WSP Reports Q3 2025 results

Core Insights - WSP Global Inc. reported strong financial results for Q3 2025, with net revenues, adjusted EBITDA, and adjusted net earnings growing approximately 16%, 20%, and 32% respectively compared to Q3 2024 [2][8][9] Financial Performance - Revenues for Q3 2025 reached $4.53 billion, a 13.8% increase from $3.98 billion in Q3 2024 [9] - Net revenues for Q3 2025 were $3.46 billion, up 15.6% from $2.99 billion in Q3 2024, driven by 10.1% acquisition growth and 3.7% organic growth [9] - Adjusted EBITDA for Q3 2025 was $700.4 million, a 19.6% increase from $585.4 million in Q3 2024, with an adjusted EBITDA margin of 20.2% [9][25] - Adjusted net earnings for Q3 2025 were $368.8 million, or $2.82 per share, reflecting a 31.8% increase compared to $279.8 million, or $2.24 per share, in Q3 2024 [9][37] - Free cash flow for the nine-month period ended September 27, 2025, was $887.4 million, significantly up from $242.0 million in the same period of 2024 [9][38] Strategic Developments - The company celebrated the one-year anniversary of the acquisition of POWER Engineers, which has contributed to mid-teens organic growth in net revenues [5][8] - WSP completed the acquisition of Ricardo plc, enhancing its strategic and engineering consultancy capabilities [5][8] Operational Metrics - The backlog as of September 27, 2025, was $16.4 billion, a 10.6% increase year-over-year, representing approximately 10.9 months of revenue [9] - The number of employees increased to approximately 72,400 from 69,900 a year earlier [9] Financial Ratios - The net debt to adjusted EBITDA ratio improved to 1.4 as of September 27, 2025, down from 1.8 as of December 31, 2024 [9][6] - Days sales outstanding (DSO) decreased to 71 days from 80 days year-over-year, indicating improved cash collection efficiency [9]