WSP Global boosts profit, revenue by double digits in Q2 following acquisitions

MONTREAL – WSP Global Inc. says it notched another quarter of double-digit growth in profits and revenues, propelled by recent acquisitions and cost savings.

The engineering firm says net earnings rose nearly 32 per cent to $89.2 million in the quarter ended June 29 compared to a similar period in 2018.

The Montreal-based company’s revenues rose 14 per cent year over year to $2.31 billion in its second quarter.

On a per share basis, diluted net earnings reached 84 cents, a 29 per cent increase from 65 cents one year earlier.

Analysts had expected earnings of 88 cents per share, according to financial markets data firm Refinitiv.

Revenue gains came largely due to WSP’s $400-million purchase of the New-Jersey-based Louis Berger engineering and design firm, completed in December.

The second quarter saw WSP make three more acquisitions, including U.S.-based Leach Wallace, a 125-employee firm that has bolstered WSP’s health-care engineering business.

Outside of Canada — which saw softer results due partly to project delays in Ontario — organic revenue growth averaged out at about three per cent.

Once a boutique firm, the 60-year-old WSP has swelled to 48,000 employees from 17,000 in 2014, and aims to eclipse rival SNC-Lavalin Group Inc. with 65,000 workers in the next three years.

Companies in this story: (TSX:WSP, TSX:SNC)