Construction, Design-Build, and EPC

November 2017

Sectorwatch

Construction industry consolidation has been considerable in 201. Most notably, with multiple bidders have emerged to acquire Spanish infrastructure manager and concessionaire Abertis Infraestructuras, with ACS and Atlantia both making a play for the company. A completed transaction will likely have wide reaching impacts on the global infrastructure and construction industries.

 

Industry Trends:

  • Current revenue growth rate exceeds the average of the last 3 years, indicating that market momentum is increasing
  • Current gross profit margin exceeds the average of the last 3 years gross profit margin, indicating supplier pricing power
  • Current EBITDA margin is less than the average of the last 3 years EBITDA margins, which may signal further consolidation