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  "documentTitle": "WSP Global Inc. (WSP)",
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  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-04-03 00:00:00",
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      "kind": "callout",
      "text": "Question: What about, a) modifying the definition of backlog, b) backlog to LTM revenue declining c) Using 2% - 5% revenue growth projections for goodwill testing (below guidance ranges) Impact: Low revenue visibility",
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      "text": "Question: What about the effect of ordinary costs such as ERP and restructuring to implement its strategy? Impact: Margins down",
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      "kind": "callout",
      "text": "Question: What about missing net capex guidance by a wide margin, blaming tax changes and classifying interest expense as a financing expense? Impact: FCF weak",
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      "text": "Question: What about the Provision reversal 1yr after the Wood closing and against IFRS guidance? Impact: EBITDA guidance potentially missed",
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      "text": "Spruce Point believes WSP’s sell-side promoters are taking management’s results at face value and not critically evaluating the results with greater analytical rigor.",
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      "text": "Investment Highlights: Q4/2023 adjusted EBITDA increased 18% y/y to $525 million... Organic revenue growth was broad based... Management continues to deliver impressive EBITDA margin improvement... FCF rebounded nicely... Backlog continues to provide excellent revenue visibility.",
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      "kind": "source-note",
      "text": "Source: Canaccord, Feb 28, 2024",
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      "text": "Many Recent “Investment Highlights” Should Be Challenged",
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