Results second quarter and first half 2002

1
Results second quarter and first half 2002

• By Harrie Noy, Chairman Executive Board
• Amsterdam, The Netherlands, August 13, 2002

2
ARCADIS continues profit growth half year 2002
Net income from operations 8

• Gross revenue
• Growth 3
• Operational margin
• Operating income 13
• Margin rises from 6.3 to 7.2
• Earnings per share
• Increase 8 to 0.52

Results satisfactory given economy
3
Income 2nd quarter 2002 6.7 mln
Strong effect from exchange rate declines (real,
dollar)
Gross revenue Operating income Net income from
operations Net income f/ operations per
share Net income from operations excluding
exchange rate effects ) After goodwill EUR 0.1
mln
2001 201 11.3 6.3 0.31
2002 202 12.6 6.7 0.33
Growth 0 11 7 11 11
4
Income 1st half 2002 10.6 mln
Gross revenue Operating income Net income from
operations Net income f/ operations per
share Net income from operations excluding
exchange rate effects ) After goodwill EUR 0.1
mln
2001 382 18.0 9.9 0.49
2002 395 20.3 10.6 0.52
Growth 3 13 8 8 10
5
Sources of growth 2002
Gross revenue
First half year 3 5 -1 -1 6
Second quarter 0 4 -1 -3 5

• Total
• Autonomous
• Acquisitions/divestments
• Exchange rates
• - Autonomous excl. effect real estate valuations

6
Important developments

• Autonomous growth at a good level
• Growth mainly in Latin-America, Spain, Belgium
• Infrastructure strong around the world
• Environment continues growth in U.S.
• Gross revenues U.S. slightly lower
• Integration Dutch operations positive effects

7
Development operating income
In euro mln
8
4
24
11
13
8
Development net income and EPS (excl.
extraordinary items)
In euro
In mln euro
0.90
0.75
0.60
0.45
0.52
0.49
0.44
0.30
0.38
0.34
0.15
0.00
Net income
21
13
8
5
11
9
Balance sheet

• Healthy balance sheet
• Equity somewhat lower resulting from exchange
  rate effects
• Temporary pressure solvency through purchase of
  own shares
• Low leverage limits interest burden
• Enough room for acquisitions also after French
  takeover

10
Gross revenue Market segments half year 2002
11
Infrastructure 13

• Netherlands besides high speed and Betuwelijn,
  also Hanzelijn
• Start ring Antwerp
• Large assignments Spain related to investment
  program
• Growth U.S. despite some market pressure
• Energy projects Brazil provide strong growth
• Position rail infra Chili

HSL projects Spain
12
Environment 2

• Autonomous growth 4
• Fully attributable to U.S.
• U.S. GRIP projects for DOD
• Brazil growth through Hydro Ambiente
• Environment as entry point for expansion services
  to industry

13
Buildings 8

• Decline in U.S. and Netherlands
• Continued growth in Spain and Belgium
• Netherlands decline office market recudtion
  less profitable work
• U.S. almost stable vs. Q4 2001
• Two large assignments U.S. automotive industry

Rijksmuseum Amsterdam
14
Communications 16

• Decline from real estate valuation and telecom
• Telecom stable vs. Q4 2001
• Focus telecom on higher margin projects
• First mile Deventer
• Antennas on rail portals
• GIS-market continues growth (22)

15
Gross revenue Regions
16
Acquisitions

• Spain (in Q2, 2002)
• Casta, gross revenue EUR 4 mln
• Manage senior citizen housing and services
• Growth market in Spain
• France (after Q2, 2002)
• FCI, gross revenue EUR 60 mln 800 employees
• 80 infrastructure 20 environment
• Home market position in France (top 5)

Positive effect on earnings per share
17
Outlook market

• Infrastructure
• Market demand stays at good level
• Environment
• Opportunities for growth in U.S.
• Revenue gets long-term character through GRIPTM
• Buildings
• Better order book U.S.
• Market recovery depends on economy
• Communications
• No recovery in telecom before 2004
• Result from abolishment real estate tax limited

18
Outlook 2002

• Lower autonomous growth in second half
• Insecurity economic recovery
• Earlier revenue decline buildings/communications
• Exchange rates negative translation effect
• Compensation from contribution acquisitions
• Further margin improvement
• Depending on economic recovery net income 5-10
  higher
• Barring unforeseen circumstances

19
infrastructure, buildings, environment,
communications
Part of a bigger picture