CN100 interactive: Turnover, operating profit and margins
This year’s CN100 reveals that the top 100 contractors’ total revenue increased 6.5 per cent to reach £64.40bn, up from £60.4bn in last year’s CN100.
However, with the top 25 contractors reporting margins of just 1.2 per cent and some of the industry’s largest firms posting significant losses, the data shows that construction is still struggling with legacy contracts, increased costs and the impact of the recession.
The interactive graphic above shows firms ranked by turnover. The larger the marker, the higher the firm’s turnover. Firms coloured red made an operating loss, while those in green made an operating profit. Those with the darkest colour have the highest profit/loss.
Balfour Beatty, the largest firm by turnover with revenues of £6.96bn this year, posted an operating loss of £199m as it contined to work its way through a backlog of problem contracts.
The graphic below is based on operating profit. The larger the marker, the higher the firm’s operating profit. In addition, those with the darkest colour have the highest operating margin.
There were also major differences between larger firms by turnover and those ranked further down in the table. Firms ranked 26-50 by turnover saw much stronger margins that those in the top 25.
Bechtel, with an operating margin of 23.1 per cent, had the highest operating margin in the CN100, followed by contractor-developer Henry Boot with 18.4 per cent.
Of course, higher operating profit does not equal the highest margins; Carillion, the largest marker by operating profit (£155.1m), posted an operating profit margin of 3.9 per cent - though this was still above the top 100’s average.