Posted on March 30, 2026
Energy Leads, Dredging Follows: Three Majors, All Doing Well
By DredgeWire
The 2025 results from Damen Shipyards Group, Van Oord, and DEME Group confirm a marine infrastructure sector that is not only strong, but increasingly defined by where companies benefit from new energy-related offshore work.
All three companies are benefiting from the same underlying demand. Global investment in coastal protection, port expansion, and offshore energy continues to expand, supporting solid revenue growth and substantial backlogs.
DEME stands out as the clearest expression of this shift. The company reported 2025 revenue of €4.2 billion, EBITDA of €931 million, and net profit of €346 million, alongside a backlog of €7.6 billion. These are record results for DEME, and they underscore how decisively DEME has repositioned itself. Offshore energy—particularly wind installation—now dominates the company’s earnings profile, delivering margins that far exceed those available in traditional dredging. While dredging and infrastructure remain a core part of the business, they are no longer the primary drivers of financial performance. In DEME’s case, dredging has become the stable base supporting a higher-margin energy platform.
Van Oord presents a similar story. The company reported revenue of approximately €2.6 billion and EBITDA of €403 million, reflecting a sharp improvement in profitability compared to prior years. Net profit was not disclosed in the same detail as its peers, but the earnings trajectory is clear: margins have expanded significantly. This improvement reflects both stronger execution and a more favorable contract environment, but above all it reflects Van Oord’s growing exposure to offshore wind installation. Like DEME, the company continues to rely on dredging for a substantial portion of its activity, yet the economics of the business are increasingly tied to energy infrastructure rather than traditional marine works. Its backlog continues to provide forward visibility across both dredging and offshore projects, even as the balance of profitability shifts toward energy.
By contrast Damen Shipyards Group offers a different take as a ship builder rather than a contractor, but still generally in the same space.
Damen reported 2025 revenue of €3.25 billion, EBITDA of €185 million, and net profit of €61 million, supported by a backlog of roughly €10 billion. The scale of that backlog provides exceptional visibility and confirms strong underlying demand across naval, offshore, and dredging-related vessel construction. However, the company’s profitability remains structurally lower than that of the contractors. This reflects the realities of shipbuilding, where capital intensity, fixed-price contracts, and long build cycles limit margin expansion even in strong markets. Damen is impacted by the same demand cycle as its contractor peers, but it captures that demand differently—through volume and backlog rather than margin expansion.
Taken together, the three companies show the strong position occupied by the Dutch and Belgian leaders in this marketplace.
This shift is particularly evident in the relative performance of dredging itself. Across both DEME and Van Oord, dredging remains a substantial and necessary component of the business, providing stable revenue and a steady flow of work. Demand for dredging is, if anything, increasing as climate adaptation and port expansion accelerate worldwide. Yet the financial contribution of dredging is no longer growing at the same pace as offshore energy. Margins are lower, growth is steadier, and the work is less able to capture the pricing power now evident in complex offshore installation projects.
The result is a sector that is simultaneously strong and undergoing structural change. Revenues are rising, backlogs are deep, and execution has improved across the board. At the same time, the economic center of gravity has shifted. Offshore energy—particularly wind—has become the dominant source of margin expansion, reshaping how contractors allocate capital and how they position themselves for future growth.
Damen’s role in this landscape reinforces the point. The company’s €10 billion backlog reflects the same forces driving its contractor peers, including demand for offshore vessels and naval platforms. Yet its financial profile remains closer to that of an industrial manufacturer than a project-driven contractor. It provides the backbone of the sector, but not the highest returns.
The contrast among the three companies ultimately highlights the conclusion that dredging and marine infrastructure sector is no longer defined primarily by dredging. It is increasingly defined by energy infrastructure.
For now, the companies most exposed to offshore energy are capturing disproportionate gains. That dynamic appears set to continue, and it will likely define the next phase of the sector’s evolution.
DredgeWire notes that Royal IHC, which certainly belongs in this group from the perspective of geographic base and market significance, has not yet reported its 2025 financial results. In recent years, its financial reporting has lagged the others and so again this year.
