Industry Analysis & Industry Trends
Bracing for growth
The Geosynthetics Installation Industry has benefited from the increased use of geosynthetic materials in the construction of roads, railroads, landfills and other infrastructure. Due to the industry's dependence on the US construction markets, though, particularly government spending on public infrastructure, the recession had an adverse impact on the industry. As construction markets stabilize and the widespread use of geosynthetics gains momentum, demand will turn around. Growth will also be fueled by increasing environmental regulation of the industry's downstream markets... purchase to read more
Industry Report - Industry Investment Chapter
The Geosynthetics Installation Industry has a medium level of capital intensity. The capital investment required to operate in the industry varies greatly depending on the size of the firm. Larger contractors may invest heavily in machinery, equipment and tools necessary for bigger geosynthetics installations, whereas smaller contractors may rent machinery and equipment on a per-project basis, therefore lowering capital expenditures. Labor costs absorb a significant amount of revenue, and include the costs of labor subcontracted out. Labor costs represent about 25.6% of industry revenue in 2012. Depreciation for the industry is low, at about 1.8% of revenue in 2012. On average, firms spend $0.07 on capital for every dollar spent on wages... purchase to read more