PFAS cleanup is the “taste of the day,” based on WSP CEO and President Alexandre L’Heureux, as federal businesses and others transfer to construct new water remediation amenities.
Per-and polyfluoroalkyl substances, or PFAS, are a bunch of extensively used chemical compounds — often called “eternally chemical compounds” — that may pose severe human well being and environmental dangers. Cleansing up PFAS within the U.S. water provide has develop into an elevated space of focus of many main AEC companies following an April EPA ruling that designated two forms of PFAS as hazardous substances.
In current months, the Canadian contractor has received many PFAS cleanup awards, most of them with the Division of Protection, L’Heureux mentioned on a name with funding analysts to debate the Montreal-based agency’s second quarter earnings.
“I really feel we’ve got wonderful capabilities in that regard to forge forward and take a management place,” he mentioned, including that he was “feeling excellent” in regards to the agency’s Earth and Atmosphere sector general.
Q2 numbers
WSP reported revenues of CA$3.93 billion ($2.85 billion USD) within the second quarter, up 8.5% from CA$3.63 billion in Q2 2023. Its income grew to CA$184.1 million in Q2 2024, a 22.2% soar from the identical interval final 12 months.
Backlog stood at a record-level CA$14.7 billion, a 2.8% enhance from Q2 2023. The corporate marginally raised its monetary outlook for the 12 months, saying that it could now anticipate between $11.4 billion and $11.8 billion in web revenues, up from its beforehand said vary of $11.2 billion to $11.7 billion.
Whereas Asia goes by a tough patch and there’s been a slowdown in New Zealand, L’Heureux mentioned its North American and European areas are performing very properly and he’s “feeling good we’re working in the proper markets.”
Alexandre L’Heureux
He sees extra room to develop within the U.S. — notably within the Midwest, the South and California.
As well as, L’Heureux mentioned “the movement is nice” on the agency’s pipeline of federal work within the U.S. and he doesn’t anticipate that the presidential election will interrupt that momentum, notably for the reason that Infrastructure Funding and Jobs Act nonetheless has one other few years of funding to dole out.
“Whether or not we’re taking a look at infrastructure tasks, or CHIPS Act tasks or the Inflation [Reduction] Act tasks, issues are going extraordinarily properly at this level,” L’Heureux mentioned.
L’Heureux additionally highlighted New Zealand, Australia and Canada as markets the place the corporate sees alternative.
Enthusiastic about acquisitions
In Could, WSP accomplished the acquisition of Spanish consulting agency 1A Ingenieros, which has about 250 workers and is energetic within the energy and vitality sector, L’Heureux mentioned on the decision.
Earlier this 12 months WSP additionally introduced the acquisition of New York Metropolis-based AKF, a mechanical, electrical and plumbing agency; Finnish rail consultancies Proxion Professional and Proxion Plan; and Communica Public Affairs, a Canadian Indigenous and stakeholder engagement agency. WSP purchased one other 4 companies final 12 months.
Acquisitions stay a crucial a part of accelerating WSP’s progress and its increasing capabilities, L’Heureux mentioned, including “the pipeline of alternatives stays sturdy.” 2023 was a 12 months of consolidation, however now that the corporate has built-in lots of these new companies, “I can let you know now we’re open for enterprise,” he mentioned, and I’m “extra excited now than I used to be six months in the past.”
However L’Heureux doesn’t wish to rely solely on bolt-on purchases to develop the corporate, including that his purpose is to display natural progress along with inorganic progress.
New tasks
L’Heureux highlighted a number of massive challenge wins up to now quarter, together with:
