WSP Reports Strong 2023 Results and Outlook for 2024


2023 ACCOMPLISHMENTS:

  • Strong results in the high end of Management’s revised outlook range
  • Net revenue up 22% or nearly $2B resulting from strong organic growth of 7.3% and strategic acquisitions
  • Adjusted EBITDA up 26% or nearly $400M
  • Adjusted EBITDA margin at 17.6%, up 55 bps, beyond strategic ambitions of 30 to 50 bps
  • Adjusted net earnings up 24%, resulting from accretive acquisitions and productivity gains
  • Record-high order intake of $15.1 billion, reflecting continued strong market conditions
  • Fourth-quarter net revenue organic growth of 5.1% and robust adjusted EBITDA margin increase of 150 bps
  • Successful consolidation of recent strategic acquisitions substantially completed
  • Strong balance sheet supporting continued growth aspirations
  • Positioned to exceed 2024 strategic financial ambitions

MONTREAL, Feb. 28, 2024 (GLOBE NEWSWIRE) -- WSP Global Inc. (TSX: WSP) (“WSP” or the “Corporation”) today announced financial and operating results for the fourth quarter and year ended on December 31, 2023.

FISCAL YEAR 2023 FINANCIAL HIGHLIGHTS

  • Revenues and net revenues increased by 21.0% and 21.7%, respectively, compared to 2022, growing to $14.44 billion and $10.90 billion, respectively, reaching the high end of Management's revised outlook range for the year of $10.7 billion to $11.0 billion. The increase was due to sizeable acquisition growth of 12.3% and healthy organic growth of 7.3%, achieved across all reportable segments.
  • Organic order intake reached a record high level of $15.12 billion for the year, resulting in backlog as at December 31, 2023, of $14.1 billion, representing 11.8 months of revenues,(1) up 8.2% in the year.
  • Adjusted EBITDA margin increased by 55 bps to 17.6%, compared to 17.1% in 2022, mainly attributable to strong project performance and increased productivity, reaching beyond the higher-end of the Corporation's 2022-2024 strategic ambitions.
  • Adjusted EBITDA grew to $1.92 billion, up 25.6%, compared to $1.53 billion in 2022 reaching the high end of Management's revised outlook range of $1.90 billion to $1.93 billion.
  • Earnings before net financing expense and income taxes stood at $947.5 million, up 26.5% compared to 2022, mainly due to increased adjusted EBITDA.
  • Adjusted net earnings of $860.0 million, or $6.90 per share, increased by $167.4 million or $1.15 per share, compared to 2022. The respective increases of 24.2% and 20.0% in these metrics are mainly attributable to higher adjusted EBITDA, partially offset by higher interest on long-term debt.
  • Net earnings attributable to shareholders reached $550.0 million, or $4.41 per share, up $118.2 million, or $0.82 per share, compared to 2022. The increase was mainly due to higher adjusted EBITDA, partially offset by impairment of long-lived assets resulting from ongoing optimizations as part of the Corporation's real estate strategy to review its footprint, realize synergies and reduce costs.
  • DSO as at December 31, 2023 stood at 76 days, compared to 73 days as at December 31, 2022.
  • Cash inflows from operating activities were $986.3 million compared to $814.8 million in 2022. Free cash flow was $433.1 million for the year, up 40.2% compared to $309.0 million in 2022. The improvement in free cash flow compared to 2022 was mainly attributable to the increase in adjusted EBITDA, partially offset by higher income taxes paid due to tax regulations in the US which delay the deductibility of certain expenses. Excluding the effect of the latter, free cash flow represents 1.1 times net earnings attributable to shareholders.
  • Net debt to adjusted EBITDA ratio stood at 1.5x and within Management's target range of 1.0 to 2.0x.
  • Full year dividend declared of $1.50 per share, or $186.9 million.

FOURTH QUARTER OF 2023 FINANCIAL HIGHLIGHTS

  • Revenues and net revenues for the quarter reached $3.72 billion and $2.76 billion, up 4.6% and 7.9%, respectively, compared to the fourth quarter of 2022. Net revenue organic growth of 5.1% in the quarter is attributable to all reportable segments. Globally, net revenue organic growth would be approximately 6.5% when excluding the significantly lower level of activity in our emergency response services in the US.
  • Adjusted EBITDA margin for the quarter increased by 150 bps to 19.0%, compared to 17.5% in the fourth quarter of 2022. The increase is mainly attributable to strong project performance and increased productivity.
  • Adjusted EBITDA in the quarter grew to $524.9 million, compared to $446.4 million in the fourth quarter of 2022, an increase of 17.6%.
  • Earnings before net financing expense and income taxes in the quarter stood at $211.0 million, up $25.7 million compared to the fourth quarter of 2022, mainly due to higher adjusted EBITDA.
  • Adjusted net earnings for the quarter reached $247.8 million, up $38.5 million or 18.4%, compared to the fourth quarter of 2022. The increase is mainly attributable to a higher adjusted EBITDA, partially offset by higher interest on long-term debt.
  • Net earnings attributable to shareholders for the quarter stood at $130.6 million, compared to $120.0 million in Q4 2022.
  • Cash flows from operating activities increased 28% in the quarter, and free cash flow reached $610.3 million.
  • Quarterly dividend declared of $0.375 per share, or $46.8 million.

“As I reflect on our journey, I am proud of the strides we have made and milestones we have achieved in the second year of our strategic cycle. We are concluding a year of significant growth and consolidation, and I am very pleased with the performance our team has delivered once again in 2023”, said Alexandre L’Heureux, President and CEO of WSP. “As we forge ahead and execute on our ambitions, we are entering the last year of the current strategic cycle with confidence fuelled by healthy market conditions and the continued growth opportunities that lie ahead.”

OUTLOOK FOR 2024
This outlook is provided as at February 28, 2024, to assist analysts and shareholders in formalizing their respective views on the year ending December 31, 2024. The reader is cautioned that using this information for other purposes may be inappropriate. This information constitutes forward-looking information, based on multiple estimates and assumptions about future events. Actual results may differ, and such differences may be material. Expectations are also subject to a number of risks and uncertainties as well as material assumptions contained in this press release and
in WSP's MD&A for the fourth quarter and year ended December 31, 2023. Please see the section below entitled: “Forward-Looking Statements”.

The Corporation cautions that the assumptions used to prepare the 2024 outlook could prove to be incorrect or inaccurate. Accordingly, WSP’s actual results could differ materially from the Corporation’s expectations as set out in this press release.

The target ranges were prepared assuming no fluctuations in foreign exchange rates in markets in which the Corporation operates. The Corporation did not consider any dispositions, mergers, business combinations or other transactions that may occur after the publication of this press release. In the 2024 target ranges, the Corporation considered numerous economic and market assumptions regarding the competition, political environment and economic performance of each region where it operates.

Management expects the WSP's results for the year ending December 31, 2024, will fall within the following ranges:

 2024 TARGET RANGE(2)
  
Net revenuesBetween $11.2 billion and $11.7 billion and consolidated net revenues organic growth on a constant currency basis is expected to be between 5% and 8%
  
Adjusted EBITDABetween $2.05 billion and $2.13 billion
  
Seasonality and adjusted EBITDA fluctuations• Q1 2024: between 20% and 22%

• Q2 2024: between 23% and 25%

• Q3 2024: between 27% and 29%

• Q4 2024: between 26% and 28%
  
DSOBetween 72 and 79 days
  
Net capital expendituresBetween $190 million and $215 million
  
Acquisition, integration, and reorganization costsBetween $45 million and $65 million
  
ERP implementation costsBetween $60 million and $80 million
  

The first quarter of 2024 will have two less billable days than the first quarter of 2023, while the fourth quarter of 2024 will have two additional billable days than the fourth quarter of 2023. The impact on the quarterly organic growth is expected to be approximately 3% in each of Q1 2024 (negative ~3%) and Q4 2024 (positive ~3%).

The Corporation anticipates organic growth in net revenues by segment will be in the mid-to-high-single digits in its Canadian operations and Americas operations and the mid-single digits in its EMEIA and APAC operations.

The forecasts were prepared using tax rates enacted as of December 31, 2023, in the countries in which the Corporation currently operates. The Corporation anticipates that the effective tax rate in 2024 will fall between 25% and 29%.

The Corporation anticipates depreciation of right-of-use assets, property & equipment and amortization of software will be between $475 million and $500 million in 2024. The Corporation anticipates amortization of intangible assets related to acquisitions will be between $180 million and $195 million.

Head office corporate costs in 2024 are expected to be between $120 million and $135 million.

The Corporation intends to manage its capital structure to maintain a net debt-to-adjusted EBITDA ratio between 1.0 and 2.0.

DIVIDEND
The Board of WSP declared a dividend of $0.375 per share. This dividend will be payable on or about April 15, 2024, to shareholders of record at the close of business on March 31, 2024.

FINANCIAL REPORT
This release includes, by reference, the 2023 financial reports, including the audited consolidated financial statements for the year ended December 31, 2023, and the Management's Discussion and Analysis of the Corporation for the fourth quarter and year ended December 31, 2023 ("MD&A"), which are available on our website at www.wsp.com. These documents are also available on SEDAR+ at www.sedarplus.ca.

CONFERENCE CALL & WEBCAST
WSP will hold a conference call and webcast from 8:00 a.m. to 9:00 a.m. (Eastern Time) on February 29, 2024, to discuss these results. To participate in the conference call, please pre-register using this link. Registrants will receive a confirmation with dial-in details. A live webcast of the conference call can be accessed using this link.

For those unable to attend, a replay will be available within 24 hours following the call under the Investors section of the website.

A presentation of the fourth quarter and fiscal 2023 highlights and results will be accessible on February 28, 2024, after market close under the “Investors” section of the WSP website at www.wsp.com.

(1)Based on revenues for the trailing twelve-month period, incorporating a full twelve months of revenues for all acquisitions.

(2)This information constitutes forward-looking information, based on multiple estimates and assumptions about future events. The reader is cautioned that using this information for other purposes may be inappropriate. Actual results may differ and such differences may be material. Please refer to the "Forward-looking statements" disclaimer below.

FINANCIAL HIGHLIGHTS

 Fourth quarters ended
 Years ended
 
(in millions of dollars, except percentages, per share data, DSO and ratios)December 31,
2023

 December 31,
2022
 December 31,
2023

 December 31,
2022

 
Revenues$3,724.3 $3,560.8 $14,437.2 $11,932.9 
Net revenues(1)$2,756.0 $2,553.7 $10,897.0 $8,957.2 
Earnings before net financing expense and income taxes$211.0 $185.3 $947.5 $749.1 
Adjusted EBITDA(2)$524.9 $446.4 $1,921.3 $1,530.2 
Adjusted EBITDA margin(2)19.0%17.5%17.6%17.1%
Net earnings attributable to shareholders of WSP Global Inc.$130.6 $120.0 $550.0 $431.8 
Basic net earnings per share attributable to shareholders$1.05 $0.96 $4.41 $3.59 
Adjusted net earnings(2)$247.8 $209.3 $860.0 $692.6 
Adjusted net earnings per share(2)$1.99 $1.68 $6.90 $5.75 
Cash inflows from operating activities$776.6 $607.4 $986.3 $814.8 
Free cash flow(2)$610.3 $442.7 $433.1 $309.0 
As at  December 31,
2023

 December 31,
2022

 
Backlog(3)  $14,076.5 $13,006.5 
Approximate number of employees  66,500 66,200 
DSO(3)  76 days 73 days 
Net debt to adjusted EBITDA ratio(3)  1.5 1.6 

(1)  Quantitative reconciliations of net revenues to revenues are presented below under the caption "Non-IFRS and other financial measures".
(2) Non-IFRS financial measure or non-IFRS ratio without a standardized definition under IFRS, which may not be comparable to similar measures or ratios used by other issuers. Quantitative reconciliations of non-IFRS financial measures to the most directly comparable IFRS measures are presented below under the caption "Non-IFRS and other financial measures". Adjusted EBITDA margin is defined as adjusted EBITDA expressed as a percentage of net revenues. Adjusted net earnings per share is the ratio of adjusted net earnings divided by the basic weighted average number of shares outstanding for the period. This press release incorporates by reference section 22, “Glossary of segment reporting, non-IFRS and other financial measures”, of WSP’s MD&A for the fourth quarter and year ended December 31, 2023, filed on SEDAR+ at www.sedarplus.ca, which includes explanations of the composition and usefulness of these non-IFRS financial measures and non-IFRS ratios.
(3)  This press release incorporates by reference section 22, “Glossary of segment reporting, non-IFRS and other financial measures”, of WSP’s MD&A for the fourth quarter and year ended December 31, 2023, filed on SEDAR+ at www.sedarplus.ca, which explains the composition of the supplemental financial measures, as well as the usefulness of the net debt to adjusted EBITDA ratio, which is a capital management measure composed of the ratio of net debt to adjusted EBITDA for the trailing twelve-month period. Net debt is defined as long-term debt, including current portions but excluding lease liabilities, and net of cash.

RESULTS OF OPERATIONS

 Fourth quarters endedYears ended
(in millions of dollars, except number of shares and per share data)December 31,
2023
December 31,
2022
December 31,
2023
December 31,
2022
Revenues$3,724.3$3,560.8$14,437.2$11,932.9
Less: Subconsultants and direct costs$968.3$1,007.1$3,540.2$2,975.7
Net revenues$2,756.0$2,553.7$10,897.0$8,957.2
Earnings before net financing expense and income taxes$211.0$185.3$947.5$749.1
Net financing expense$47.4$27.3$202.6$161.6
Earnings before income taxes$163.6$158.0$744.9$587.5
Income tax expense$32.3$37.6$191.9$152.8
Net earnings$131.3$120.4$553.0$434.7
Net earnings attributable to:    
Shareholders of WSP Global Inc.$130.6$120.0$550.0$431.8
Non-controlling interests$0.7$0.4$3.0$2.9
Basic net earnings per share attributable to shareholders$1.05$0.96$4.41$3.59
Diluted net earnings per share attributable to shareholders$1.05$0.96$4.40$3.58
Basic weighted average number of shares124,647,422124,426,229124,603,768120,400,365
Diluted weighted average number of shares124,989,583124,730,705124,951,544120,709,390


CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(in millions of Canadian dollars)
References to notes refer to notes in the audited consolidated financial statements

As at December 31December 31, 2023December 31, 2022
 $$
Assets  
Current assets  
Cash and cash equivalents (note 28)378.0495.6
Trade receivables and other receivables (note 14)2,726.42,625.8
Cost and anticipated profits in excess of billings (note 15)1,911.61,626.2
Prepaid expenses239.4138.9
Other financial assets (note 16)123.3108.2
Income taxes receivable38.439.5
 5,417.15,034.2
Non-current assets  
Right-of-use assets (note 17)824.2978.9
Intangible assets (note 18)1,104.11,102.6
Property and equipment (note 19)435.3398.9
Goodwill (note 20)7,155.86,792.2
Deferred income tax assets (note 12)429.3351.3
Other assets (note 21)217.3183.6
 10,166.09,807.5
Total assets15,583.114,841.7
   
Liabilities  
Current liabilities  
Accounts payable and accrued liabilities (note 22)2,738.22,736.4
Billings in excess of costs and anticipated profits (note 15)1,158.0973.1
Income taxes payable171.0260.4
Provisions (note 23)134.9152.2
Dividends payable to shareholders (note 27)46.846.7
Current portion of lease liabilities (note 17)257.5273.0
Current portion of long-term debt (note 24)204.2173.4
 4,710.64,615.2
Non-current liabilities  
Long-term debt (note 24)3,058.32,781.1
Lease liabilities (note 17)744.6856.8
Provisions (note 23)399.3288.9
Retirement benefit obligations (note 9)187.5162.3
Deferred income tax liabilities (note 12)149.4128.3
 4,539.14,217.4
Total liabilities9,249.78,832.6
   
Equity  
Equity attributable to shareholders of WSP Global Inc.6,328.96,006.0
Non-controlling interests4.53.1
Total equity6,333.46,009.1
Total liabilities and equity15,583.114,841.7


CONSOLIDATED STATEMENTS OF CASH FLOWS

(in millions of Canadian dollars)
References to notes refer to notes in the audited consolidated financial statements

Years ended December 312023 2022 
 $ $ 
Operating activities  
Net earnings553.0 434.7 
Adjustments (note 28)658.9 535.6 
Net financing expense (note 11)202.6 161.6 
Income tax expense (note 12)191.9 152.8 
Income taxes paid(334.4)(185.2)
Change in non-cash working capital items (note 28)(285.7)(284.7)
Cash inflows from operating activities986.3 814.8 
Financing activities  
Issuance of senior unsecured notes (note 24)496.2  
Net repayment of long-term debt(364.5)(235.2)
Issuance of long-term debt related to business acquisitions 2,309.3 
Repayment of long-term debt following business acquisitions (1,025.8)
Lease payments (note 17)(375.1)(341.3)
Net financing expenses paid, excluding interest on lease liabilities(196.6)(79.2)
Dividends paid to shareholders of WSP Global Inc.(162.2)(90.1)
Issuance of common shares, net of issuance costs (note 25)5.2 883.5 
Dividends paid to non-controlling interests(0.4)(0.5)
Cash inflows from (outflows used in) financing activities(597.4)1,420.7 
Investing activities  
Net disbursements related to business acquisitions and disposals of businesses (notes 5 and 20)(354.3)(2,554.1)
Additions to property and equipment, excluding business acquisitions(159.9)(130.9)
Additions to identifiable intangible assets, excluding business acquisitions(20.1)(35.6)
Proceeds from disposal of property and equipment1.9 2.0 
Dividends received from associates22.6 22.0 
Other(0.6)13.9 
Cash outflows used in investing activities(510.4)(2,682.7)
Effect of exchange rate change on cash and cash equivalents(7.6)11.9 
Change in net cash and cash equivalents(129.1)(435.3)
Cash and cash equivalents, net of bank overdraft - beginning of the year491.0 926.3 
Cash and cash equivalents, net of bank overdraft - end of the year (note 28)361.9 491.0 


All amounts shown in this press release are expressed in Canadian dollars, unless otherwise indicated. All quarterly information disclosed in this press release is based on unaudited figures.

NON-IFRS AND OTHER FINANCIAL MEASURES
The Corporation reports its financial results in accordance with IFRS. WSP uses a number of financial measures when assessing its results and measuring overall performance. Some of these financial measures are not calculated in accordance with IFRS. Regulation 52-112 respecting Non-GAAP and Other Financial Measures Disclosure (“Regulation 52-112”) prescribes disclosure requirements that apply to the following types of measures used by the Corporation: (i) non-IFRS financial measures; (ii) non-IFRS ratios; (iii) total of segments measures; (iv) capital management measures; and (v) supplemental financial measures.

In this press release, the following non-IFRS and other financial measures are used by the Corporation: net revenues; adjusted EBITDA; adjusted EBITDA margin; adjusted net earnings; adjusted net earnings per share; backlog; free cash flow; days sales outstanding (“DSO”); and net debt to adjusted EBITDA ratio. Additional details for these non-IFRS and other financial measures can be found in section 22, “Glossary of segment reporting, non-IFRS and other financial measures” of WSP’s MD&A for the fourth quarter and year ended December 31, 2023, which is posted on WSP’s website at www.wsp.com, and filed on SEDAR+ at www.sedarplus.ca. Reconciliations of non-IFRS financial measures and total of segments measures to the most directly comparable IFRS measures are provided below.

Management believes that these non-IFRS and other financial measures provide useful information to investors regarding the Corporation’s financial condition and results of operations as they provide key metrics of its performance. These non-IFRS and other financial measures are not recognized under IFRS, do not have any standardized meanings prescribed under IFRS and may differ from similar computations as reported by other issuers, and accordingly may not be comparable. These measures should not be viewed as a substitute for the related financial information prepared in accordance with IFRS.

 Reconciliation of net revenues 
 The following table reconciles net revenues to the most comparable IFRS measure: 
  Fourth quarters endedYears ended 
 (in millions of dollars)December 31,
2023
December 31,
2022
December 31,
2023
December 31,
2022
 
 Revenues$3,724.3$3,560.8$14,437.2$11,932.9 
 Less: Subconsultants and direct costs$968.3$1,007.1$3,540.2$2,975.7 
 Net revenues*$2,756.0$2,553.7$10,897.0$8,957.2 
 * Total of segments measure. 


 Reconciliation of adjusted EBITDA 
 The following table reconciles this metric to the most comparable IFRS measure: 
  Fourth quarters endedYears ended 
 (in millions of dollars)December 31,
2023
December 31,
2022
December 31,
2023
December 31,
2022
 
 Earnings before net financing expense and income taxes$211.0$185.3$947.5$749.1 
 Acquisition, integration and reorganization costs$26.3$49.7$105.0$115.5 
 ERP implementation costs$21.1$19.4$81.0$49.9 
 Depreciation of right-of-use assets$77.2$77.6$316.4$288.5 
 Amortization of intangible assets$58.7$73.1$221.7$173.4 
 Depreciation of property and equipment$39.7$30.6$135.1$114.6 
 Impairment of long-lived assets$81.7$5.1$87.1$21.6 
 Share of depreciation and taxes of associates and joint ventures$4.5$3.2$14.9$11.8 
 Interest income$4.7$2.4$12.6$5.8 
 Adjusted EBITDA*$524.9$446.4$1,921.3$1,530.2 
 * Non-IFRS financial measure. 


 Reconciliation of adjusted net earnings 
 The following table reconciles this metric to the most comparable IFRS measure: 
  Fourth quarters ended
 Years ended
  
 (in millions of dollars, except per share data)December 31,
2023
 December 31,
2022
 December 31,
2023
 December 31,
2022
  
 Net earnings attributable to shareholders$130.6 $120.0 $550.0 $431.8  
 Amortization of intangible assets related to acquisitions$47.2 $49.3 $181.7 $112.6  
 Impairment of long-lived assets$81.7 $5.1 $87.1 $21.6  
 Acquisition, integration and reorganization costs$26.3 $49.7 $105.0 $115.5  
 ERP implementation costs$21.1 $19.4 $81.0 $49.9  
 (Gains) losses on investments in securities related to deferred compensation obligations$(10.4)$(5.0)$(18.1)$22.1  
 Unrealized (gains) losses on derivative financial instruments$(8.9)$(3.5)$(27.4)$20.1  
 Income taxes related to above items$(39.8)$(25.7)$(99.3)$(81.0) 
 Adjusted net earnings*$247.8 $209.3 $860.0 $692.6  
 Adjusted net earnings per share*$1.99 $1.68 $6.90 $5.75  
 * Non-IFRS financial measure or non-IFRS ratio. 


 Reconciliation of free cash flow 
 The following table reconciles this metric to the most comparable IFRS measure: 
  Fourth quarters ended
 Years ended
  
 (in millions of dollars)December 31,
2023

 December 31,
2022

 December 31,
2023

 December 31,
2022

  
 Cash inflows from operating activities$776.6 $607.4 $986.3 $814.8  
 Lease payments in financing activities$(96.3)$(91.9)$(375.1)$(341.3) 
 Net capital expenditures*$(70.0)$(72.8)$(178.1)$(164.5) 
 Free cash flow**$610.3 $442.7 $433.1 $309.0  
 * Capital expenditures pertaining to property and equipment and intangible assets, net of proceeds from disposal and lease incentives received. 
 ** Non-IFRS financial measure. 


FORWARD-LOOKING STATEMENTS

Certain information regarding WSP contained herein are not based on historical facts and may constitute forward-looking statements or forward-looking information under Canadian securities laws (collectively, “forward-looking statements”). Forward-looking statements may include estimates, plans, strategic ambitions, objectives, expectations, opinions, forecasts, projections, guidance, outlook or other statements that are not statements of fact. Forward-looking statements made by the Corporation in this press release include statements about our 2024 strategic financial ambitions, backlog and the strength of the markets across our regions, the payment of dividends, our proposed strategy, and our operating performance, financial outlook (including net revenues, adjusted EBITDA, Seasonality and adjusted EBITDA fluctuations, DSO, net capital expenditures, acquisition, integration and reorganization costs, ERP implementation costs), organic growth, effective tax rates, depreciation of right-of-use assets, property & equipment and amortization of software, head office corporate costs, a net debt to adjusted EBITDA ratios, and statements about the 2022-2024 Global Strategic Action Plan. These forward-looking statements are based on a number of assumptions believed by the Corporation to be reasonable as at February 28, 2024, including economic and market assumptions regarding the competition, political environment and economic performance of each region where it operates, assumptions set out through this press release, assumptions about the state of and access to global and local capital and credit markets; interest rates; working capital requirements; the collection of accounts receivable; the Corporation obtaining new contract awards; the type of contracts entered into by the Corporation; the anticipated margins under new contract awards; the utilization of the Corporation’s workforce; the ability of the Corporation to attract new clients; the ability of the Corporation to retain current clients; changes in contract performance; project delivery; the Corporation’s competitors; the ability of the Corporation to successfully integrate acquired businesses; the acquisition and integration of businesses in the future; the Corporation’s ability to manage growth; external factors affecting the global operations of the Corporation; the current or expected state of the Corporation’s backlog; the joint arrangements into which the Corporation has or will enter; capital investments made by the public and private sectors; relationships with suppliers and subconsultants; relationships with management, key professionals and other employees of the Corporation; the maintenance of sufficient insurance; the management of environmental, social and health and safety risks; the sufficiency of the Corporation’s current and planned information systems, communications technology and other technology; compliance with laws and regulations; future legal proceedings; the sufficiency of internal and disclosure controls; the regulatory environment; impairment of goodwill; foreign currency fluctuation; the tax legislation and regulations to which the Corporation is subject and the state of the Corporation’s benefit plans.

Although WSP believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. These statements are subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward-looking statements, and such risks include, but are not limited to, the deterioration of our financial position or net cash position; our working capital requirements; our accounts receivable; our increased indebtedness and raising capital; the impairment of long-lived assets; our foreign currency exposure; our income taxes; underfunded defined benefits obligations, and any other risk factors described under section 20 “Risk Factors” of WSP's MD&A for the fourth quarter and year ended December 31, 2023 which is available on SEDAR+ at www.sedarplus.ca. WSP's forward-looking statements are expressly qualified in their entirety by this cautionary statement. The complete version of the cautionary note regarding risk factors, which, if realized, could cause the Corporation's actual results to differ materially from those expressed or implied in forward-looking statements, are discussed in greater detail in section 20, “Risk factors” of WSP's MD&A for the fourth quarter and year ended December 31, 2023 which is available on SEDAR+ at www.sedarplus.ca. The forward-looking statements contained in this press release are made as of the date hereof and, accordingly, are subject to change after such date. Except to the extent required by applicable law, WSP does not assume any obligation to publicly update or revise any forward-looking statements made in this press release or otherwise, whether as a result of new information, future events or otherwise.

ABOUT WSP
As one of the largest professional services firms in the world, WSP exists to future-proof our cities and our environment. It provides strategic advisory, engineering, and design services to clients seeking sustainable solutions in the transportation, infrastructure, environment, building, energy, water, and mining sectors. Its 66,500 trusted professionals are united by the common purpose of creating positive, long-lasting impacts on the communities it serves through a culture of innovation, integrity, and inclusion. In 2023, WSP reported $14.4 B (CAD) in revenue. The Corporation’s shares are listed on the Toronto Stock Exchange (TSX: WSP).

FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

Alain Michaud
Chief Financial Officer
WSP Global Inc.
alain.michaud@wsp.com   
Phone: 438-843-7317