Stantec's Sustainable Growth Model: A Blueprint for the Green Economy

Stantec’s 2024 Sustainability Report underscores its emergence as a global leader in sustainable infrastructure, blending robust financial performance with measurable environmental and social impact. The engineering and design firm reported C$4.63 billion in revenue from projects aligned with the UN Sustainable Development Goals (SDGs)—62% of its total gross revenue—marking a pivotal moment in its strategy to monetize the transition to a greener economy. This integration of purpose and profit positions Stantec as a model for industries navigating the twin imperatives of sustainability and shareholder value.

Financial Fortitude Amid Sustainable Growth

Stantec’s 2024 results reflect a company thriving in its niche. Net revenue rose to $5.9 billion, a 15.8% year-over-year increase, while adjusted EBITDA hit $980.3 million, up 18%, with margins expanding to 16.7%. Organic growth across regions averaged 7.4%, driven by strong performance in the U.S. (8.6%), Canada (6%), and global markets (5.8%). These figures signal a diversified revenue stream, insulated from regional economic headwinds.

The company’s $7.8 billion backlog—a 24.1% jump since late 2023—points to ample future opportunities. With net debt-to-adjusted-EBITDA at 1.2x, well within its 1.0x–2.0x target range, Stantec maintains financial flexibility. The board’s 7.1% dividend increase to $0.225 per share further reinforces confidence in its cash flow stability.

Sustainability Leadership: Metrics That Matter

Stantec’s sustainability achievements are equally compelling. For the third consecutive year, it achieved operational carbon neutrality, aligning with Canada’s Net Zero Challenge. Its CDP climate rating of A- for seven years straight underscores its transparency and climate action rigor. Ranked 8th globally in Corporate Knights’ 2024 Global 100 list of sustainable corporations, Stantec outperforms peers in ESG (Environmental, Social, Governance) criteria.

The firm’s projects exemplify its commitment to SDGs. In Australia, Stantec designed the world’s first submerged and floating artificial reef in Gold Coast, enhancing marine biodiversity through meticulous environmental assessments.

In Nunavut, Canada, it addressed climate risks at a radar site by stabilizing permafrost and treating contamination. In the UK, Stantec led a blue-green infrastructure plan for Greater Manchester, integrating water management and biodiversity strategies. Meanwhile, a 698-km fiber-optic network in the U.S. expanded rural internet access while respecting tribal heritage and environmental standards.

Outlook: Riding the Green Wave

Stantec’s 2025 outlook is optimistic. The firm projects 7%–10% net revenue growth, with adjusted EBITDA margins expected to hold between 16.7% and 17.3%. Adjusted diluted EPS is forecast to rise 16%–19% year-over-year, driven by strong backlog execution and cost discipline.

The company’s alignment with global frameworks like the UN SDGs and adherence to reporting standards (GRI, SASB) bolster its credibility in an era of ESG-driven investment. As governments and corporations accelerate climate action, Stantec’s expertise in net-zero infrastructure, water resilience, and energy modernization positions it to capture a growing market.

Conclusion: A Rare Confluence of Profit and Purpose

Stantec’s 2024 results demonstrate that sustainability and profitability are not mutually exclusive. With 62% of revenue tied to SDG-aligned projects, the firm has translated its green mission into tangible financial gains. Its triple-A metrics—carbon neutrality, top-tier ESG rankings, and resilient margins—reinforce its leadership in sustainable infrastructure.

The data is unequivocal: Stantec’s backlog growth (), margin expansion, and dividend discipline suggest a company well-positioned to capitalize on the $90 trillion global infrastructure investment needed by 2030 (per the G20). For investors seeking exposure to the green economy, Stantec offers a rare blend of purpose, performance, and scalability—a blueprint for sustainable growth in an era of climate urgency.