Despite Growth, Firms Worry - Railworks Corporation
Despite Growth, Firms Worry - Railworks Corporation
Despite Growth, Firms Worry - Railworks Corporation
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
THE TOP 400 CONTRACTORS<br />
#24<br />
DPR CONSTRUCTION acquired<br />
Atlanta-based Hardin Construction Co.<br />
LLC, which ranked at No. 118 on the<br />
ENR Top 400 last year.<br />
The Top 50 in Domestic Building/Mfg. Revenue<br />
OVERVIEW<br />
RANK<br />
2013<br />
REVENUE<br />
IN $ MIL.<br />
1 THE TURNER CORP. 6,751.7<br />
2 CLARK GROUP 3,287.7<br />
3 SKANSKA USA 3,068.0<br />
4 WHITING-TURNER CONTRACTING CO. 2,951.0<br />
5 BALFOUR BEATTY US 2,587.5<br />
6 STRUCTURE TONE 2,517.5<br />
7 GILBANE BUILDING CO. 2,496.8<br />
8 MCCARTHY HOLDINGS INC. 2,381.0<br />
9 LEND LEASE 2,205.3<br />
10 TUTOR PERINI CORP. 2,179.3<br />
11 HOFFMAN CONSTRUCTION CO. 2,118.0<br />
12 JE DUNN CONSTRUCTION GROUP 2,111.8<br />
13 BRASFIELD & GORRIE LLC 1,750.0<br />
14 HENSEL PHELPS 1,580.7<br />
15 SUFFOLK CONSTRUCTION CO. INC. 1,345.4<br />
16 MORTENSON CONSTRUCTION 1,265.9<br />
17 THE WALSH GROUP LTD. 1,242.1<br />
RANK<br />
2013<br />
REVENUE<br />
IN $ MIL.<br />
18 DPR CONSTRUCTION 1,239.1<br />
19 SWINERTON INC. 1,213.0<br />
20 MANHATTAN CONSTRUCTION GROUP 1,161.4<br />
21 FLINTCO LLC 1,082.7<br />
22 WALBRIDGE 1,074.7<br />
23 HUNT CONSTRUCTION GROUP INC. 1,046.0<br />
24 THE YATES COS. INC. 1,013.5<br />
25 PEPPER CONSTRUCTION GROUP 937.5<br />
26 BARTON MALOW CO. 904.8<br />
27 VALLEYCREST LANDSCAPE COS. 880.0<br />
28 CLAYCO INC. 872.0<br />
29 M+W U.S. INC. 837.6<br />
30 HITT CONTRACTING INC. 827.4<br />
31 THE WEITZ CO. 789.3<br />
32 DEVCON CONSTRUCTION INC. 779.0<br />
33 DAVID E. HARVEY BUILDERS INC. 769.0<br />
34 JAMES G. DAVIS CONSTRUCTION CORP. 756.2<br />
RANK<br />
2013<br />
REVENUE<br />
IN $ MIL.<br />
35 HATHAWAY DINWIDDIE CONSTRUCTION 751.4<br />
36 CONSIGLI CONSTRUCTION CO. INC. 716.6<br />
37 ADOLFSON & PETERSON CONSTRUCTION 710.2<br />
38 AUSTIN INDUSTRIES 708.0<br />
39 HUNTER ROBERTS CONSTRUCTION 706.7<br />
40 MESSER CONSTRUCTION CO. 701.0<br />
41 SHAWMUT DESIGN AND CONSTRUCTION 679.9<br />
42 OKLAND CONSTRUCTION CO. INC. 671.9<br />
43 KBR 664.0<br />
44 ROBINS & MORTON 655.6<br />
45 KIEWIT CORP. 650.6<br />
46 LECHASE CONSTRUCTION SERVICES LLC 646.4<br />
47 RYAN COS. US INC. 616.9<br />
48 PCL CONSTRUCTION ENTERPRISES INC. 614.3<br />
49 LAYTON CONSTRUCTION CO. INC. 609.9<br />
50 CORE CONSTRUCTION GROUP 604.3<br />
PHOTO COURTESY OF SUMMIT CONTRACTING GROUP<br />
Some contractors have been actively seeking out<br />
P3 opportunities. “We are seeing that large transportation<br />
projects using the P3 delivery system are gaining<br />
momentum, and we will use our expertise in this area<br />
to look to capture those opportunities,” says Shaun<br />
Yancey, executive vice president, PCL Construction<br />
Enterprises. He says PCL is creating strategic alliances<br />
with consultants and contractors to pursue these jobs.<br />
One of the difficulties in the increased use of P3s is<br />
that American investors are not used to this sort of<br />
investment. However, Canadian and European contractors<br />
have long used this type of financing for infrastructure.<br />
“The influx of foreign players is changing<br />
the market. They have unlimited access to capital as<br />
they are backed by their countries. That’s something<br />
we don’t have here in the U.S. It is not always a level<br />
playing field,” says Robert Alger, CEO of the Lane<br />
Construction Corp.<br />
One transportation market that has not had to<br />
scramble for funds is private railroads. “The large,<br />
Class 1 railroads have been listening to their customers<br />
and investing heavily to meet their needs,” says Levy.<br />
To upgrade their infrastructure, railroads have been<br />
investing $10 billion to $12 billion a year for several<br />
years and will spend $13 billion this year, he says. “The<br />
problem is that it is a good market, so we are seeing<br />
new competitors, like highway contractors, trying to<br />
get into it,” Levy says.<br />
The Cost of Health-Care on <strong>Firms</strong><br />
The health-care market has been in flux as a result of<br />
Companies | By Gary J. Tulacz<br />
Apartment Life Is Thriving<br />
For the past six quarters, survey<br />
participants in ENR’s Construction<br />
Industry Confidence Index poll have<br />
named multi-unit residential as the<br />
hottest general-building market. One<br />
beneficiary of this surge is Summit<br />
Contracting Group Inc. (No. 347).<br />
“There was a huge need for<br />
apartments during the recession, but<br />
due to the banking industry locking<br />
down on lending at that time, the<br />
market went stagnant for a few<br />
years,” says President Marc Padgett.<br />
As a result, Summit’s revenue<br />
dropped, reporting contracting<br />
revenue of $58 million in 2010 and<br />
$55 million in 2011. This year,<br />
Summit is back on the list, showing<br />
2012 revenue of $150 million, almost<br />
all from multi-unit residential.<br />
A turnaround in lending has<br />
changed the equation. “Now that<br />
lenders are back in the game, we are<br />
seeing all types of multifamily<br />
projects going up in most areas of<br />
the country,” says Padgett.<br />
But Padgett warns that banks are<br />
still skittish, saying, “The lenders are<br />
much more engaged in the<br />
qualification process.” He says that,<br />
often, lenders are requiring<br />
contractors and subs to obtain<br />
bonds. While not unusual, “it<br />
appears to be more extreme now,”<br />
he says. “We are even seeing the<br />
lenders asking for copies of<br />
subcontract agreements, which was<br />
very rare in the past.” n<br />
enr.com May 20, 2013 ENR 11
Change language