19 Mar Royal HaskoningDHV: Stable 2018 results & significant investments in digital
Amersfoort, the Netherlands, 19 March 2019 – Royal HaskoningDHV reports an organic operating income growth of 3.1%, a recurring EBITA of €25.9 million and a stable net result of €12.7 million over 2018. These results were delivered against continued investments in strategic priorities with the focus to strengthen its domain knowledge and data-driven expertise.
Royal HaskoningDHV CEO Erik Oostwegel: “Looking back at 2018, I’m excited about the progress we made with regards to our strategy implementation. We have invested in our people and innovations to accelerate our digital ways of working in order to deliver better and faster solutions with and for our clients.
“To bring our strategy to life, we proactively co-create innovations with partners and clients to enhance society. We can do this effectively because our clients see us as their trusted partner and are satisfied with the services we provide them to face challenges such as climate change, urbanisation, resource optimisation and technology disruption. Therefore, we’re particularly pleased with the high client satisfaction score of 8.3 and an increase of our Net Promotor Score to +39. This is a continued strong result following the intelligent work of our colleagues and strong client relationships we have built over the years,” says Erik.
Royal HaskoningDHV CFO Nynke Dalstra: “We are satisfied with our financial results of 2018 which indicate a modest growth in organic operating income of 3.1% (2017: 1.4%) and an operating margin of 4.2% (2017: 4.9%). Despite the significant investments in the future of our company and the corresponding innovation costs and hours, the net result was only slightly lower at €12.7 million (2017: €12.8 million). This is the remaining result after a profit sharing with employees of €8.5 million (2017: €8.5 million).”
Restructuring and one-off costs were lower than in 2017 at €3.3 million (2017: €4.7 million). They mainly relate to costs associated with restructuring in South Africa and pension costs in the United Kingdom.
The order book ended at €306 million (2017: €341 million) due to disappointing sales, especially in Industry & Buildings and in South Africa.
Return on depositary receipts which can be held by employees only, was 11.0% (2017: 10.6%).
The free cash flow was €17.4 million (2017: €33.8 million) despite investments and acquisitions. This, together with an equity ratio of 48% (2017: 46%) leaves the business in a healthy financial position.
Financial key figures
(€ million, unless stated otherwise) 2018 2017
Operating income 614.8 608.6
Added value 477.7 479.0
EBITA recurring* 25.9 29.6
Net result 12.7 12.8
Operating margin (recurring) 4.2% 4.9%
Free cash flow 17.4 33.8
Total workforce (year-end headcount) 5,864 5,771
* EBITA recurring excluding €3.3 million non-operational costs in 2018.
To keep its domain knowledge at the highest levels, Royal HaskoningDHV stimulates employees to actively participate in internal and external knowledge networks and supports continuous learning through internal academies and connecting mindpower.