Stantec has reported a net income of C$79.4m ($57.582m) for the first quarter (Q1) of 2024, marking a 22.3% rise from C$64.9m in the previous year's quarter.
This growth is attributed to a surge in net revenue, which climbed by 11.5% year-on-year.
The company's net revenue for the quarter ending 31 March 2024 was reported at C$1.37bn, compared to C$1.22bn in the same period last year.
Basic and diluted earnings per share (EPS) in Q1 2024 also saw an increase, reaching C$0.70 from C$0.59 in the first quarter of 2023.
Adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) also rose to C$211.9m from C$179.1m in the previous year's first quarter.
Stantec's contract backlog demonstrated growth, reaching $7.0bn as of 31 March 2024.
This represents 7.1% acquisition growth and 3.1% organic growth since 31 December 2023.
The company's acquisitions during the quarter included ZETCON Engineering in January, Morrison Hershfield in February, and Hydrock Holdings in April.
Stantec president and CEO Gord Johnston said: “We are off to a great start for the year. With robust market demand across all our regions, we expect 2024 will be another excellent year.
“Our first-quarter performance reflects our focus on executing on our Strategic Plan, including our continued drive to grow through strategic M&A [mergers and acquisitions]. To that end, we have already closed three acquisitions this year and added over 2,700 people to the Stantec team.”
Looking ahead to the full year 2024, Stantec forecasts a net revenue increase of 11% to 15% and its adjusted EBITDA margin to range from 16.2% to 17.2%.
