Mining sector driving construction growth finds report
Cordell Information and the Housing Industry Association (HIA) have released the 2012 Housing Industry Association-Cordell Construction 100, tracking the activity of engineering construction and non-residential building sectors of the top 100 companies in these sectors.
The report concluded that 2011-12 was a ‘mixed year of results’ for the construction industry, with mining and civil engineering posing strong results, but multi-unit and community sectors reporting a significant fall in activity.
“Overall, the positive influence of the mining sector outweighed the negatives and the total value of construction work done increased by 18.1 per cent in 2011/12 to $155.4 billion,” HIA’s Chief Economist Harley Dale said.
“Australia’s largest 100 construction contractors and non-residential builders were awarded contracts for construction work worth $70.9 billion in 2011/12. This result represents 57 per cent of the total value of construction work commenced,” Dr Dale said.
The John Holland Group topped this year’s charts, with contracts for construction work worth $7.09 billion this year.
Leighton Contracts were the second largest contractor this year, recording $6.50 billion worth of construction contracts, with Theiss coming third with $4.54 billion.
Dr Dale said the booming resources sector played a significant role in the value of this year’s constracts.
“The high value of projects in the mining sector meant the geographic distribution of construction work was skewed towards Australia’s resource-rich states. However, it may surprise some that the value of work commenced in Queensland topped Western Australia in 2011/12,” Dr Dale said.
“Queensland took top spot with a total of $42.3 billion of non-residential construction work commenced in 2011/12, compared to Western Australia with $31.3 billion."
The full report can be found here