Stantec (STN.TO) traded 1.3% higher at last look Tuesday in NYSE pre-market trading as the company increased its dividend following a fourth-quarter adjusted earnings beat.

The company will pay a dividend of $0.225 per share, a 7.1% increase, on April 15 to shareholders of record on March 28.

The sustainable design and engineering company reported adjusted net income of $126.2 million, or $1.11 per share, exceeding the FactSet analyst consensus forecast of $0.99 per share and rising from $91.4 million, or $0.82 per share, booked in the previous year.

Revenue increased 19% to $1.5 billion, driven by 9.3% organic growth and 7.6% acquisition growth. Stantec said it achieved organic growth in all of its regional and business operating units. Stantec also posted an all-time record contract backlog of $7.8 billion as of the end of 2024, a 24.1% increase.

"Our strong 2024 results put us well on track to deliver on our Strategic Plan objectives," President and CEO Gord Johnston said. "We continue to thrive in a resilient industry influenced by macro factors including water security, aging infrastructure, climate change, future technologies and an expansion in advanced manufacturing."

Stantec set targets as part of its 2025 outlook including net revenue growth of 7% to 10% and adjusted EPS growth of 16% to 19%.

"By maintaining our strong focus on project execution and addressing our clients' most pressing challenges, we anticipate another year of exceptional performance for Stantec in 2025, driven by continued margin expansion and earnings growth," Johnston said.