230+ AEC firms report record Growth and Profitability in 2019, but Clouds on the Horizon for 2020
NEW YORK, Oct. 25, 2019 /PRNewswire/ -- According to AEC Advisors' 2019 Confidential KPI Survey results, which included participation from 230+ Architecture, Engineering, and Consulting ("AEC") firms with a combined ~$130 billion in global revenues, CEOs reported record 2019 organic growth of 8.7% and record 2019 estimated profitability1 of 14.6% (medians). However, while 2020 profitability is expected to increase to 15.0%, growth is projected to be 7.2%, slightly lower than 2019, signaling some skepticism in the market, since CEOs usually are overly optimistic in projections. Results vary depending on size of company, service, end-market, and client type, but AEC Advisors argues that good leadership, business management, and firm culture have the most meaningful impact differentiating high performing versus low performing firms.
AEC Advisors (www.aecadvisors.com) hosted its inaugural Chief Executive Summit for the AEC industry in September 2019 for 260+ CEOs and top executives from the US, Canada, Europe, Australia, Asia, and Middle East. The event took place at Carnegie Hall and the Mandarin Oriental, NY in New York City. Attending CEOs led firms that ranged in size from $1 million in revenue to multi-billion-dollar organizations, including half of the ENR top 100 ranked design firms (and 7 of the top 10), and covered the spectrum of engineering & architectural design, environmental consulting, construction & program management, surveying, and other infrastructure consulting services.
The CEO Summit included presentations and discussions covering industry trends; mergers & acquisitions; valuation; internal ownership transition; stakeholder value creation; diversity; technology; and CEO-level networking. For more about AEC Advisors' summits, please visit: www.aecadvisors.com/conferences.
Dates of our future by-invitation Summits:
CFO Summit, May 5 – 7, 2020 in NYC
Chief Executive Summit, September 15 – 17, 2020 in NYC
About AEC Advisors
AEC Advisors LLC is a leading investment banking and corporate finance advisory firm for executives and boards of AEC firms. Throughout their careers, the four principals have completed over 130 M&A transactions in the AEC industry and have advised over 500 AEC firms on corporate finance issues, including M&A, capitalization & modeling, stock valuation, KPI benchmarking, and internal ownership transitions. Our goal is to help key decision‐makers of AEC firms confidently address financial issues and opportunities, so they can focus on their clients, projects, and people.
1 Pre-Bonus & Pre-Amortization Operating Profit divided by Net Revenues
Contact: Josh Lahre, [email protected]
SOURCE AEC Advisors LLC
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