Successful 2019 buffers European environmental consultant against effects of Corona
Deventer, April 20, 2020 – Tauw Group B.V., the European Environmental Consultancy firm, again achieved excellent financial results in 2019. The Tauw Group’s turnover grew by 7%, from EUR 129 million in 2018 to EUR 138 million in 2019, which was driven by all countries. EBITDA increased by 18% to EUR 8.5 million. To further strengthen its position as a European environmental consultant, Tauw invested heavily in the Group-wide development and implementation of data-driven environmental solutions. The continuous positive performance offers the environmental consultant a buffer against the predicted negative effects of the Covid-19 virus on the financial results of 2020.
The past year was mainly marked by the further strengthening of the Group-wide implementation of strategic programs and the consolidation of its participative leadership. Henrike Branderhorst and Ralph van Roessel, the Board of Tauw Group, are proud of the 2019 results. Van Roessel: “In 2019, we found the right balance between improving our profitability and the development and implementation of strategic international programmes on soil and groundwater, sustainability, transactions and Responsible Investment Services, and digital transformation. This balance not only boosted our results in 2019 but also enabled us to take a leap into shaping a futureproof Tauw. This fundament and the inventiveness and flexibility of our people gives us the confidence that we can handle the Corona crisis together.”
The digital transformation of Tauw Group has had the management team’s full attention. “The fast pace of digitalisation and the development of data-driven environmental solutions is absolutely key for companies like Tauw,” says Branderhorst. “We are very aware though that collecting and enriching data depends heavily on IT solutions, but the biggest challenge is the human interaction with those solutions. Our success in the long-term depends not only on embracing the right techniques but also on fully engaging our people, clients and stakeholders in these changes.” Therefore, she stresses the importance of attracting the right employees.
The continued focus on the industrial markets for both consultancy and monitoring activities has proved to be a successful strategy in all Tauw Group countries. Additionally, the new propositions and the sharpened go/no go process in the, mainly Dutch, public sector, has resulted in a strong increase of results in 2019. The Group’s turnover grew by 7%, from EUR 129 million in 2018 to EUR 138 million in 2019, driven by all countries. EBITDA increased by 18% to EUR 8.5 million. Net profit improved from EUR 3.8 million in 2018 to EUR 4.5 million in 2019. Cash flow was solid in 2019 and solvency improved with an increase of the equity ratio to 47.3%.
2019 was the third year of the employee participation scheme, which gives all Tauw employees the opportunity to participate in the company. “In 2019, much attention has been given to the concept of participative leadership, which is strongly connected to the participation scheme,” says Branderhorst. “In 2019, the concept of participative leadership was further embedded by empowering non-hierarchical leaders. We are building a positive working environment together, where all kinds of employees with any given background feel welcome and happy and are encouraged to explore the potential of his or her talents.”
Before the Corona virus (Covid-19) derailed the European Market, conditions were positive in 2020 in all market sectors relevant to Tauw and its operations. Nevertheless, the Tauw management team remains optimistic. Van Roessel: “Despite the uncertainty and based on current insights and actions already taken to date, we are confident that the Corona crisis is only a temporary setback in realising our long-term ambitions.” Branderhorst adds, “In the coming years, we want to further strengthen our position in the environmental consultancy market, both in the European private and Dutch public sector. We’re pleased to see that our more business-driven attitude and daring approach already has had the desired effect.”
See also: Infographic annual figures 2019 (pdf)
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