Core Insights - Arcadis reported a return to organic growth with net revenues of €936 million, reflecting a 1.0% year-on-year increase, despite a foreign exchange impact of -4.3% [2][5][7] - The operating EBITA margin expanded to 11.6%, up from 11.4% in Q3 2024, driven by strategic initiatives and improved solutions mix [2][5][3] - The company continues to focus on high-growth markets such as Energy, Water, Climate, and Technology, with strong demand in North America and Europe [3][5] Financial Performance - Gross revenues decreased by 1% year-on-year to €1,232 million, while net revenues fell by 3% to €936 million [4] - EBITDA for the quarter was €126 million, a 2% decline from the previous year, with an EBITDA margin of 13.4% [4] - Free cash flow generation was €80 million, down 40% from €134 million in Q3 2024 [4][11] Order Intake and Backlog - Order intake was €882 million, leading to a backlog of €3.5 billion, which represents a 1.6% organic growth year-on-year [5][8] - The backlog quality improved as the company shifted focus towards high-growth and margin-accretive solutions [10] - Mobility projects in North America contributed significantly to backlog growth, although overall order intake saw a decline due to the winding down of large projects [9][16] Operational Highlights - The Resilience segment accounted for 37% of net revenues, with a 3.8% organic growth, driven by strong demand in North America, Germany, and the Netherlands [13][14] - The Places segment, representing 36% of net revenues, experienced an 8% decline in net revenues, impacted by delays in large capex decisions from European clients [15] - The Mobility segment saw a 5% increase in net revenues, supported by large projects secured in previous quarters [16] Strategic Focus - Arcadis is implementing a strategy to enhance accountability and performance culture, focusing on profitable growth and operational efficiency [12] - The company aims to attract and retain top talent through improved performance management and targeted reward mechanisms [12] - The 2024-2026 strategy includes targets for organic net revenue growth and an operating EBITA margin of 12.5% by 2026 [19]