Aegion Corporation (Nasdaq Global Select Market: AEGN) today announced that it has surpassed $1.0 billion in annual revenues for the first time in the Company’s history.
J. Joseph Burgess, the Company’s President and Chief Executive Officer, commented, “Aegion’s diversification strategy to expand our Company’s expertise in pipeline asset preservation and to enter a dynamic infrastructure rehabilitation growth market led to significant growth of our Energy and Mining platform and the creation of our Commercial and Structural platform. Over the last five years, we have more than doubled the size of our Company and, more importantly, this growth has been profitable and in market sectors and geographies that position Aegion well for the future. We are succeeding in our efforts to transform our Company into a sustainable growth and return oriented company.”
From revenues of $495.6 million in 2007 to over $1.0 billion in 2012, the Company has achieved a 15 percent compounded annual growth in revenues over the last five years. More importantly, the Company will achieve a greater than 40 percent compounded annual growth in operating income over the same period (non-GAAP, including earn-out adjustments and excluding one-time acquisition related and restructuring costs), from a base of $12.9 million in 2007.
In 2008, the Company implemented a strategy to expand the Company’s Energy and Mining group, which accounted for $41.6 million in revenues in 2007. In 2012, the Company’s Energy and Mining group is expected to approximate $525 million in revenues. In 2011, the Company expanded into the Commercial and Structural market with its acquisition of Fyfe Group’s North American business. Fyfe Group’s Asian and Latin American operations were acquired in 2012. Fyfe has been a pioneer in adapting fiber reinforced polymer (“FRP”) composites for use in the construction rehabilitation sector including leak protection for large diameter pipelines, structural repair and reinforcements for buildings, corrosion wrapping for waterfront structures, seismic bracing for structures and force protection for commercial and government properties. The Commercial and Structural market represents a high growth/high return market, with expected Company revenues in 2013 from this market of greater than $100 million.