SGS post 2024 full year results

IIOA member SGS has posted its 2024 full year results including revenue up 2.6% to 6,794m CHF, with organic growth at 7.5%. Foreign exchange had a -4.8% impact.

SGS note the main drivers in the assurance industry as:

• ‘The increasing complexity of the regulatory landscape is driving companies to search for specialized services delivered by the TIC industry
• Companies need reliable indicators provided by the TIC industry in the field of sustainability to avoid charges of ‘greenwashing’
• Spending on testing is expected to increase due to country-specific regulations and requirements
• Geopolitical events and logistical challenges are forcing companies to assess their supply chains. Anything that brings about change, such as a new supply arrangement or change of supplier, will drive further testing and supply chain verification.’

Within the overall results, Business Assurance reported sales of 761m CHF, a 2% increase, made of 6.2% organic growth and negative 4.2% foreign exchange impact.

The growth in Business Assurance came from:

• Double-digit growth in Certification, supported by medical devices and digital trust
• Double-digit growth in ESG, driven by non-financial reporting assurance, social audits and greenhouse gas emissions verification
• Temporary slowdown in Training in Asia Pacific.

The three strongest growing regions for Business Assurance were Asia Pacific, North America and Europe.

Overall, SGS’ outlook for 2025 is an organic growth rate of 5 to 7%.

The 2024 integrated report is available here.