Fugro: H1 2025 Impacted by Weak Markets, Recovery Expected in H2

Fugro’s results in the first half year were significantly impacted by geopolitical and economic uncertainties. For the second half of 2025, the company expects a strong recovery resulting in a full-year EBIT margin of 8-11%, underpinned by revenue growth in H2 of around 20% versus H1.

• The macro(economic) uncertainties experienced in Q1 persisted, contributing to industry-wide project delays and scope reductions, especially in the offshore wind market. This led to lower revenue and EBIT.
• Free cash flow was affected by reduced EBITDA and a front-loaded capital expenditure profile.
• Our balance sheet remains robust.
• We are progressing well with implementation comprehensive cost reduction program, targeting a reduction of 750 FTEs and annualized savings of USD$92-115 million (EUR 80-100 million).
• Our order backlog is solid at USD$1.7 billion (EUR 1.5 billion). The reduction in renewables has been offset by growth in other markets, underpinned by several recent major awards
• The recent upturn in trading conditions is the result of improved vessel utilization, the recent start of new and previously postponed projects, and cost reductions
• Outlook 2025: we expect a strong recovery in H2 resulting in a full-year EBIT margin of 8-11%, underpinned by revenue growth of around 20% compared to H1 2025.