After Years of Strong Growth, What Trajectory for DEME?

Strategic Transformation and Acceleration

DEME Group confirms its status as a pivotal player in global marine engineering, having successfully navigated its pivot from traditional dredging to complex energy transition solutions. Analysis of recent financial data reveals a company in full acceleration: revenue has nearly doubled in four years to reach €4.1 billion in 2024, posting a Compound Annual Growth Rate (CAGR) of 17%.

This scaling is structural. It is driven by the Offshore Energy division, whose 21% average annual growth now makes it the group's top revenue contributor (€2.05bn), surpassing the historic Dredging & Infra hub. Simultaneously, DEME has significantly de-risked its geographical footprint. Reliance on Europe is fading in favor of aggressive expansion into high-margin markets: revenues in the Americas (96% CAGR) and the Middle East (135% CAGR) are surging, validating the relevance of its global positioning.

Orderbook Analysis: The Execution Challenge

The evolution of the orderbook, standing at €7.5 billion in Q3 2025, warrants a nuanced reading. While there is a slight erosion compared to the historical peak of €8.2 billion at the end of 2024, it would be misguided to view this as an immediate red flag.

This stabilization primarily reflects an acceleration in execution pace. DEME is converting its backlog into revenue at a record rate ("burn rate"), signaling excellent operational control and a fleet utilized at full capacity. The group is not suffering from a project shortage but is "consuming" its stock faster than before due to efficiency. With a backlog still representing nearly 1.8 times annual revenue, visibility remains very comfortable for the next 18 months.

Outlook

Management has confirmed its expectations for 2025, anticipating stable or slightly higher turnover, supported by the execution of ongoing contracts. The challenge for the coming quarters lies not in the solvency of the model, but in the group's ability to replenish this stock with new offshore wind "mega-contracts" to secure post-2026 growth. The current pause is a logical normalization following a phase of intense acquisition.

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