John Wood Group (WG) Trading Update summary

2024 performance and trading update

• Met 2024 EBITDA and net debt guidance through decisive actions, including working capital management and withholding leadership bonuses after weak Q4 trading.

• FY24 adjusted EBITDA estimated at $450–$460 million; adjusted EBIT at $205–$215 million, supported by Q4 cost actions.

• Group revenue around $5.7 billion, with strong Operations growth offset by lower Consulting and Projects revenue.

• Net debt (excluding leases) at year-end 2024 was about $690 million, with average net debt in 2024 at $1.1 billion.

• Order book increased to $6.2 billion by year-end, up from $5.4 billion at September 2024, driven by major contract wins in projects and operations.

Independent review and governance

• Ongoing independent review (Deloitte) focuses on contract reporting, accounting, governance, and controls in the Projects business.

• No material impact on cash position or future cash generation expected from the review.

• Potential prior year adjustments may affect previously reported adjusted EBITDA for 2023 and earlier periods.

• Steps initiated to strengthen financial culture, governance, and controls due to identified weaknesses.

Strategic actions and cost management

• Shift away from lump sum turnkey work reduced project order book growth and limited future liabilities.

• Achieved $60 million in annualized cost savings in 2023; simplification programme targets $145 million total savings by 2026.

• Further cost-saving actions underway to right-size the business and improve operational footing.

• Focus remains on improving financial strength, cash generation, and operational performance.