Financial Data and Key Metrics Changes - For the full year 2025, combined revenue grew approximately 4% to $2.1 billion, marking the highest full-year revenue for the company [10][20] - Adjusted EBITDA for the full year was approximately $312 million, with an adjusted EBITDA margin of 14.8% [10][25] - In the fourth quarter, total revenue was $508 million, reflecting a flat year-over-year performance, with adjusted gross profit increasing to $197 million, up 8% from the previous year [21][22] Business Line Data and Key Metrics Changes - In the Inspection and Mitigation (I&M) segment, revenue was approximately $1.1 billion for 2025, remaining roughly flat year-over-year, with adjusted gross margin at 27.8% [20] - Consulting Engineering (CE) revenue was $714 million, up roughly 8% against 2024, with an adjusted gross margin of 47.0% [20] - Geospatial (Geo) revenue was $298 million, up roughly 6% against 2024, with an adjusted gross margin of 51.5% [21] Market Data and Key Metrics Changes - Data center revenue increased significantly, reaching nearly $70 million in 2025, more than doubling from the prior year, with expectations to approach $100 million supported by contracted backlog [13][48] - Year-end backlog within CE and Geo was $1.07 billion, up about 10% from approximately $970 million last year [16] Company Strategy and Development Direction - The company aims to accelerate organic growth, focusing on cross-selling and deeper client engagement across segments [11][36] - A planned leadership transition was announced, with Ben Heraud set to become CEO on March 31, 2026, to ensure continuity and strategic execution [2][6] - The company is focused on margin expansion through prudent cost management and service mix improvement [11][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the structural tailwinds in markets, including infrastructure reinvestment and increasing regulatory complexity [36] - The company expects revenue for 2026 in the range of $2.15 billion to $2.25 billion, with adjusted EBITDA between $330 million and $355 million, indicating a growth outlook [28][29] Other Important Information - The company completed a $250 million private placement to strengthen its balance sheet and provide flexibility for growth opportunities [26] - An integration program is underway, targeting $25 million in cost synergies, with expectations to realize half of these savings in 2026 [27] Q&A Session Summary Question: Can you talk more about the integration process and specific milestones for 2026? - Management highlighted strong momentum in the integration process, focusing on communication and culture, with weekly meetings on milestones [41] Question: What are the biggest potential synergies and go-to-market strategies? - Management noted exciting developments in cross-selling opportunities, particularly in the data center space, and emphasized the ability to service clients throughout the asset lifecycle [42][43] Question: What are the expectations for the energy and oil end markets? - Management indicated good visibility on planned outages and run-and-maintain contracts, suggesting stability in the energy sector [55] Question: Can you elaborate on the EBITDA margins in the latest 2026 guidance? - Management acknowledged a lower EBITDA margin outlook due to a shift in compensation structure but emphasized growth and margin expansion from improved execution [62] Question: How does the current situation in the Middle East impact the business? - Management stated that the Middle East represents a small portion of the business, with minimal current impacts from rising oil prices [67] Question: What is the capital allocation strategy moving forward? - Management confirmed a robust tuck-in acquisition pipeline while maintaining flexibility for share buybacks based on market conditions [83][85]