WET News

James Fisher NDT Proven solutions for optimising water and waste water assets Benefits n Condition and consequence management n Increased customer environmental and stakeholder confidence n Prioritise funding for maintenance or renewals n Reduction in failure rates Techniques n Radiographic Inspection n Ultrasonic Inspection n Dye Penetrant and Magnetic Particle Inspection n Positive Material Identification n Visual Inspection including deployment of ROV's n Leak detection 00922 James Fisher Leak detection A4 ad:Layout 1 25/09/2013 11:47 Page 1 leaders 2014 3 There's a feel-good factor – and that's a good thing Welcome to The leaders 2014, WET News' annual survey of the leading water industry contractors. In this special supplement, sent out with the May issue of WET News and the June issue of Water & Wastewater Treatment, we reveal this year's top 10 Tier 1 contractors by turnover, net margin, return on capital, sales per employee and operating margin. We find out the mood at this critical time of transition between AMP 5 and 6, and we also include a brief look at the leading Tier 2 and 3 contractors. It's great to see that there continues to be a great deal of optimism among contractors who speak of strong order books as the industry prepares for the arrival of AMP6. Traditionally, the final year of an AMP cycle presents a downturn in the industry as projects dry up. This time around it appears to be different with the water companies planning to bring forward hundreds of millions of pounds worth of investment from AMP6 in to 2014-15. This, added to the fact that many water companies have already appointed their main capital delivery partners, should ensure that AMP6 will get off to a running start come next April. Even so, feelings are mixed over how much the £440M transition investment will smooth the traditional peaks and troughs of the regulatory cycle, with some contractors saying it will not stop lay-offs among onsite and construction staff. How soon the Tier 2 and 3 contractors will see the benefit remains to be seen, but at least work should filter down the supply chain a lot sooner than has previously been experienced. Of course, totex continues to be the biggest talking point as contractors embrace this new culture. Establishing the correct balance between the capex and opex for clients will be a fundamentally new approach for many and should present exciting opportunities for the supply chain. Compared with a year ago, there is definitely a feel- good factor among contractors. That's a good thing. Maureen Gaines, Editor LEADERS 2014 COMMENT TOP 10 Editor Maureen Gaines maureen.gaines@fav-house.com Designer Jane Roebuck Advertisement sales Deborah Lilley deborah.lilley@fav-house.com Classified sales Danielle Wood danielle.wood@fav-house.com Production controller Sharon Miller sharon.miller@fav-house.com Publisher Angela Himus angela.himus@fav-house.com Published by Faversham House Windsor Court, Wood Street East Grinstead West Sussex RH19 1UZ T: 01342 332000 WET News is registered at Stationers' Hall. Origination by Faversham House. Printed by Buxton Press, Palace Road, Buxton, Derbyshire, SK17 6AE. Copyright 2014. Faversham House. No part of this publication may be reproduced without prior written permission from the publishers. Every effort is made to ensure the accuracy of material published in WET News. However, Faversham House will not be liable for any inaccuracies. The views expressed by contributors are not necessarily those of the editor or publishers. Text paper is printed on PEFC accredited paper. For more info see www.PEFC.org. License number PEFC/16-33-141. Technical articles of full page, or more appearing in this journal are indexed by British Technical Index © 2014 Faversham House Turnover £M Balfour 8,745 AMEC 3,974 Morgan Sindall 2,047.1 Kier 1,943 Veolia 1,310.7 AMEY 1,093.6 Vinci 1,056.7 Costain 960 Bam Nuttall 730.1 Interserve 721.5 Net margin % AECOM DB 293 Dawnus 10 AMEY 7.7 Mott MacDonald 6.1 Peter Duffy 5.5 Stonbury 5.1 PN Daly 4.6 Skanska 4.1 Lewis Civil Eng 4 Return on Capital % Skanska 8903.6 Galliford Try 1,086 AECOM DB 357 Kirk 268 Dawnus 76.4 Carillion Utility Services 63.5 Laing O'Rourke 57.7 McNicholas 52.8 Kier 50.8 Dyer & Butler 49.9 Sales per Employee £K Carillion US 384.3 Interserve 334 Morgan Sindall 320.7 MWH 300.2 Imtech 272 Galliford Try 251 Black & Veatch 248.9 Bam Nuttall 243.9 AECOM 243.5 ACWA 241.7 Operating Margin % VINCI Construction UK 452.6 AECOM Design Build 159 Dawnus 10.4 AMEY 7.6 Peter Duffy 5.6 Stonbury 5.1 Lewis Civil Engineering 4.7 Skanska 4.1 J Murphy 3.9 Morrison US 3.7

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