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Fugro warns of U.S. headwinds weighing on 2025 revenue
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Fugro warns of U.S. headwinds weighing on 2025 revenue
Feb 28, 2025 12:14 AM

Feb 28 (Reuters) - Dutch geological data specialist

Fugro said its fourth-quarter revenue was affected by

political uncertainties in the U.S., with further setbacks

anticipated over the coming year.

Fugro, which provides geotechnical, survey, subsea and

geosciences services, recorded fourth-quarter revenue at 587.8

million euros ($610.37 million), slightly below market

expectations of 589 million euros, as it faced headwinds in the

Americas, Middle East and India.

In the Americas, which makes up 22% of the group revenue,

sales were down 11.5% organically in the fourth quarter at 137.8

million euros, due to uncertainty associated with U.S. elections

and potential policy changes, impacting the geophysical business

line in particular.

"In addition, the slow restart of North American LNG

business continues to impact nearshore activity in the Gulf of

Mexico and the US," the group said in a statement.

In November Fugro reported a muted performance in the

Americas and Middle East regions, citing the postponments of

projects in the U.S.

CEO Mark Heine said then he expected the U.S. presidential

elections to unlock multiple projects that had been put on hold.

Fugro expects its 2025 earnings before interest and taxes

(EBIT) margin to come in a range of 11% to 15%. The group

anticipates the setbacks on the U.S. market to weigh on revenue

growth, especially in the first half of the year.

It posted adjusted EBIT at 71.8 million euros in the fourth

quarter, ahead of a company-compiled consensus of 54 million

euros.

The group also said it will propose a dividend of 0.75 euro

per share, an 87.5% increase compared with a year ago.

($1 = 0.9630 euros)

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