Arcadis : Q4 and FY 2020 results financial tables

Consolidated Income statement

for the year ended 31 December

In € thousands	2020	2019
Gross revenues	3,303,208	3,473,370
Materials, services of third parties and subcontractors	(809,644)	(896,768)
Net revenues1	2,493,564	2,576,602
Personnel costs	(1,925,126)	(1,995,787)
Other operational costs	(228,955)	(281,168)
Depreciation and amortization	(124,705)	(116,641)
Amortization other intangible assets	(21,889)	(16,609)
Impairment charges	(118,881)	-
Other income	9,295	9,053
Total Operational costs	(2,410,261)	(2,401,152)
Operating income	83,303	175,450
Finance income	3,591	5,306
Finance expenses	(38,363)	(47,740)
Fair value change of derivatives	7,326	2,914
Net finance expense	(27,446)	(39,520)
Expected Credit Loss on shareholder loans and corporate guarantees	19,707	(82,431)
Result from investments accounted for using the equity method	967	1,251
Profit before income tax	76,531	54,750
Income taxes	(55,378)	(39,898)
Result for the period	21,153	14,852
Result attributable to:
Equity holders of the Company (net income)	21,859	12,302
Non-controlling interests	(706)	2,550
Result for the period	21,153	14,852
Earnings per share (in €)
Basic earnings per share	0.24	0.14
Diluted earnings per share	0.24	0.14

1

Non-GAAP performance measure

Consolidated Statement of comprehensive income

for the year ended 31 December

In € thousands

Other comprehensive income, net of income tax Result for the period

Items that may be subsequently reclassified to profit or loss: Exchange rate differences for foreign operations

Exchange rate differences for equity accounted investees Effective portion of changes in fair value of cash flow hedges

Items that will not be reclassified to profit or loss:

Changes related to post-employment benefit obligations Other comprehensive income, net of income tax

Total Comprehensive income for the period

Total comprehensive income attributable to: Equity holders of the Company Non-controlling interests

Total Comprehensive income for the period

2020

2019

21,153 14,852

(65,789) 34,143

(117) 739

(1,215)

886

(82,001)

(16,834)

(3,354) 30,460

(60,848) 45,312

(60,155) 42,778

(693) 2,534

(60,848) 45,312

Non-GAAP performance measure

In € thousands

Net income from operations1

Result for the period attributable to equity holders (net income) Amortization identifiable intangible assets, net of taxes Goodwill impairment charges, net of taxes

Valuation changes of acquisition-related provisions, net of taxes M&A&D costs

Expected Credit loss on shareholder loans and corporate guarantees Lovinklaan employee share purchase plan 2

Net income from operations

Net income from operations per share1 (in €)

Basic earnings per share

Diluted earnings per share

21,859 12,302

19,313 13,950

118,881

- (364)

(7,961) 10,159

(19,707) 82,431

1,055 1,303

1.49 1.36

1.48 1.34

• 1 Non-GAAP performance measure, to provide transparency on the underlying performance of our business

2

2020 2019

133,440

119,781

The Lovinklaan employee share purchase plan is controlled by the Lovinklaan Foundation, and the Company has no influence on this scheme. Accordingly, the Company treats the related share-based expense as non-operational

-

Consolidated Balance sheet

as at 31 December

In € thousands	2020	2019	2020	2019
Assets	Equity and liabilities
Non-current assets	Shareholders' equity
Intangible assets and goodwill	886,448	1,079,793	Total equity attributable to equity holders of the Company	911,383	962,511
Property, plant & equipment	84,338	100,735	Non-controlling interests	(1,237)	2,876
Right-of-use assets	255,950	266,769	Total Equity	910,146	965,387
Investments accounted for using the equity method	7,900	7,528
Non-current liabilities
Other investments	2,048	2,280
Provisions for employee benefits	60,153	49,493
Deferred tax assets	20,141	22,892
Provisions for other liabilities and charges	27,748	23,057
Pension assets for funded schemes in surplus	-	3,706
Deferred tax liabilities	42,543	39,386
Derivatives	4,624	1,240
Loans and borrowings	400,964	460,583
Other non-current assets	22,581	27,595
Lease liabilities	208,980	215,461
Total Non-current assets	1,284,030	1,512,538
Derivatives	545	822
Current assets	Total Non-current liabilities	740,933	788,802
Inventories	251	201
Current liabilities
Derivatives	5,923	6,252
Contract liabilities (billing in excess of revenue)	295,740	285,044
Trade receivables	468,479	602,900
Provision for onerous contracts (loss provisions)	40,401	90,545
Contract assets (unbilled receivables)	466,290	669,849
Current portion of provisions	15,225	23,306
Corporate tax receivables	14,835	23,189
Corporate tax liabilities	25,902	42,349
Other current assets	74,766	51,453
Current portion of loans and short-term borrowings	99,402	150,206
Assets classified as held for sale	71	-
Current portion of lease liabilities	69,377	75,661
Cash and cash equivalents	449,158	296,895
Derivatives	5,351	4,657
Total Current assets	1,479,773	1,650,739
Bank overdrafts	291	472
Accounts payable, accrued expenses and other current liabilities	561,035	736,848
Total Current liabilities	1,112,724	1,409,088
Total Liabilities	1,853,657	2,197,890
Total Assets	2,763,803	3,163,277	Total Equity and liabilities	2,763,803	3,163,277

Consolidated Cash flow statement

for the year ended 31 December

In € thousands	2020	2019	2020	2019
Cash flows from operating activities	Cash flows from investing activities
Result for the period	21,153	14,852	Investments in (in)tangible assets	(37,275)	(48,461)
Adjustments for:	Proceeds from sale of (in)tangible assets	2,577	2,726
Depreciation and amortization	124,705	116,641	Investments in consolidated companies - acquisitions	(7,369)	(7,299)
Amortization other identifiable intangible assets	21,889	16,609	Investments in consolidated companies - consolidation	15,006	-
Impairment charges	118,881	-	Investments in/loans to associates and joint ventures	(64,669)	(17,511)
Income taxes	55,378	39,898	Proceeds from (sale of) associates and joint ventures	-	-
Net finance expense	27,446	39,520	Investments in other non-current assets and other investments	(3,956)	(7,000)
Expected Credit Loss on shareholder loans and corporate guarantees	(19,707)	82,431	Proceeds from (sale of) other non-current assets and other investments	6,267	4,714
Result from Investments accounted for using the equity method	(967)	(1,251)	Net cash (used in)/from investing activities	(89,419)	(72,831)
Adjusted profit for the period (EBITDA)1	348,778	308,700
Cash flows from financing activities
Change in Inventories	(53)	20	Transactions with non-controlling interest	-	(7,952)
Change in Contract assets and liabilities, provision for onerous contracts	146,150	(117,482)	Proceeds from exercise of options	8,365	10,826
Change in Trade receivables	104,703	(5,979)	Purchase of own shares	(7,954)	(13,613)
Change in Accounts payable	(82,788)	38,016	Settlement of financing derivatives	4,628	1,487
Change in Net working capital	168,012	(85,425)	New long-term loans and borrowings	220,247	265,974
Repayment of long-term loans and borrowings	(305,156)	(266,455)
Change in Other receivables	(27,056)	1,321
New short-term borrowings	41,500	267,000
Change in Current liabilities	33,399	35,865
Repayment of short-term borrowings	(49,824)	(250,000)
Change in Other working capital	6,343	37,186
Payment of lease liabilities	(82,888)	(74,808)
Change in Provisions	(19,792)	3,361	Dividends paid/received	(3,498)	(19,019)
Share-based compensation	8,501	11,545	Net cash (used in)/from financing activities	(174,580)	(86,560)
Gains/losses on derecognition of leases	761	(96)
Net change in Cash and cash equivalents less Bank overdrafts	177,084	58,370
Change in operational derivatives	2,658	16
Settlement of operational derivatives	(2,138)	(77)	Exchange rate differences	(24,640)	(2,627)
Dividend received	494	1,531	Cash and cash equivalents less Bank overdrafts at 1 January	296,423	240,680
Interest received	3,565	5,612
Interest paid	(23,582)	(30,547)	Cash and cash equivalents less Bank overdrafts at 31 December	448,867	296,423
Corporate tax paid	(52,517)	(34,046)
Net cash from operating activities	441,083	217,760

1 Non-GAAP performance measure, to provide transparency on the underlying performance of our business

Segment information

Amounts in € millions (rounding may impact totals)	2020	2019	Amounts in %	2020	2019
Gross revenues	Segment mix (gross revenues)
Europe & Middle East	1,339	1,390	Europe & Middle East	41	40
Americas	1,370	1,394	Americas	41	40
Asia Pacific	358	388	Asia Pacific	11	11
CallisonRTKL	236	301	CallisonRTKL	7	9
Total	3,303	3,473	Total	100	100
Net revenues	Segment mix (net revenues)
Europe & Middle East	1,119	1,145	Europe & Middle East	45	44
Americas	876	860	Americas	35	33
Asia Pacific	323	350	Asia Pacific	13	14
CallisonRTKL	176	222	CallisonRTKL	7	9
Total	2,494	2,577	Total	100	100
EBITA	EBITA margin
Europe & Middle East	86.2	85.0	Europe & Middle East	7.7%	7.4%
Americas	105.1	57.3	Americas	12.0%	6.7%
Asia Pacific	33.0	31.5	Asia Pacific	10.2%	9.0%
CallisonRTKL	(0.2)	18.3	CallisonRTKL	(0.1%)	8.3%
Total EBITA	224.1	192.1	Total	9.0%	7.5%
Non-recurring1	4.9	20.5
Total operating EBITA	229.0	212.6
Operating EBITA2	Operating EBITA margin
Europe & Middle East	91.8	87.5	Europe & Middle East	8.2%	7.6%
Americas	101.7	71.4	Americas	11.6%	8.3%
Asia Pacific	34.1	35.1	Asia Pacific	10.6%	10.0%
CallisonRTKL	1.4	18.6	CallisonRTKL	0.8%	8.4%
Total	229.0	212.6	Total	9.2%	8.2%

• 1 Acquisition, restructuring, integration-related costs and changes in acquisition-related litigation provisions

2

Operating EBITA is EBITA adjusted for non-recurring costs