Exclusive extracts from this 68-page-long report:
- Who are the key players?
While the majority of leading construction and civil engineering companies operate on a local or regional level, a handful of large players conduct global operations and generate a hefty slice of their revenues outside their home markets. The report focuses on contractors that are global leaders by sales and have a broad international reach. In recent years, competition in international construction markets has markedly intensified with the rise of Asian players, particularly those based in China and South Korea [...]
Groups analysed in this report include: China Communications Construction Company (CCCC), ACS, Vinci, Bouygues, Fluor Corporation, Strabag, Skanska, Hyundai Engineering & Construction, Samsung C&T and Larsen & Toubro.
- What are the players' strategies?
Asset portfolio restructuring, with a focus on internationalisation and information technologies, have been at the heart of leading construction companies' recent growth strategies. China's CCCC for instance has completed various acquisitions of foreign companies in different countries to enter local markets. Spain's ACS shed various non-core assets to enhance its balance sheet, while also strengthening its position in emerging markets in Africa and Asia-Pacific, which provide significant growth opportunities. France's Vinci meanwhile has been tapping the high potential information and communication technology (ICT) market by acquiring specialised companies such as Novabase IMS and Acuntia. […]
- What are the players' key growth and profitability drivers?
Recovering construction activity in key markets, international expansion as well as external growth have all supported construction companies' growth, although recent performances were offset by fewer projects in some key markets as well as reduced activity in energy markets. India's Larsen & Toubro saw particular strong growth in recent years owing to a favourable domestic market, while its growing IT business was paramount in driving its profitability. Vinci meanwhile continuously improved its profitability since 2013 thanks to sustained operational efficiency gains. [...]