DEME Group NV reported impressive financial results for the fourth quarter of 2025, with earnings per share (EPS) reaching 6.63, surpassing forecasts. Revenue for the quarter was 2.04 billion euros. Following the earnings announcement, DEME’s stock price increased by 1.96% in pre-market trading, reflecting investor optimism. The company’s robust performance was driven by strong operational execution and strategic acquisitions.
DEME Group NV demonstrated strong financial performance in 2025, achieving record results despite challenging market conditions. The company’s revenue increased by 1% to 4.20 billion euros compared to the previous year, marking the second consecutive year of surpassing the 4 billion euro milestone. The company’s strategic focus on expanding its offshore wind energy sector and enhancing operational efficiency played a significant role in its success.
DEME’s Q4 2025 EPS of 6.63 exceeded analyst expectations, contributing to a positive market reaction. The revenue of 2.04 billion euros also surpassed forecasts, highlighting the company’s ability to deliver strong financial results. The earnings surprise reflects effective project execution and strategic investments.
Following the earnings announcement, DEME’s stock price increased by 1.96% in pre-market trading, reaching 197.2 euros. This positive movement reflects investor confidence in the company’s financial health and future prospects. The stock’s performance is notable given its position near the 52-week high of 204.5 euros, indicating strong market sentiment.
The company’s shares have delivered impressive returns, with a 53% gain over the past six months and a 34% year-to-date increase. According to InvestingPro analysis, DEME appears undervalued at current levels, suggesting potential upside for investors. The platform’s Fair Value assessment indicates the stock may have room to run, placing it among compelling opportunities in the most undervalued stocks.
Looking ahead, DEME has set ambitious targets for future growth, with EPS forecasts of 15.47 euros for 2026 and 16.95 euros for 2027. The company plans to continue investing in its offshore wind energy projects and expanding its global footprint. Strategic acquisitions, such as the Havfram transaction, are expected to drive further growth and enhance the company’s competitive position.
An InvestingPro tip highlights that DEME is trading at a low P/E ratio relative to near-term earnings growth, with a PEG ratio of just 0.67. The company has also raised its dividend for four consecutive years, with dividend growth of 114% in the last twelve months. These are just 2 of the 7+ exclusive ProTips available to subscribers, offering deeper insights into DEME’s investment potential.
DEME’s CEO emphasized the company’s commitment to sustainable growth and innovation, stating, "Our strategic investments in offshore wind energy and operational efficiency have positioned us well for future success." The CFO highlighted the importance of effective financial risk management, noting, "Despite currency fluctuations and market volatility, our hedging strategies have minimized financial impact."
During the earnings call, analysts inquired about DEME’s strategic plans for expanding its offshore wind energy portfolio. The management team reiterated their focus on innovation and sustainability, highlighting upcoming projects and collaborations. Analysts also questioned the impact of recent acquisitions on the company’s financial position, to which executives responded with confidence in their strategic value.
DEME’s strong financial performance and positive market reaction underscore its resilience and strategic focus on growth and innovation. The company’s ability to exceed earnings expectations and maintain investor confidence bodes well for its future prospects. For investors seeking comprehensive analysis, DEME is among the 1,400+ US equities covered by InvestingPro’s detailed Pro Research Reports, which transform complex financial data into clear, actionable intelligence.
Carl Vanden Bussche, Head of Investor Relations, DEME: Good morning, ladies and gentlemen. I am Carl Vanden Bussche, Head of Investor Relations at DEME. It is my pleasure to welcome you to DEME’s full year 2025 earnings call and webcast. Joining me today are DEME’s Chief Executive Officer, Luc Vandenbulcke, and our Chief Financial Officer, Stijn Gaytant. Both Luc and Stijn will take you through the presentation, which will be visible on screen during the webcast and also accessible on DEME’s investor portal. Slide 2 briefly outlines the agenda.
Luc will kick it off with the executive summary, after which both Stijn and Luc will further elaborate on the group’s financial results for the year, the performance of our segments, and highlighting some of the major projects. DEME’s progress in the ESG domain, to then conclude with the outlook. After the presentation, we will open the floor for Q&A. Without further delay, I’ll hand it over to Luc for the executive summary.
Luc Vandenbulcke, Chief Executive Officer, DEME: Thank you, Carl, and good morning to everyone, also from my side. As you can see, in 2025, DEME’s people have once again delivered excellent results, and that even in the context of pretty turbulent market conditions. They’ve helped DEME to achieve the record results that we are announcing today. Let me give you a couple of key figures. The group turnover of EUR 4.20 billion in 2025, climbing from EUR 2.7 billion in 2022. A very meaningful step up in profitability. EBITDA for the year was good for more than EUR 930 million, and that is almost double if you count from 2022 to 2025. EBITDA margin for the year was 22.4% and a 380 basis point improvement over the last year’s 18.6%.
The group’s net profit reached EUR 346 million, rising from EUR 288 million in 2024. Our order book stood at EUR 7.6 billion, down from EUR 8.2 billion in 2024, but above both the mid-year and the Q3 2025 level, and reflecting the addition of new follow-on and maintenance contracts, and also including the integration of the Havfram order book. Regarding Havfram, as you know, we have made this important strategic acquisition in 2025, whereby we acquired two world-class vessels, the Norse Wind and the Norse Energi, and we did that to further expand in the offshore wind energy sector. We have taken delivery of both vessels now, and they are set to commence their initial project work in the course of this year.
In line with our policy, we will this year propose a dividend of EUR 4.5 per share, that marks an 18% increase on last year. Looking ahead in 2026, which is already a special milestone year, as we will be celebrating DEME’s 150 years anniversary, we believe again to be well-positioned to navigate this dynamic market environment, and we are guiding for a turnover and an EBITDA margin to be in line with the 2025 level. Now I will hand over to Stijn, who will walk you through the financial highlights in more detail.
Stijn Gaytant, Chief Financial Officer, DEME: Thank you, Luc, and also good morning on my behalf, as well. The table presented here not only displays DEME’s performance during our record year of 2025, it also demonstrates a sustained multi-year trajectory of growth and also an improvement across all key financial metrics. In 2025, we delivered a turnover of EUR 4.15 billion. It marks the second consecutive year with revenues firmly above the EUR 4 billion milestone. The more significant development is also the substantial improvement in profitability. Our EBITDA reached EUR 931 million, translating into an exceptional EBITDA margin of 22.4%, and showing a 22% increase versus 2024. I really want to use the opportunity to stress very clearly that this EBITDA performance reflects an effective operational execution throughout our project portfolio, and it also underscores the quality of our earnings.
The non-recurring items recorded with half-year results, such as the U.S. project cancellation fee, the gain on the Sea Challenger, and the negative impact of the Energy Island project, were largely offset one another and are combined immaterial to the group’s EBITDA for the year. On depreciation and impairments, there was an increase to EUR 498 million, mainly due to previously announced accelerated depreciation on one of the offshore energy assets, which gives a figure of EUR 64 million impact for the whole year. There were additional contributions, some project-specific assets, like the Fehmarnbelt project, the Yellowstone rock dumping vessels, several vessel lifetime extensions, and also the first depreciation related to the Norse Wind, which joined the fleet in the fourth quarter of 2025.
As mentioned by Luc already, Norse Wind, Norse Energi, were part of the Havfram deal, which we signed in the second quarter of the year. In relationship to this transaction, the PPA has been concluded as an asset deal, as a result, there is no goodwill that you will find in our figures. That means that nearly the entire transaction value is allocated to the vessels, with only EUR 3.9 million booked as an intangible asset, representing a favorable order book terms relative to the market. After accounting for these depreciations, the EBIT lands at EUR 433 million, which is representing a strong 10.4% margin.
Financial results amounted to -EUR 21.5 million, with the difference, as you can imagine, compared to last year, mainly due to currency fluctuations, a weaker U.S. dollar, and also the interest charges on our EUR 700 million bilateral term loan, which was used for the Havfram acquisition. Taking into account our significant U.S. activity in 2025, and also the volatility of the U.S. dollar, I believe this limited FX impact demonstrates also an effective hedging and a robust management approach towards financial risks. Taxes totaled EUR 100 million, which is a tax rate of 24.2%, which is an improvement compared to 2016 before.
Our shar