Bilfinger (GBF) CMD 2024 summary

Strategic direction and growth initiatives

• Focus on sustainable, profitable growth with a leading position in efficiency and sustainability for customers.

• Strategic levers include efficiency programs, operational excellence, and market positioning, with emphasis on digitalization and sustainability.

• Integration of Stork expands service portfolio and geographic reach, targeting full integration by March 2025.

• M&A remains a key growth driver, with disciplined capital allocation and a sound financial policy to support organic and inorganic expansion.

• Commitment to Science Based Targets and a roadmap to net zero by 2050, with full GHG reporting and 50% reduction in scope 1 and 2 emissions by 2030.

Financial guidance and targets

• Group revenue guidance for FY 2024 raised to €4.8–5.2bn (including Stork), with EBITA margin expected at 4.8–5.2%.

• Free cash flow forecasted at €100–140m, including special items, with cash conversion targeted above 70%.

• Mid-term (2025/27) targets: 4–5% CAGR revenue growth, 6–7% EBITA margin, and >80% cash conversion.

• Segment targets: E&M Europe aims for 7–8% EBITA margin mid-term, E&M International for 5–6%, and Technologies for 6–7%.

• Dividend policy unchanged at 40–60% of adjusted net profit, with continued share buybacks and investment grade rating ambition.

Operational and business developments

• Over 90% of revenue now comes from sustainable services, with >30,000 employees and operations in 30+ countries.

• Digitalization initiatives to increase revenue share supported by digital tools from ~5% today to >40% by 2025/27.

• Efficiency program and operational excellence drive working capital improvements, targeting NTA/revenue below 8%.

• Stork acquisition adds €530m revenue and 2,700 skilled employees, with EPS accretion from closing.

• Market expansion leverages trends in energy transition, decarbonization, and digitalization, with tailored solutions for core and adjacent industries.