Georgiou revenue tops $600m

Privately owned construction, engineering and property development company Georgiou achieved a bumper result last year, lifting revenue by 54 per cent and budgeting for continued strong growth.

The Osborne Park-based business has reported revenue of $607 million for the year to June 2014, and is anticipating an increase to $648 million in the 2015 financial year.

This followed a 12 per cent dip in revenue to $394 million in the 2013 financial year – a rare break in the company’s growth trajectory.

Its annual review disclosed that work in hand jumped to $540 million at the end of June 2014, and is budgeted to hit $600 million by June next year.

Chief executive John Georgiou described 2013-14 as the company’s most successful year to date, with revenue at a record high, injury rates significantly decreased, and national growth driving the firm’s return to the NSW market.

The company’s annual review does not disclose profit data.

Georgiou has been affected by trends adversely affecting many other contractors, with Mr Georgiou noting a decrease in work in Western Australia’s north-west during the past year, with some of the company’s biggest clients postponing projects.

Consequently, revenue in its engineering division declined to $164 million.

Offsetting growth was achieved in the company’s infrastructure division, which contributed $214 million to group revenue, and the building division ($86 million).

Mr Georgiou said east coast markets had also contributed.

“Our Victorian business unit has flourished, returning $27 million revenue as they continue to enhance their land development relationships and push into building and marine work,” he said in the annual review.

“Our Queensland business unit has also demonstrated a sustainable positon in the infrastructure market.”

Queensland contributed $116 million to total revenue, with the biggest contributors including $52 million of works at Origin Energy’s Spring Gully gas plant.

Another highlight for the group was a return to the NSW market, after long standing client LWP Property Group awarded a $27 million land development contract at its Huntlee Estate project.

In WA, Georgiou’s major contracts include the $1 billion Gateway WA roads project, in a consortium with Main Roads WA, Leighton Contractors, GHD and others. Georgiou said it had an 18 per cent share in the design and construction of the project.

A notable win in WA was Curtin University’s $37 million medical teaching facility – the company’s first tertiary education building.

While best known for its contracting activities, Georgiou has become more active as a property investor and, more recently, a property developer.