Global independent professional services firm Turner & Townsend has today reported its ninth consecutive year of growth, with turnover reaching €727m for the year ending 30 April 2019, rising from €623m the previous year.
The company, which works on some of the world’s largest and most complex capital projects and programmes across real estate, infrastructure and natural resources increased net revenue by €90m, to €659m, a 16 percent increase on 2017-18.
This strong performance has been driven by the company’s diverse business model and continued investment in its people to build capacity around its global footprint. In the past financial year, Turner & Townsend increased its headcount by 17 percent and now employs more than 6,100 people in 110 offices across 45 countries.
Drawing on its work on complex global projects, Turner & Townsend has experienced high demand for its new Programme Advisory business, which is enabling clients to deliver the transformation needed to realise sustainable benefits quicker across the project lifecycle.
Across Europe, Turner & Townsend increased annual revenue by a third (33 percent) to €44m, driven by strong demand and capital spend from technology companies and clients across the high-tech and manufacturing sector. In infrastructure, landmark wins have included the MetroLink rail project in Dublin.
Revenue reached €294m in the UK in 2018-19, rising nine percent as the business gained market share in its principal regional hubs. Turner & Townsend’s key UK growth areas have included regional infrastructure aligned to major programmes by Highways England, Heathrow and HS2, as well as accelerating real estate investment by Government and within the high-tech and manufacturing sectors. The UK business has also seen success expanding its work in the defence industry, including securing key wins on Defence Equipment and Support (DE&S), part of the UK’s Ministry of Defence, as well as the Defence Infrastructure Organisation.
Vincent Clancy, Chairman and CEO at Turner & Townsend said the delivery of another year of exceptional financial results is an impressive achievement in the face of some turbulent global markets. “Our continued growth is testament to the strength of our diversified global business model, and our investment in people and services, particularly our programme advisory and asset management capability. We also initiated our largest-ever investment in digital services, putting data at the heart of what we do.
“The outlook for our industry is one of huge change and accelerated investment, as it responds to the shift towards a low carbon economy, demand for smart cities, growing populations and strains on existing infrastructure. I believe we are well placed to be at the forefront of the solutions to these challenges, embracing new technologies and delivering better performance for major programmes and assets over their lifecycles.”
Sustained infrastructure investment
The business delivered strong growth in its infrastructure business, with revenue up 21 percent to €202m, as investment in the sector hits unprecedented levels across global markets.
Further success in aviation means the business is currently appointed to 30 major airport projects and expansion programmes worldwide, including Lima and Toronto Pearson International Airports. Growth has also been driven by expertise in large-scale complex infrastructure projects across the UK, Australia, Asia and the Middle East, such as Heathrow Airport, Inland Rail in Australia and Virgin Hyperloop One in India.
Double-digit growth in real estate
The real estate business increased revenue by 15 percent to €387m, driven by fast growth in the high tech and manufacturing sector and increased data centre demand from global technology clients. The business has also significantly expanded its work in the leisure and hospitality sectors, delivering landmark projects including the V&A Dundee and Atlantis, The Palm in Dubai.
Natural resources picks up pace
Revenue across the natural resources business, which includes offshore oil and gas and mining, grew eight percent to €70m in 2018-19, as stabilising commodity prices shore up confidence and investment in the sector. Turner & Townsend has successfully capitalised on demand for de-carbonisation strategies and increased investment in Liquefied Natural Gas (LNG) projects globally. Growth has also been fuelled by the electric car market and its requirement for lithium mining across Western Australia and Latin America.
Recognising its obligation to not just produce good results but to do so in a responsible way, through its commitment to the UN Sustainable Development Goals, the company has continued to focus on making a positive impact on society and promoting social mobility. In the last year it has launched #TT5000futures, an initiative to improve the lives of 5,000 children and young people across the globe through education and employment initiatives, and has already exceeded this target.