Review of performance for 2022

Review of performance for 2022

“BMT has worked with the natural environment features of Cape Peron to design a seawall that will stand the test of time . . . and given us an asset that has greatly improved the experience for our visitors.” Sam Cain Director, Department of Biodiversity, Conservation and Attractions (Western Australia) Delivering for our customers “A fantastic addition to our high-speed patrol boat range . . . a testament to the skills and expertise this exciting partnership with BMT brings to the patrol boat market.” Andrew Phillips Technical Director Marine Specialised Technology Group First HPB-1500 high speed patrol craft for the UK and Gibraltar Ministry of Defence Police “Based on a proven BMT design and carefully tailored for the Australian environment, the Australian Independent Littoral Manoeuvre Vessel (ILMV) is a world-class, future-ready capability and sovereign solution.” Michael Ward Managing Director Raytheon Australia BMT Group | A platform for growth 2

Summary We are a maritime-orientated high-end design house and technical consulting firm driven by a passion for solving complex, real-world problems that matter. Our purpose is to help navigate some of the most important and impactful engineering challenges of our time, creating an environment where people with outstanding technical knowledge strive to deliver a safer, more efficient, more effective, and sustainable future. Our vision is to be a global leader in solving the most impactful engineering challenges of our time. Performance highlights £9.0m Operating profit from continuing operations during the reporting year 14.4% Increase in revenue from continuing operations (when compared to last year) £157.0m Turnover from continuing operations during the reporting year Leadership Gender Diversity (Executive Committee & Board) 46% £5.2m Total distribution to employees in line with our status as an employee benefit trust (EBT) 0 We are committed to reach net-zero emissions by no later than 2035 3

Chairman’s statement The fact that we were able to navigate those challenges successfully, while continuing to make progress on our strategic objectives, is testament to the quality and strength of BMT as an organisation. I would therefore like to thank all our people for their dedication and commitment, not only in helping to make BMT an increasingly successful business, but also in supporting our customers, who rely on our insight and technical expertise to keep vital services running across the world. Overview This was a year that provided a stern test for any business, with inflation hitting 40-year highs, interest rates rising rapidly, supply chains coming under severe pressure, and talent – particularly in our primary areas of science, engineering and technology – becoming harder than ever to find and keep. Russia’s invasion of Ukraine in February 2022 not only prompted a significant reappraisal by governments of their defence priorities and budgets, it also led to a renewed focus on energy security – all at a time when the transition away from carbon-emitting energy sources is accelerating. While these macroeconomic and geopolitical factors undoubtedly presented challenges to our day-to-day operations, they will also drive future opportunities. That’s because, as our customers reassess their defence spending and priorities, refocus on energy security and accelerate their transition to green power, we are well placed to help them to do so. A strategy for success Our ability to make the most of those opportunities will rely to a large extent on the successful implementation of our strategy. That is to retain and grow market share in our core business areas, build powerful collaborative relationships that draw value from the full breadth of our global capability, and drive innovation that is closely aligned to our customers’ and industries’ current and future needs. We summarise this as: • Sustain the core • Growth through collaboration • Exploit and invest in innovation Our core business is made up of distinctive and sustainable capabilities, which we leverage to address the needs of our customers and markets and they are the primary focus of future capability development. We refer to these as our ‘famous four’ offerings, and they are as follows: • Maritime design and consultancy • Asset monitoring and sustainment • Environment and climate solutions • Defence and security customer friend We have a broad international reach with a track record of delivery. Our capabilities are delivered from our major office locations in the UK, Australia, Canada, USA, Netherlands and Singapore. More detail on our business strategy is provided on pages 10 and 11. Building a sustainable business Our strategy embraces a wider social benefit and we are working to embed this thinking in our operating model and deliverables. In doing so, we have the advantage of being a single global family with shared values and a common purpose. Our wider benefit is underpinned by our sustainability commitment. We are embedding sustainability across the entirety of our business, to mitigate our environmental impact, anticipate our customer needs; and to deliver advanced solutions to engineering problems that will improve social wellbeing and environmental protection across the world. During the reporting period, we set an ambitious target to achieve net zero in our business by 2035, along with our commitment to supporting sustainable development goals. You can read more on our approach and corporate activities for sustainability on our website. A successful year for BMT, despite a number of challenges experienced during the reporting period. BMT Group | A platform for growth 4

‘We have a broad international reach with a track record of delivery. Our capabilities are delivered from our major office locations in the UK, Australia, Canada, USA, Netherlands and Singapore.’ A focus on delivery We continued to focus not only on winning new projects but also taking action within our business to ensure that, from bidding to sign-off, we managed and delivered all processes efficiently. To this end, we have accelerated our digital transformation, supported by new technologies to optimise delivery. We are also transforming our organisational structure to ensure that we maximise utilisation across our wide range of capabilities and provide the most effective and comprehensive solutions to our customers. We continue to employ a range of project and change management processes to guide our people through our transformation journey. Attracting and retaining the best people in the industry is essential to ensure we can continue to successfully deliver customer projects. We have invested in talent acquisition resources and campaigns. Our Global Mobility programme and Careers Map initiatives enable opportunities across the organisation, and we are investing in digital skills training to help our employees optimise a range of tools. We continue to strengthen our project risk assessment process, growing our technical assurance capabilities and processes to help mitigate the risk of committing to potentially onerous contracts. Through the development of a Global Project Management Office (PMO), we will ensure a more consistent application of project management processes across our portfolio. Charles Packshaw Chairman, BMT Board changes Given the importance of our people and our increasing focus on employee engagement, it is pleasing to report that we have made changes to both the board and executive team in these areas. We welcomed Gudrun Neumann to the executive committee as our new Global People Director and Mick Dewhirst to the board as our first ever Employee Director. He brings a vital employee voice to the boardroom and deepens engagement with our global employee network. A positive outlook As outlined in more detail by our Chief Executive, Sarah Kenny, our financial performance provides evidence that the strategy that has been developed and put in place since her arrival is delivering. As we continue to focus on exciting growth opportunities and strengthen our internal processes to win and deliver those opportunities more effectively, we can look forward to further sustainable growth in the years ahead, boosted by the exciting news that, shortly after the end of this reporting period, we have secured our biggest ever contract win. 5

Chief Executive’s statement Despite considerable macroeconomic and geopolitical challenges we were able to grow revenues, invest in the future, maintain profits and reward our employees with a £5.2m profit distribution. We have also maintained a healthy balance sheet. Furthermore, I believe that this reporting period has played a vital role in building the foundations for significant growth opportunities ahead. Performance Revenues from continuing operations rose to £157.0m in the reporting period, up 14.4% compared to the previous year. BMT recorded profits from continuing operations of £9.0M during the reporting period, slightly lower than the previous year’s total of £9.2m. This headline picture of rising turnover and flat profits was caused in part by cost inflation, to which we responded by carefully managing overheads and discretionary spend, achieving savings of circa £5m. However, our productivity was hindered by delays in orders which we had staffed in anticipation of delivery. We made the strategic decision to carry this extra capacity. The announcement in early 2023 that the UK Ministry of Defence (MoD) has selected a consortium including BMT to design and build new supply vessels for the UK’s aircraft carriers vindicated the decision to maintain headcounts. The future Fleet Solid Support (FSS) ships contract for the Royal Navy is the biggest in our history and will span 10 years. It is also pleasing that this project win, along with others, can be seen as a direct result of our willingness to invest in the future, particularly around the areas of innovation and capability. With orders now increasing, we also expect to see more benefits from our strategic transformation programme, which has focused on diligence in project management and oversight, particularly around project close-out and invoicing. While this Chief Executive statement primarily focuses on continuing operations, we continued to manage, during the reporting period, the results of the onerous contract entered into by BMT Designers & Planners Inc (D&P) and described in last year’s financial statements. As a result, our US defence and security business entered a formal insolvency process on 1 February 2022. More detail is provided in the Financial Performance section on pages 28-31. People Given the challenges faced early in the reporting year, with many of us still in lockdown due to COVID-19, I am pleased with the way in which we have returned to office working and have successfully blended it with virtual office working. Key to that success has been engaging with employees through virtual town halls, site visits and focus groups to understand people’s preferences and create structures that support individuals, while at the same time delivering to our collective needs as an organisation. In this context, I am really proud that we have appointed our first Employee Director, Mick Dewhirst. This gives Mick, who is also the chair of our Employee Engagement Group, a formal seat at the board table, ensuring that the employee voice is heard directly and clearly in all our decision making. I am also proud of our updated employee value proposition (EVP) – a commitment between BMT and our employees to create a positive and inclusive environment where we all feel valued and at our best. We are investing in initiatives that promote diversity, equity and inclusion, and are also supporting colleagues to be active in their local communities. This has been another year of progress in delivering our strategy and investing in our future in the face of significant headwinds. ‘I am also proud of our updated employee value proposition (EVP) – a commitment between BMT and our employees to create a positive and inclusive environment where we all feel valued and at our best.’ BMT Group | A platform for growth 6

In commercial shipping, we continued to benefit from our outstanding specialist design skills in offshore wind farm support vessels and ferries, but demand for our innovative superyacht design services slackened in the face of the global economic slowdown. The value of our environment and climate solutions was clearly evident during major flood events in eastern Australia and we continued to grow our operations in Canada through the addition of dedicated resource to work with state and local government agencies, critical infrastructure, finance, health, defence, and security sectors in their climate risk, resilience and adaptation strategies.. Overall, this highlights how our diverse portfolio and the essential nature of our work provides us with some resilience in challenging economic times. Now, with a strong pipeline of work in place for the year ahead, and excellent longstanding relationships with our customers, we can turn that solid base into a strong foundation for growth. As an organisation, we have a particular focus on sustainability, not only in terms of how we manage our own resources, but also in the way we help customers to achieve sustainable outcomes. Therefore, we saw widespread support from our people in setting an ambitious target to achieve net zero in our business by 2035 which, along with our commitment to supporting sustainable development goals, will have an increasing influence on the future of our business. Customers While the ongoing war in Ukraine has made governments around the world reassess the importance of both their defence spending and energy security, this is likely to be a longer-term driver of demand for our services, given the significant lead time for projects. In fact, for much of the year, delays in project decisions were the reality. This situation began to improve in the latter months of the reporting period and continued beyond it with the FSS win in the UK. It was a similar story in our energy markets, where, as the reporting year progressed, rising energy costs and the need to transition to green power sources started to overcome the geopolitical and economic headwinds seen earlier in the year. ‘Despite considerable macroeconomic and geopolitical challenges we were able to grow revenues, invest in the future, maintain profits and reward our employee members with a £5.2m profit distribution.’ Sarah Kenny, OBE Chief Executive, BMT Outlook Having made strategic investments in our capabilities and processes, and with key markets improving, I believe we are in a strong position to deliver consistent returns in the year ahead and beyond. 7

Putting people first “I was brought in to set up the casualty investigation / survey business locally in Singapore and to expand our services in Asia. With the support of my colleagues worldwide, not only have we managed to gain a strong foothold in Singapore but broaden our services horizon in SE Asia” Hittesh Gupta Principal Surveyor Head of Casualty Investigation, Asia Critical Infrastructure Asia Pacific “At BMT, we recognise that the most successful businesses are ones who encourage diversity of thought, experience, and approach. Active sponsorship and empowerment of talented, bright individuals to be leaders in our organisation is critical to success. By challenging bias and creating development opportunities to establish equity throughout, we can be an exemplar to others. I am proud to work for a company that demonstrates this ethos through strong delivery and accountability.” Colleen Martin Business Lead 8 BMT Group | A platform for growth

About BMT 1300+ employees 27 office locations 7countries We exist to navigate the most important and impactful engineering challenges of our time. We create environments where people with outstanding technical knowledge deliver meaningful, practical solutions. ‘We are driven by a commitment to a safer, more efficient, effective and sustainable future.’ 9

Our strategy for growth How will we become a global leader in solving the most impactful engineering challenges of our time? What How Actions Living our values Why 1 2 3 Sustain and grow the core Growth through collaboration Exploit and invest in innovation Strengthen capabilities across our core business areas to ensure resilience and access new opportunities Investing in ourselves As an Employee Benefit Trust we are invested in our collective future to nurture our people and reward ambition Trust Innovation Passion Respect Collaboration Build strong relationships within BMT, with customers and partners to draw value from the full breadth of our capabilities Use technology to drive innovation, create efficiencies and add value to existing propositions BMT Group | A platform for growth 10

Climate Risk & Resilience This campaign supports our customers with understanding and managing their climate related challenges. Marine Autonomous Systems We aim to become marine autonomous leaders and position ourselves as a key player in a major transformation of the global fleet. Ship Design We plan to sustain and grow this core business area as well as kick-starting growth, internationally in both commercial and defence, in ship design. Consulting for Transformation We will grow our market share in transformation consulting by expanding our capability and capacity. Digital Transformation This investment is intended to transform our approach to our digital environment. Maritime design and consultancy Marine Autonomous Systems Consulting for Transformation Ship Design Climate Risk & Resilience Digital Transformation Asset monitoring and sustainment Our core business Our strategic campaigns Environment and climate solutions Defence and security customer friend What Does Success Look Like? Over the next year we are committed to building a successful future. We have targets to grow our pipeline, grow our pre-bonus profitability, maximise our cash conversion and improve our customer and employee satisfaction. So what are we doing? We are building a better understanding of our capabilities, our portfolio of work and the markets in which we operate. This will feed our annual business planning process and help uncover exciting ideas to invest in from across the company. We are backing existing work with investments in Autonomy and Consulting. We are investing in campaigns to develop our Climate Risk & Resilience and Ship Design offers. We are further investing in Innovation and Digital Transformation to encourage entrepreneurialism and improve our digital working practices. 11

Our operating performance | Asset Monitoring and Sustainment Market context A combination of higher energy prices, national energy security concerns and the need to maintain ageing infrastructure, created a strong market context for our Asset Sustainment service lines in our core energy and resources markets. Asset operator CAPEX spending has expanded, alongside positive negotiations on rates that impact O&M spending. A notable shift in the pace of global renewable energy projects, particularly offshore wind, has led to a strong pipeline of emerging opportunities across an integrated set of BMT service lines. Our reputation as trusted advisor for ports, coastal and offshore infrastructure has allowed us to directly support our customers in solving new energy challenges, positioning BMT for future growth as the decarbonised energy system evolves. Performance Following a challenging 2-3yr period across our global Infrastructure and asset sustainment service lines, Global performance is improving. Multiple structural integrity assessment and refurbishment projects were undertaken in Australia, as well as the design and implementation of monitoring programmes in a variety of challenging environments and spatial scales. This involved using satellite imagery, drone and photographic data and images, field assessments and chemical monitoring to deliver valuable customer insight. New integrity advisory services for offshore fixed bottom wind turbines were seeded in the US through a new relationship with market leader Orsted. We were also able to leverage our structural expertise in Canada to support work in feasibility studies for ammonia and hydrogen alternative fuel pipelines, which have the potential to play a significant role in the net-zero emissions roadmap. We have led technically in our field through supporting BP to develop structural and Metocean components of their digital twin, co-authoring and delivering a paper at OMAE in Hamburg in June 2022. This development has led to a deeper relationship with BP and their asset team, as well new opportunities with other operators. We also delivered key thought leadership at the International Pipeline Conference in Calgary, Canada and other important industry events throughout the reporting period. Strategy and organisation A strong focus continued on organic growth in core markets. We added to both the US and Canada teams in response to increased customer demand. As customer expectations and challenges are changing, we too are changing, and aligning capability to future customer need. During the reporting period, we worked with the Institute of Public Works Engineers Australasia and regional councils to publish a guide that will help asset owners and managers to build greater resilience to the effects of climate change. The changing and growing demand for our work created the need to develop new services. In the energy sector, these included storage tank vapour assessments, gas dispersion analysis, surge pressure assessment and plant/facility integrity assessment and remediation. We provide high-value independent engineering and design services to customers in the energy sector (including oil and gas and renewables), coastal infrastructure (including ports, terminals and marinas) and mining and machinery. ‘About 90% of deep-water floating oil and gas production assets in the US Gulf of Mexico now contain our marine monitoring systems.’ BMT Group | A platform for growth 12

We have been delivering real time metocean conditions and structural responses to BP’s Glen Lyon FPSO Integrity Management team. Using our Integrated Marine Monitoring system connected to BMT Deep we supported safety critical operations. We further helped to develop a Digital Twin for the FPSO, and co-authored a paper for industry review. Further work on a structural component is ongoing. (Below) We won funding from the US Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) to develop CO2 pipeline regulatory requirements and thereby improve the safety of pipelines. (Above) Highlights 13

Our operating performance | Asset Monitoring and Sustainment continued In response to new regulation, we are carrying out the first ever QRA risk assessment in accordance with both the existing and new Singapore QRA Guidelines for a brownfield petroleum, fuel and chemical storage terminal located on Pulau Sebarok, about 5kms away from the main island of Singapore. (Right) In 2021, we joined the North East of Scotland Fit 4 Offshore Renewables (F4OR) programme. F4OR aims to support the regional energy supply chain to fuel the growth in offshore renewables and stimulate supply chain mobility and transition during the green economic recovery. Following audits covering our business processes and sector knowledge, attending modules on offshore renewables with others in the cohort, and completing improvement plans, we are nearing our “Fit for Offshore Renewables Granted Status” assessment. Granted Status will show that we have the business acumen and knowledge to boost our chances of accessing opportunities in this growing market. (Below) We reached a major milestone with full-scale testing of our Smart Microgrid technology, a solution for clean energy integrations for remote communities. Developed in partnership with Sustainable Marine Energy (SME) and support from Canadian industry partners, we completed successful testing at the SME Grand Passage site in Nova Scotia using SME’s PLAT-I tidal energy device as the primary energy source, as well as solar and battery energy sources. (Right) BMT Group | A platform for growth 14

Outlook We are anticipating more stable demand and a more regular investment flow from customers. In the energy sector, we expect continuous investment into the oil and gas sector alongside larger investments into nearshore, fixed bottom wind projects. Floating wind project pilots are continuing and developing new technology to enable the industry. Markets will remain competitive and investment in technology will be essential to maintain our advantage as competitors team up to accelerate their digital presence and embrace automation capabilities. The need for clean energy and the pressure to protect the natural and built environment are both rising up the agenda for the private and public sector. While this plays to our proven strengths, it is also attracting new players keen to win business, even at low margins. Having the right mix of capacity and capability to meet the demands of the market will be a key challenge. Another ongoing challenge is the so-called ‘war’ on talent, which we can only win by continuing to provide our people with the right rewards in all senses of the word – from excellent remuneration and development opportunities to the prospect of exciting, purposeful work. While some of these areas still need to be addressed, we believe they will be worth the effort because the opportunities that lie ahead to support the energy transition are substantial. Ultimately, our success will be defined by our ability to develop and progress technology to take on the challenges that matter and create efficiencies for our customers. Strong support and improved customer engagement in the US Gulf of Mexico region has led to us being awarded a number of contracts for offshore systems. In 2022, we secured orders for 5 (Independent Remote Monitoring Systems (IRMS) Gen 3 systems. Similarly, we won a competitive bid to replace the Integrated Marine Monitoring System (IMMS) on the Floating Production Unit (FPU) Salamanca, which is set for refurbishment and redeployment. (Right) 15

Our operating performance | Defence and Security Customer Friend Market context The relatively stable spending in the defence and broader government markets seen during the COVID-19 pandemic continued in 2021/2022. However, the invasion of Ukraine and increasing international tensions focused minds and, despite a slowdown in public spending, national investment in defence and security continued apace. New security alliances, such as the AUKUS trilateral security pact – between Australia, the US and the UK to help Australia acquire nuclear-powered submarines and cooperate on advanced technologies – will inform defence and security decisions for years to come, and we are well placed to support them. The boundary between defence and non-defence activity has become blurred as states are supporting foreign policy goals and promoting interests in a variety of ways, particularly when exploiting the cyber and space domains. The lead time for consultancy support to defence, central government and security customers can often be short and the current routes to market and governance controls often makes fulfilment of the requirements challenging. An increasing number of customers are now setting up their own frameworks to mitigate the difficulties they face We provide independent engineering, design, management and programme consultancy services in the defence and security markets of Australia, Canada, Singapore, the US and the UK. Our technical expertise, collaborative approach and impartiality help our customers to meet their most complex engineering and programme challenges.” in sourcing support partners at pace. Consortia have now become the norm for contract framework activity as customers expect resilient, sustainable and diverse partnering, with BMT well placed to play a key role. Performance Our multi-year frameworks continue to provide a solid core of business. The Engineering Delivery Partner framework in the UK passed its four-year review and will act as the backbone contract for us to provide services to the UK MoD. This illustrates the trend towards broader, multi-year tasking to deliver greater efficiencies. A key win during the reporting period was a contract supporting the development of a new environmental and sustainability programme for Canada’s Department of National Defence. The contract involves ensuring environmental compliance as well as achieving sustainability targets and metrics. This project combines our expertise of defence systems with the climate and environment knowledge to help an existing customer achieve important outcomes. Our reputation with customers remains strong and we have seen continued steady growth in projects placed through both of these frameworks. Management consultancy, predominantly based in London, also goes from strength to strength. As well as repeat work leading and delivering complex portfolio, programme and project management and controls for the Metropolitan Police, our customer base has expanded to other government departments such as the UK’s Foreign and Commonwealth Development Office, the Department for Work and Pensions and the Border Force. Strategy and organisation We continue to carefully align our investments to customer needs. Globally, customers are seeking to exploit data, digital and autonomy, so we are ensuring our people are skilled to support the exploitation of available technology. The global engineering skills shortage is particularly impacting the defence industry, creating a highly competitive market and one that risks potentially restricting our growth. Partnering and the use of supply chain resource has become an essential part of our strategy to meet customers’ needs, both in fulfilling our long-term contracts and in generating the capacity to compete for new work. BMT Group | A platform for growth 16

We continue to provide the UK Naval Authority Group with safety, critical and essential services using our core strengths of deep naval architecture and safety management. (Above) We proudly support the UK MOD Common Support Model (CSM) programme through information knowledge management, design management assurance and CSM training. (Left) We are delivering long-term technical support to the Dreadnought submarine programme in the UK with a continuation task in the Submarine Naval Design Programme (Subs NDP) framework. The support involves a wide spectrum of BMT expertise including mechanical systems, information assurance, cyber, transversals, obsolescence and build assurance. (Below left) ‘Globally, customers are seeking to exploit data, digital and autonomy, so we are ensuring our people are skilled to support the exploitation of available technology.’ The Canadian Government has introduced a requirement on all major defence contracts to place 5% of the contract value through indigenous companies and we are now actively involved in working with our partners to form the necessary teaming arrangements. Highlights 17

Our operating performance | Defence and Security Customer Friend continued The Minerva programme provides the UK MoD Ships Domain Engineering Function with Suitably Qualified and Experienced Personnel (SQEP) to complement, supplement and stabilise the availability of their internal Engineering Civil Service resources, enabling them to maintain critical outputs in high priority posts. (Below) We continue to support UK border security through the Access Pass Holder Information Distribution System (APHIDS) project by providing software development, cyber security, user research and UX (user experience) consultants to enhance and expand this critical UK government IT solution. (Below) We delivered a further eight BMT REMBRANDT mission bridge simulators to Indonesian maritime training colleges. In total, 28 full mission bridge systems have been supplied to date, all powered by BMT REMBRANDT and integrating third party radar, Global Maritime Distress and Safety system (GMDSS) and Electronic Chart Display and Information System (ECDIS) display systems. Up to 30 more systems are expected to be delivered by us by the end of 2024. (Above) BMT Group | A platform for growth 18

Outlook We expect defence and broader government markets to remain robust because there is simply not enough in-house capacity, but staying competitive in a congested market will remain a challenge. The shift towards a data-centric, digitally driven and autonomy-enabled future force, which is able to operate across the domains of air, sea, land, space and cyber, is being captured in national policies. Our investments are carefully aligned to these major themes. While post-COVID-19 spending constraints have impacted the net zero agenda, social value has become an all-encompassing term. We are thinking carefully how this impacts our bidding process as, in some nations, it can amount to 20% of the bid scoring. Opportunities for government consulting for complex transformation outside defence (P3M; organisational design; business analysis; change management and digital/technical) will continue to grow as global workforce supply issues will lead to continued outsourcing. This will provide opportunities but will also continue to put pressure on us to attract, recruit, retain and develop highly-skilled and diverse talent. We were awarded a contract extension for support to the Australian Navy Engineering branch worth AUD$ 2.8m. The strong performance of the embedded our employees, was a significant factor in contractual negotiations. (Above right) ‘The shift towards a datacentric, digitally driven and autonomy-enabled future force, which is able to operate across the domains of air, sea, land, space and cyber, is being captured in national policies.’ Our graduate engineers provided additional support to the Hunter Class Frigate Programme in Australia. This came about through an unsolicited proposal from BMT in response to a skills shortage. (Below) We continue to support the Victoria In Service Support Contract for the Royal Canadian Navy’s submarine fleet and in June 2022 we were awarded a one-year extension sub-contract from Babcock Canada International. (Above) 19

Our operating performance | Environment and Climate Solutions Market context Research from market intelligence specialist environment analyst estimates that the total global market for environmental consulting increased by 7.4% to reach a total of over US$40bn in 2022. This growing market requires both technical and management consulting expertise to understand risk, evaluate opportunity and communicate effective narratives to stakeholders. Multiple factors continue to support strong interest in our environmental and climate-based professional services. These include the need to address climate change through decarbonisation and the need to mitigate against more extreme weather conditions. By driving up energy prices and highlighting the need for energy security, the war in Ukraine has added fresh additional impetus to investment in renewable energy. Services that can help organisations address governmental priorities, meet societal expectations around environmental quality, drive corporate behavioural change and provide purpose-driven outcomes for customers are particularly in demand, both now and in the foreseeable future. In our North American markets, expectations around the US Securities and Exchange Commission’s (SEC) proposed rule changes on climate-related disclosures have prompted As business, industry and governments face greater public scrutiny on environmental issues, we provide the expertise that they need to measure, monitor and manage environmental risks. companies to plan for eventual reporting requirements. Additionally, findings from COP 27 (the annual global climate change conference) have spurred governments into action, including investment from the Biden and Trudeau administrations into carbon reduction and adaptation initiatives. Lastly, Canada’s National Adaptation Strategy (NAS) was released in December 2022, laying out the federal strategy for climate risk treatment and the various responsibilities in government. Local governments, who manage approximately 60% of Canadian infrastructure, have continued to evaluate the impacts of climate change, and are implementing standardised approaches to risk treatment. Our main market presence in the environment and climate sector is in Australia, extending into the adjacent Pacific market. Market conditions for environmental consulting over the past year in Australia have generally been favourable but competition remains strong from both larger engineering firms and small operators. While COP 27, held in Egypt, garnered less headlines than COP 26 held in the UK, it nonetheless signalled a shift from plans to action and a consequent focus on the details of implementation. As such, it continues to act as a spur for climate-related investment and interest. Following in the footsteps of legislation in New Zealand to make climate risk disclosure mandatory, many Asia Pacific government and share/stock exchanges are now also moving towards the introduction of mandatory climate risk disclosure. All disclosures will need to be supported by technical climate risk assessments across decarbonisation and physical risk. Opportunities include our technical knowledge of coastal, defence and energy infrastructure and systems, and our ability to evaluate their exposure to climate risk. Performance The growth of the environmental consulting market means that it has attracted new players within the broader ESG sphere, making environment and climate a highly competitive market during the reporting period. Within the UK, we continued to deliver our niche environmental services across the oil and gas sector (predominantly supporting customers in the North Sea with environmental permitting), floodplain management and broader sustainability services as part of defence and other UK government contracts. Opportunities to apply this expertise to a broader subset of marine industries to support the transition to a low-carbon economy were explored. The flood mapping and modelling market remained stable, although much of the investment continues to be driven by large framework contracts through the UK central government, which we can only access through larger partners. In Australia, our technical expertise is well known and is held in high regard, especially in states such as Queensland, New South Wales, Western Australia and Victoria, where our flood modelling, coastal engineering, aquatic ecology management, climate risk and environmental approvals for infrastructure projects were all in demand. Overall, climate related work in Australia during the reporting period was steady, with a healthy BMT Group | A platform for growth 20

‘A key win during the reporting period was a contract supporting the development of a new environmental and sustainability programme for Canada’s Department of National Defence.’ pipeline of proposals and leads. We won a major piece of work in the Pacific (with SPC) at the end of 2021, which continues our push into the wider region. In Singapore, we have been building awareness of our services in climate risk to leverage the Singapore Exchange announcement that companies need to do more in terms of climate risk and resilience in the region. We have continued to invest in and make good progress in this region. In North America, greater investment from US and Canadian governments, along with the upcoming SEC requirements to disclose risks, are growing the need for the types of consulting services that we provide. Opportunities include our technical knowledge of coastal, defence and energy infrastructure and systems, and our ability to evaluate their exposure to climate risk. During the reporting period, engagement was achieved with key customers including Canada’s Department of National Defence and the country’s national agencies. A business development strategy was established to assist the business line, leveraging existing customers and markets. Strategy and organisation We continued to make important hires as we build capabilities, including the appointment of a new North American business line to grow the climate and resilience business within BMT’s overall global campaign. Establishing a local presence in the Canadian market is an important first step in carving out business from existing customers and demonstrating capability to new ones. We prepared for key appointments in the Environment and Climate team in the UK and began building capabilities and awareness around our Climate Risk Resilience (CRR) services. In Asia Pacific (during the reporting period), we became the Marina Industries Association’s (MIA) first ever environmental partner, and look forward to drawing on our heritage as a maritime specialist to help the sector address new environment and climaterelated challenges. In Australia, we have been the Port of Brisbane’s environmental and engineering partner since the 1980s, developing and rolling out their environmental monitoring into a single programme. We also collaborated with the University of Queensland to undertake numerous subprogrammes, including sediment sampling and analysis, using e-DNA. The information collected in the monitoring programme provides a basis for informing port planning and management activities and meeting regulatory compliance requirements for carrying out dredging activities. (Below) 21

Our operating performance | Environment and Climate Solutions continued This places us in a unique position to engage with the industry on a range of climate and environment issues. We have been asked to speak at the Vancouver International Conference on Climate Change: Impacts & Responses in 2023 to highlight our work with climate restoration within ecosystems. This will be an important opportunity to demonstrate the unique projects that we have been undertaking in the climate risk and resilience market. Our Canada climate risk and resilience business has begun to submit joint bids for projects that leverage our expertise with partner organisations, establishing our capabilities within the market and fostering important partnerships in the process. A key win during the reporting period was a contract supporting the development of a new environmental and sustainability programme for Canada’s Department of National Defence. The contract involves ensuring environmental compliance as well as achieving sustainability targets and metrics. This project combines our expertise of defence systems with the climate and environment knowledge to help an existing customer achieve important outcomes. More broadly, we have also accelerated and deepened collaboration with internal teams to develop joint offerings and cross-selling opportunities. A good example in the reporting period is the collaboration from asset and environment team to support a customer with an integrated system for fish far integrity and aquaculture operations, with high value real time modelling of potential risks, such as algae blooms. We were awarded a contract by the London Borough of Waltham Forest, UK to build a surface water flood risk model covering the entire borough. (Right) The Port of Broome Tidal Energy Project is a tidal energy turbine deployment to demonstrate both the capabilities of the Altum turbine and the potential of tidal energy applications across northern Australia. The project, which is currently in concept design phase, commissions us deliver hydrodynamic modelling, site selection, environmental impact assessment, structural and mechanical design of the turbine mounting structure and retrieval mechanism, as well as fabrication support. (Above) BMT Group | A platform for growth 22

We are supporting the development of a new environmental and sustainability programme that is helping the Canadian Department of National Defence with environmental compliance and achieving sustainability targets and metrics. This programme combines our expertise in defence systems with our climate and environment knowledge. (Above) The Galalar Silica Sands Project (GSSP) is a proposed mine in northern Queensland which, if approved, will support the manufacture of millions of solar panels and form an important part of Australia’s new economy mineral strategy. The project includes maritime infrastructure to support international export. Initially engaged for scoping and assessments, we will provide continued support in the management of the EIS submission. (Below) We are helping Essex County Council in the UK with flood alleviation measures relating to surface water flooding in three critical drainage areas identified by BMT. (Left) Outlook Given the growing regulatory, risk and reputational pressures on organisations we anticipate that the demand for climate and environment-related services will services will remain strong. In an increasingly crowded marketplace, our complementary capabilities in metocean analysis, coastal engineering and around environmental data can become increasingly valuable as customers invest in technology-enabled solutions and seek to develop robust responses to complex risk issues. These opportunities will be supported by continuing collaboration across the company, strengthened by additional business development resources, helping to facilitate greater co-operation on marketing, bids and potential projects across geographies. However, we cannot hope to take advantage of these opportunities if we do not continue to attract, develop, and retain the people who build our reputation and deliver our projects effectively. We will therefore continue to make sure BMT is an exciting and satisfying place to work where exceptional people can deliver outstanding work. 23

Our operating performance | Maritime Design and Consultancy Market context Despite a challenging period for the commercial maritime design market, with limited recapitalisation and investment in fleets, there were some bright spots. Continued growth in offshore wind facilities drove interest in Crew Transfer Vessels (CTVs) and Service Operation Vessels (SOVs). Tightening of emission regulations by the International Maritime Organization means that customers are becoming more conscious of the full extent of their emissions, including in the build process, and further supports the trend for hybrid vessels. Although alternative fuels are discussed in every commercial maritime conference, there remains no single answer to the way ahead in this area. Most nations have now set out their own versions of a National Shipbuilding Strategy and have published their new-build pipeline, with these strategies mainly focused on the defence sector. In the cases of Australia and Canada, the strategies make it clear that manufacturing must be within the home country but in the UK there is currently no legal enforcement for onshore building. Performance While maritime design orders saw only modest growth, our consultancy services have gone from strength to strength. The boom in global trade and shipping movements, following a fallow few years caused by COVID-19, led to increased demand for vessel surveys and incident response. In parallel, the design teams have broadened their skill sets and are offering ever more consulting services as a ‘customer friend’ to yards and the end customer. The luxury yacht design market remains depressed although there are some signs of growth through consulting. The sales of our simulator software, BMT REMBRANDT, remain strong, particularly in the Far East, and we are making inroads into marketing this offer to the defence sector. From innovative ship designs and expert surveys to high-value vessel performance improvements, we help customers and their cargoes to arrive safely and on time. ‘Our Future Business team restructured to offer a global approach to business development and a regional approach to sales.’ Strategy and organisation Over the reporting period we invested significantly in a Ship Design campaign and mid-way through the financial year we recruited technical sales leads in Singapore and the USA. These new hires are promoting our commercial design and consulting services in their local markets, forging new relationships and growing our customer base. Our Future Business team restructured to offer a global approach to business development and a regional approach to sales. This will enable us to get closer to our customers locally while ensuring we maximise our capabilities and market knowledge globally. On the back of growing orders, we expanded our survey footprint in Europe and Singapore. Similarly, in Canada, our offices in Halifax and Victoria continue to grow as we provide the Government with engineering oversight of key defence programmes. BMT Group | A platform for growth 24

Yacht builder Oceanco announced the delivery of Infinity — an innovative £117m luxury motor yacht with naval architecture by Lateral*. She is Oceanco’s largest motor yacht to date and the largest yacht ever built in the Netherlands. *Lateral is a joint venture between BMT and Oceanco. 25

Our operating performance | Maritime Design and Consultancy continued Highlights Our ‘net zero’ awareness was publicised in the yacht market with a well-received article by James Roy from Lateral* naval architects. Sustainability remains high on the list of priorities for yacht builders, not only to be ahead of the legislative curve but also to meet the needs of a younger generation of yacht owners and charterers for whom ‘leave no trace’ is a growing consideration. (Below) Our marine surveyors in Singapore assisted when bulk carrier VITAHORIZON ran aground on a coral bank south of Balikpapan, Indonesia. The vessel was safely refloated and brought to a safe anchorage for further underwater inspections. We then prepared the vessel for safe delivery back to the owners. (Left) ‘The evolution of green technologies will bring an increased focus on compliance, managing environmental impacts and efficiency.’ We were awarded the contract for marine engineering support from Seaspan Vancouver Shipyards to support the design of the Canadian Coast Guard MultiPurpose Vessel (MPV). The MPV programme will deliver up to 16 vessels in three stages over the next 20 years. (Left) BMT Group | A platform for growth 26

Outlook Global financial uncertainties are having a major impact on the commercial maritime sector, but we are seeing shoots of recovery in some sectors and aligning our strategy to exploit these opportunities. Offshore renewables remains the most promising sector with new wind farms planned off Australia and the US, but there will be a lag before significant CTV and SOV orders are realised. Countries have released their national shipbuilding plans and major shipyards are continuing to pursue the opportunities they present. The role of the independent designer is being squeezed as shipyards look to ‘in-house’ capabilities but will likely require consultancy support to meet their order pipeline. The evolution of green technologies will bring an increased focus on compliance, managing environmental impacts and efficiency, with an increasing need to help customers through the choices that need to be made. Our investments will enable us to exploit the continued shift towards data, digital and autonomy across the maritime sector, both at sea and onshore. Our engineers and architects provided additional design engineering support to defence company Babcock, which is part of a consortium providing planning for Poland’s new MIEZCNIK frigate programme. This should lead to further support for both the Babcock Arrowhead 140 export programme and the UK Ministry of Defence (MOD) Type 31 In Service Support programme. (Below) ‘Offshore renewables remains the most promising sector with new wind farms planned off Australia and the US.’ We won detailed design work for three CTVs for wind farms on the north-eastern coast of the USA. These vessels will maximise safety, performance, seakeeping, and fuel economy by using our most recent innovations, including our latest generation in-house Active Fender System™ (AFS), which ensures the safest possible vessel for wind farm transfer operations.) (Left) 27