Arcadis announces 2018 results and progress of Digital Agenda
Arcadis (Amsterdam, The Netherlands) reported organic net revenue growth of 3% to €2.4 billion (gross revenues of €3.3 billion) for the full year 2018. North America, Continental Europe, the UK, and Australia all delivered organic growth; revenues declined particularly in the Middle East due to higher selectivity and cancellation of a large project. Net income for the year was a loss of €27 million compared to a net income of €71 million in 2017, and was impacted by the impairment on Brazilian energy assets, and goodwill impairment of €40 million in Q4, mainly reflecting de-risking of business in the Middle East. North American organic net revenue increased 6% for the year and 11% in the fourth quarter, mainly driven by Environment and Water. Arcadis’ UK business grew organic net revenue 13% in the year, mainly driven by large infrastructure projects. Arcadis also reported significant progress on its Digital Agenda in 2018 by acquiring software and analytics firm SEAMS, which is focused on utilities and infrastructure, following the 2017 acquisition of E2 ManageTech in Digital EHS services.
RSK boosts international reach buying companies in Germany and Australia
Dr Tillmanns & Partner GmbH (Bergheim, Germany), an environmental and geotechnical engineering firm, has been acquired by RSK Group Ltd. (Helsby, UK), an environmental engineering and technical services business. It is the 10th acquisition of the 2018/19 financial year for RSK, a private company with 36 international offices and annual revenues of £200 million. RSK also recently acquired Corview, a 45-strong team of strategic, commercial advisory and management consulting specialists in Australia for A$32 million. The acquisitions follow RSK’s December 2018 announcement of a funding package from Ares Capital Europe for doubling the size of RSK over the next few years through acquisition, development of new businesses, and international growth.
AECOM seeks to maximize profitability of record first-quarter backlog
AECOM (Los Angeles, Calif.) reported revenue of $5 billion, up 3% year over year, for its first quarter 2019 ended December 31, 2018; total backlog increased by 22% to a record $59.5 billion. AECOM’s Design & Consulting Services division generated revenue of $2 billion in the quarter and increased by 5%; constant-currency organic revenue increased by 7%. This included 12% organic growth in the Americas, driven by the transportation and water markets, including storm recovery in the Southeastern U.S. and Caribbean. Revenue from Construction Services in the first quarter was $2 billion, representing a 5% decrease due to a decline in Building Construction and a reduced contribution from Power. Revenue for AECOM’s Management Services division in the first quarter was $989 million, up 17%, reflecting near record levels of backlog and strong funding for U.S. Departments of Defense and Energy clients.
WSP unveils global strategic plan through 2021
WSP Global Inc. (Montreal, Canada) released highlights from its 2019-2021 Global Strategic Plan at the end of January, which aims to achieve $8 to $9 billion in net revenues balanced between organic and acquisition growth. WSP also plans to increase headcount by 35% and adjusted EBITDA by 50%. WSP said it would strengthen its leadership position in Transportation & Infrastructure and Property & Buildings. Through “smart diversification” it will also seek growth in sectors such as Environment, Water, Power, Industry and Resources (including Mining), “where there is an opportunity for strategic growth and elevating brand awareness.” Among other initiatives, WSP said it would “continue to make extraordinary efforts to attract, lead, develop and retain the best professionals, sparing no effort to engage its leaders and increase their sense of belonging to WSP. This, in turn, will help further improve people turnover, succession planning, and gender balance.”
CVF Capital acquires BC2 Environmental
CVF Capital Partners has acquired BC2 Environmental (Orange, Calif.), a provider of environmental and geotechnical drilling. Additional capital resources and liquidity from the investment will be used to expand operations throughout California and neighboring states. BC2 was formed in 1995 and serves a blue-chip customer base that requires extensive drilling for monitoring groundwater safety, soil remediation and real estate development. While environmental drilling has been BC2’s focus, it expects not only to expand geographically but also to add capabilities and services. Extensive investment in California infrastructure is providing the company a solid tailwind, CVF and BC2 said in a joint news release. BC2’s management team, led by industry veteran Kurt Samuelson, will continue to run the business.
Strategen to join forces with national firm JBS&G Australia
Strategen (Subiaco, W. Australia) and JBS&G Australia (Sydney, NSW) have agreed to merge in July 2019, creating one of the largest, independently owned environmental consultancy firms in Australia, according to Strategen CEO Darren Walsh. The merger will create a total workforce of more than 200 and add depth to Strategen’s capabilities in Western Australia, especially in contaminated sites, approvals and stakeholder engagement. With over 150 employees, JBS&G has one of the largest teams of regulatory approvals, contaminated site, occupational hygiene, and engagement professionals in Australia.
Dewberry selected for water and wastewater utility contract
The Prince William County Service Authority in Virginia has selected Dewberry (Fairfax, Va.) for information management and work management initiatives related to water and wastewater utility. Following the initial $1.2 million annual business-ordering agreement, the contract has the option for four additional years of work. Dewberry will provide enterprise information management and business analytics, in addition to services for geographic information systems, information technology, integrated utility management, decision support, project management office, and portfolio and program management.
Anthesis makes three more sustainability acquisitions
Global sustainability consultancy Anthesis Group (London, UK) has merged with the 200-employee sustainability agency Lavola (Barcelona, Spain). The deal introduces Anthesis Group into Spain, Andorra and Colombia. Established in 1981, Lavola is one of the largest independent sustainability agencies in Spain. This is the third M&A announcement for Anthesis in 2019, following the February acquisition of GoodBrand (London), a sustainability advisor to brands including Unilever, Danone and Nestlé. Anthesis also acquired the assets of Made-By, a sustainable apparel advisor. Anthesis has grown to more than 450 experts across 14 countries in five years and says it’s continuing to achieve annual organic sales growth in excess of 25%.
ERM and eVision announce strategic partnership
ERM (London, UK) and eVision Industry Software (The Hague, Netherlands), a Wolters Kluwer business, have announced a strategic partnership focused on delivering improvements to clients’ operational and safety performance. “As a global market leader in digital control of work solutions for Oil & Gas, Chemical and other high-risk industries, focused on operational excellence and process safety, eVision is an ideal partner for ERM,” said Shawn Doherty, ERM’s Global Head of Digital Business & Transformation. “We are delighted to add eVision to the ecosystem of trusted partners we have been collaborating with to better serve our clients on their digital journey.”
To find out more about the Environmental Industry as a whole, download EBJ Vol XXXI No 11&12, which focuses on the 2019 industry overview.