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Results First Quarter 2008 Harrie Noy, CEO Arnhem, the Netherlands, May 7, 2008.

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Presentation on theme: "Results First Quarter 2008 Harrie Noy, CEO Arnhem, the Netherlands, May 7, 2008."— Presentation transcript:

1 Results First Quarter 2008 Harrie Noy, CEO Arnhem, the Netherlands, May 7, 2008

2 Solid first quarter 2008 Double digit organic growth maintained Gross revenue 20% higher; of which 11% organic Environment strongest with organic growth of 19% All regions contribute to growth, US and NL the most Margin improved further Net income from operations 20% higher Outlook 2008 remains positive Balanced portfolio with good spread of activities over geographies, market segments and clients, pays off

3 Gross revenue EBITA Net income from operations 1 ) Ditto per share 1,2) 2007 332 22.6 12.8 0.63 _  _ 20% 22% 20% 21% Income 1st quarter 2008: € 15.3 million 1) Before amortization and non-recurring items 2) 2008 based on 20.2 million shares outstanding (2007: 20.4 million) Currency effect: -6% resulting from declines in U.S. $ and British pound 2008 400 27.5 15.3 0.76

4 Important developments Strong performance US with 14% organic growth Netherlands continues to do well with 13% organic growth 3% organic growth in rest Europe due to slowdown in property market Markets in Brazil and Chili remain strong Good contribution from acquisitions, especially RTKL One new acquisition: LFR in U.S. (environment, US$ 127 million) Less carbon credits sold: € 0.6 million (2007: € 1.9 million) Nevertheless margin improvement to 9.9% (2007: 9.5%) Higher financing charges of € 3.6 million, excl financial instruments Higher tax rate due to larger profit share from U.S. and options

5 Currency -3% -3% +1% 0% -4% -6% Organic growth remains above new target Growth target overall:Growth target organic:

6 EBITA increases by 22% In € million 22.6 27.5 24% -6% 4%

7 The business lines Infrastructure Environment Buildings

8 Negative impact from previous decline in US land development Excluding this impact organic growth was 9% Good contributions from NL, France, Poland and Brazil Poland seems recovered resulting in strong growth Growth of water and transportation in US Infrastructure +1% (+6%)

9 Strong growth despite negative currency impact of 12% Contribution from acquisitions 12% (LFR, Vectra) Organic growth mainly from US, also from NL, UK and Belgium New GRiP® contract from DOD, total value app. $10 million Master services agreement AkzoNobel for global services Environment +19% (+19%)

10 Strong growth of 67% mainly from acquisitions, RTKL and APS Limited organic growth caused by slowdowns in property market RTKL experienced some project delays but performed well Philips facility management contract renewed and expanded Buildings +67% (+3%)

11 Outlook

12 Outlook per business line Infrastructure European market, including Netherlands solid, also through PPP High investments in Poland; also Brazil and Chile favorable U.S. transportation stable; New Orleans gives solid basis in water Environment Sustainability and climate change drive growth Vendor reduction with key clients; demand from oil &gas industry U.S.: new GRiP®-projects, synergy with LFR Buildings RTKL solid backlog and shift to non commercial & international market Project management also for infra and Middle East Expand facility management with Philips contract

13 Outlook 2008 positive Markets offer ample opportunity Order book well filled Economic uncertainty requires cautiousness Cost control and intensifying marketing and sales Synergy helps to grow market share Acquisitions are high on the priority list Further growth in revenues and profit in 2008 (barring unforeseen circumstances) ARCADIS Building Global Leadership

14 Thank you


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