WSP Global Inc. was founded in 1959 and is headquartered in Montreal, Canada. It is a leading global engineering and professional services firm. The company specializes in technical design, strategic consulting, and a comprehensive range of engineering services. WSP Global has over 73,000 employees in more than 500 offices across 50 countries, serving thousands of clients worldwide. Its services include building and structural engineering, environmental consulting, project and program management, urban planning, transport planning, electrical and mechanical engineering, fire engineering, and a wide range of advisory solutions. WSP has clients in the transportation, infrastructure, healthcare, energy, mining, chemical, and marine industries

The company operates through four principal segments: Canada (15.7% Q2 25 revenue), Americas (US) (47%), Europe/Middle East/India/Africa (26.6%), and Asia Pacific/Asia/Australia/New Zealand (10.7%).

Robust Q2 25 results

WSP Global released its Q2 25 results on August 6, 2025, delivering strong performance, with revenue up 14.6% y/y at $4.5bn, driven by favorable acquisition growth and continued performance in Canada, America, and EMEIA. In addition, backlog reached $16.3bn, up 10.9% y/y. Regions like the Nordics, Australia, and New Zealand experienced an increase in backlog reflecting an upward momentum in potential opportunities.

EBITDA rose by 25.8% y/y to $541m, with margins rising 105bp to 12%, on account of continued productivity initiatives undertaken by the company. Net profit increased by 51.8% y/y to $279.4m, with EPS of $2.1, which increased by 44.6% y/y. In addition, the company declared quarterly dividends of $0.4 per share, or $48.9m, payable on October 15, 2025. Cash inflows from operations reached $584m and FCF was $458m. DSO reached its lowest-ever level, reaching 69 days, during Q2 25 in the company’s history, marking the best performance for this metric in any Q2 to date.

WSP Global powers up with Ricardo

On June 11, 2025, WSP Global Inc. declared its agreement to acquire Ricardo plc, a UK-based strategic and engineering consultancy, for £363.1m. This strategic move is coherent with WSP Global’s Strategic Action Plan for FY 25-27, boosting its capacities in the energy transition, water solutions, rail, and engineering consulting field.

The acquisition is aimed at strengthening the company’s global footprint in UK, Australia, and the Netherlands and complement existing service offerings. This move would enhance WSP Global’s value proposition in high-growth sectors with Ricardo’s specialized expertise in energy resilience, rail, and air quality infrastructure. The integration of Ricardo’s talent and technical expertise positions WSP Global to produce innovative solutions and drive sustainable, accelerating growth.

Long-term growth trajectory

WSP Global reported a strong top-line performance over FY 21-24, posting revenue CAGR of 16.3% to $16.2bn, propelled by robust demand for infrastructure and environmental consulting services, accelerated by high government and private sector investments targeting energy transition initiatives and infrastructure development. EBITDA rose at a CAGR of 22.6% to $1.8bn, with margins expanding by 160bp to 10.9%. Net income increased at 12.9% CAGR, with margin of 4.2%, reaching $681m.

Steady earnings growth led to an increase in FCF, from $1bn in FY 21 to $1.2bn in FY 24, boosted by decent increase in cash inflows from operations, rising from $1.1bn to $1.4bn.

In comparison, Stantec Inc., a local peer, reported a slightly higher revenue CAGR of 17.3%, reaching a lot lower level of $5.9bn over FY 21-24. EBITDA rose at a CAGR of 25.5% to $812m, with margins increasing from 8.9% to 11.2%. Net income increased at a CAGR of 21.7% to $362m.

Positive analysts’ outlook

Over the past 12 months, the company’s stock has delivered decent returns of approximately 24.5%. In comparison, Stantec delivered higher returns of 35.3% over the same period.

WSP Global is currently trading at a P/E of 37.6x, based on FY 25 estimated EPS of $7.4, which is lower than its 3-year historical average of 44.4x but higher than Stantec’s valuation of 33.3x. In addition, the company is currently trading at an EV/EBITDA multiple of 16.2x, based on FY 25 estimated EBITDA of $2.6bn, which is higher than its 3-year historical average of 15.3x, but lower than that of Stantec (17.2x).

WSP Global is monitored and largely liked by 14 analysts; 13 have ‘Buy’ ratings and one has ‘Hold’ rating for an average target price of $313.1, representing upside potential of 11.9% from the current price. Analysts’ views are supported by an estimated revenue CAGR of 10.1%, reaching $16.2bn and EBITDA CAGR of 12.8% over FY 24-27, reaching $3.1bn, with margins expanding by 140bp to 19.3%. In addition, analysts estimate a net profit CAGR of 28.1%, reaching $1.4bn, with EPS expected to increase to $10.5 in FY 27 from $5.4. Likewise, analysts estimate an EBITDA CAGR of 11.8% and a net profit CAGR of 38.9% for Stantec over FY 24-27.

Overall, WSP Global consistently demonstrates industry leadership through sustained operational excellence and strategic expansion, leveraging its global presence and broad expertise. The acquisition of Ricardo plc further strengthens WSP's position in rapidly evolving, sustainability-focused fields, enhancing capabilities in energy transition and environmental solutions. Supported by a strong reputation and alignment with global market trends, WSP is well-equipped to drive continued innovation and long-term growth on the international stage.

However, WSP Global faces risks from environmental regulations, project execution challenges, and increased exposure to government infrastructure spending cycles. Integration risks from acquisitions, foreign exchange rate fluctuations, and competitive pressures could also impact growth and profitability.