Ricardo plc

("Ricardo" or the "Company")

 Capital Markets Day

Ricardo plc, a global strategic, environmental and engineering consulting company, will today host its Capital Markets Day for analysts and investors at 14:30 BST in London. The event, which is also available to join virtually, will be hosted by Graham Ritchie, CEO of Ricardo, and will include presentations from the Ricardo executive team.

The event will provide a deeper understanding of the Group's strategy and the actions underway to drive profitable growth. Ricardo's refreshed strategy aims to refocus the Group and reinforce its competitive differentiation, shifting from mobility services towards environmental and energy transition solutions.

Ricardo will do this by:

·   Being purpose-led, with its business units sharing the same DNA characteristics and united by Ricardo's vision and values with a firm commitment to sustainability. 

·   Creating additional value through disciplined sales and investment focus in high-growth, high-margin environmental and energy transition solutions.

·   Continuing to deliver operational rigour through efficient cross-business unit activities and a shared operating model to support global expansion.

Ricardo's strategy will focus on:

·   Portfolio prioritisation: Developing a solutions portfolio closer to mega trends relating to sustainable and safe mobility; energy transition; rapid urbanisation and corporate decarbonisation.

·   Global expansion: Expanding and developing our chosen market positions.

·   M&A acceleration: Aligned to environmental and energy transition and geographic expansion

5-year financial targets:

The financial framework is aimed at achieving the following targets:

·   Underlying operating profit to more than double over the five years to FY27

·   Underlying operating profit margin to reach mid-teens by FY27

·   Operating cash conversion to average more than 90% over the five years to FY27

Further, the Group's capital allocation policy will be to:

·   Maintain dividend policy of 2.5-3x cover by underlying EPS

·   Manage net debt leverage to be up to 1.25x net debt to EBITDA

·   Manage capital expenditure at 3-4% of revenue  

Ricardo remains in line with meeting the board's expectations for FY21/22. Please note that no further material new information with regards to FY21/22 outlook will be shared during the presentations.

The presentation slides will be available at 14:30 BST today via the Company's website www.ricardo.com. A video of the event will be available via the same link from 12.00 (UK time) on Monday 30 May 2022. To register for the event, please email ricardo@secnewgate.co.uk

ENDS

About Ricardo

Ricardo plc is a global strategic, environmental, and engineering consulting company, listed on the London Stock Exchange. With over 100 years of engineering excellence and employing close to 3,000 employees in more than 20 countries, we provide exceptional levels of expertise in delivering innovative cross-sector sustainable outcomes to support energy transition and scarce resources, environmental services together with safe and smart mobility. Our global team of consultants, environmental specialists, engineers and scientists support our customers to solve the most complex and dynamic challenges to help achieve a safe and sustainable world. Visit www.ricardo.com

Further enquiries:

Ricardo plc
Natasha Perfect, Group Marketing and Communications

Tel: 01273 455611                      website: www.ricardo.com

SEC Newgate

Elisabeth Cowell/ Ian Silvera/ Isabelle Smurfit

Tel: 020 7680 6882                     email: ricardo@secnewgate.co.uk