Organic growth, yoy2)Third quarter results 11.6% (Q3’24: 11.4%) Strong margin performance and return to organic growth
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4 Continued strong demand for Water and Energy solutions Global Business Area: Resilience • Strong US Water • UK AMP8 gradual ramp up • Good opportunities from Technology clients • Robust backlog Germany • Good order intake for grid in Europe and US, nuclear in UK • Increasing opportunities Europe and US • Some large US projects phasing out till FY25 • Project opportunities for existing key clients entered pipeline Leading the market Phasing of contracts €991M 1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments © Arcadis 2025 | Arcadis Q3 2025 Trading Update Solutions breakdown 7% Organic growth, yoy1) 36% (LY:33%) 31% (LY:31%) 33% (LY:36%) Water Optimization & Climate Adaptation Energy & Advisory Environmental Restoration Q3‘25 Backlog Water Optimization & Climate Adaptation Water supply/ treatment/ conveyance/disposal/reuse, flooding, wildfires Energy: grid expansion, Advisory: net zero, risk & stakeholder engagement Energy & Advisory Environmental Restoration Site assessment/ remediation/ closure/ redevelopment for emerging contaminants Various Oil & Gas Clients
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5 Strong Technology offering; solid demand in public facilities Global Business Area: Places • Canada and UK markets remain subdued • Addressing existing key clients to cross-sell Leading Design & Engineering solutions • Accelerated growth from AI and semiconductors investments • Signs of gradual UK recovery • Strong wins across portfolio for hospitals and other public facilities • Cautious landscape with shifting policies • Well positioned in US Market challenges 1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments © Arcadis 2025 | Arcadis Q3 2025 Trading Update Q3‘25 Backlog Sectors breakdown 16% (LY:14%) 34% (LY: 34%) 26% (LY:24%) 20% (LY:26%) Technology Government & Public Agencies Industrial Manufacturing Property & Investment Other €1,598M 5% Organic growth, yoy1) Datacenter | Europe Various Confidential Clients Life Sciences | US, Ireland Various Confidential Clients Property & Investment Architecture & Urbanism solutions for commercial developers, real estate Oil & Gas Client| US, Ireland Various Confidential Clients Industrial Manufacturing Advanced Industrial Manufacturing clients incl. pharma & auto Government & Public Facilities Public facilities such as hospitals, schools, prisons Technology Datacenters and semiconductor clients
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6 Robust pipeline with large project opportunities Global Business Area: Mobility • Backlog decline yoy: execution major wins Q3’24 • Order intake reflects typical lumpiness throughout year • Portfolio shift: from UK and Australia to North America • Robust pipeline: large-scale opportunities North America, Germany • Supporting capex and transformation programs across major airports through GBA collaboration • Strong pipeline in UK and Europe Intelligent Highways 1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments © Arcadis 2025 | Arcadis Q3 2025 Trading Update Leading with global expertise Renewed momentum Solutions breakdown 48% (LY:49%) 46% (LY: 48%) 6% (LY:3%) Intelligent Highways Rail & Transit Airports & Ports €859M -9% Organic growth, yoy1) Q3‘25 Backlog Intelligent Highways Rail & Transit Airports
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7 Enhancing client solution value through innovative digital products Global Business Area: Intelligence • Travel IQ wins in North America • Enterprise Asset Management (EAM) wins in US and UK • Strong pipeline for EDA Lite2) • Increasing demand for Climate Risk Nexus and Net Zero Catalyst Part of Resilience Backlog: 1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments 2) EDA Lite is the streamlined version of EDA (Enterprise Decision Analytics) to optimize asset portfolios for clients © Arcadis 2025 | Arcadis Q3 2025 Trading Update Order intake & Pipeline drivers Enhancing client solution value Solutions breakdown €96M -10% Organic growth, yoy1) 76% (LY:73%) 24% (LY: 27%) Digital Transportation Solutions Digital Asset Management Solutions Q3‘25 Backlog Digital solutions for Water, Climate & Energy Digital Transportation Solutions Digital Asset Management Solutions
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Increased policy clarity drives order intake – remain cautious on market outlook Spotlight on UK & Ireland 1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments UK & Ireland Q3‘25 Developments • Impact UK & Ireland on total organic growth: -2% • AMP8 gradual ramp up • Strong order intake: Public Facilities, Water & Energy, Mobility • Early signs of recovery but ongoing uncertainty, maintaining cautious stance Strong order intake in the quarter driven by increased policy clarity and public spending Public Facilities Water & Energy 7% Organic growth1), yoy Q3‘25 Backlog UK & Ireland Net Revenue, ytd 22% of total 45% 29% 24% 2% Places Mobility Resilience Intelligence 8© Arcadis 2025 | Arcadis Q3 2025 Trading Update Mobility
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9 Financial Results PART 2 Simon Crowe CFO
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1) Underlying growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments. 2) Excluding acquisition, restructuring and non-operating integration-related costs 3) Free Cash Flow = Cash flow from operating activities corrected for capex and lease liabilities Third quarter 2025 results Continued operating margin expansion €978M FY’24: €739M Net Working Capital % 1% Organic Net Revenue growth1) €936M Q3’24: €962M Net Revenues Net debt 11.6% Q3’24: 11.4% Operating EBITA margin2) 14.0% Q3’24: 12.7% €80M Q3’24: €134M Free cash flow3) • Return to organic growth of 1%, -4% FX impact driven by USD • Continued margin expansion from improved solutions mix and rightsizing actions, supported by ongoing investment in strategic initiatives • Working Capital impacted by some large projects awaiting completion of milestones to bill, as well as the further roll-out the ERP systems, implemented in North America early this year • 73 Days Sales Outstanding (Q3‘24:67) 10© Arcadis 2025 | Arcadis Q3 2025 Trading Update
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Solid demand in key areas offset by volatility in others 1) All organic growth figures on slide: Underlying year-on-year growth excluding impact of FX, acquisitions, footprint reductions, wind-downs or divestments. Resilience | 37% of total NR Places | 36% of total NR Mobility | 24% of total NR -3.0% Net Revenue 5.3% Backlog Organic growth: 1.9% Net Revenue -8.8% Backlog Organic growth: 3.8% Net Revenue 6.9% Backlog Organic growth1) : Intelligence | 3% of total NR 10.8% Net Revenue -9.6% Backlog Organic growth: • Strong demand in North America, Germany and Netherlands • Sustained growth in Water, Climate and Energy • Increased energy need at datacenters driving demand • Some US Env. Restoration projects ramp down. Pipeline opportunities drive ‘26 pick up • Industrial Manufacturing clients Europe continue to push out large capex decisions • Softness in Property & Investment market in Canada and UK • Good momentum public facilities and datacenters • Datacenter services expanding in Germany through KUA • Good demand in North America, Germany and Netherlands • Gradual ramp up of large projects in North America • UK improving, but still impacted by large project wind-downs • Australia remains subdued • Revenues driven by Enterprise Asset Management (EAM), Travel IQ, and Hotspot in North America and UK • Backlog impacted by timing of awards 11© Arcadis 2025 | Arcadis Q3 2025 Trading Update
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12© Arcadis 2025 | Arcadis Q3 2025 Trading Update Embedding a culture of accountability and high performance Driving cost-out and strengthening cash discipline Empowering people performance through better reward mechanisms Powering growth Increase Key Client sales professionals Maximize resource allocation driving financial billability Drive win rate through automation Incentivize account leaders to cross / upsell with Key Clients
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Wrap up PART 3 Alan Brookes CEO
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Key takeaways Solid performance for the quarter reaffirms business strength • Continued strong performance in high- growth sectors with leading positions in Energy, Water, Climate and Technology • Margin expansion year-on-year driven by improved solutions mix and earlier rightsizing Reinforced position for future growth • Continuous repositioning of portfolio towards high-growth solutions • Strategic initiatives driving further efficiencies • Enhanced sales and delivery approach underway while driving robust cash generation 14© Arcadis 2025 | Arcadis Q3 2025 Trading Update
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Q&A PART 4
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Appendix
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17 Net Revenues 9M’25 as % of total Arcadis Geographical breakdown per GBA Net Revenues 9M’25 48% 22% 22% 8% Resilience Places Mobility Intelligence 67% 19% 14% 40% 24% 28% 8% 27% 27% 27% 19% 67% 20% 7%6% €1,078M €1,039M €685M €70M€2,873M Americas Continental Europe UK & Ireland APAC Net Revenues Geographical Breakdown Appendix © Arcadis 2025 | Arcadis Q3 2025 Trading Update
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Statements included in this presentation that are not historical facts (including any statements concerning investment objectives, other plans and objectives of management for future operations or economic performance, or assumptions or forecasts related there to) are forward- looking statements. These statements are only predictions and are not guarantees. Actual events or the results of our operations could differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements are typically identified by the use of terms such as “may,” “will”, “should”, “expect”, “could”, “intend”, “plan”, “anticipate”, “estimate”, “believe”, “continue”, “predict”, “potential” or the negative of such terms and other comparable terminology. The forward-looking statements are based upon our current expectations, plans, estimates, assumptions and beliefs that involve numerous risks and uncertainties. Assumptions relating to the foregoing involve judgments with respect to, among other things, future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond our control. Although we believe that the expectations reflected in such forward-looking statements are based on reasonable assumptions, our actual results and performance could differ materially from those set forth in the forward-looking statements. The 2025 results as presented in this presentation are unaudited. Disclaimer 18© Arcadis 2025 | Arcadis Q3 2025 Trading Update