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Business Segments
 9 Months Ended
Sep. 30, 2021
Segment Reporting [Abstract]  
Business Segments Business Segments
The Company offers general contracting, pre-construction planning and comprehensive project management services, including planning and scheduling of manpower, equipment, materials and subcontractors required for the timely completion of a project in accordance with the terms and specifications contained in a construction contract. The Company also offers self-performed construction services: site work, concrete forming and placement, steel erection, electrical, mechanical, plumbing, and HVAC (heating, ventilation and air conditioning). As described below, the Company’s business is conducted through three segments: Civil, Building and Specialty Contractors. These segments are determined based on how the Company’s Chairman and Chief Executive Officer (chief operating decision maker) aggregates business units when evaluating performance and allocating resources.
The Civil segment specializes in public works construction and the replacement and reconstruction of infrastructure. The contracting services provided by the Civil segment include construction and rehabilitation of highways, bridges, tunnels, mass-transit systems, military defense facilities, and water management and wastewater treatment facilities.
The Building segment has significant experience providing services for private and public works customers in a number of specialized building markets, including: hospitality and gaming, transportation, health care, commercial offices, government facilities, sports and entertainment, education, correctional facilities, biotech, pharmaceutical, industrial and technology.
The Specialty Contractors segment specializes in electrical, mechanical, plumbing, HVAC, fire protection systems and pneumatically placed concrete for a full range of civil and building construction projects in the industrial, commercial, hospitality and gaming, and mass-transit end markets. This segment provides the Company with unique strengths and capabilities that allow the Company to position itself as a full-service contractor with greater control over scheduled work, project delivery, and cost and risk management.
To the extent that a contract is co-managed and co-executed among segments, the Company allocates the share of revenues and costs of the contract to each segment to reflect the shared responsibilities in the management and execution of the project.
The following tables set forth certain reportable segment information relating to the Company’s operations for the three and nine months ended September 30, 2021 and 2020:
Reportable Segments
(in thousands)CivilBuildingSpecialty
Contractors		TotalCorporateConsolidated
Total
Three Months Ended September 30, 2021
Total revenue$624,549 $395,013 $271,316 $1,290,878 $— $1,290,878 
Elimination of intersegment revenue(78,331)(34,072)(253)(112,656)— (112,656)
Revenue from external customers$546,218 $360,941 $271,063 $1,178,222 $— $1,178,222 
Income (loss) from construction operations$62,555 $10,786 $(5,470)$67,871 $(15,778)
(a)
$52,093 
Capital expenditures$7,847 $87 $134 $8,068 $234 $8,302 
Depreciation and amortization(b)
$26,234 $416 $777 $27,427 $2,634 $30,061 
Three Months Ended September 30, 2020
Total revenue$723,324 $552,823 $322,091 $1,598,238 $— $1,598,238 
Elimination of intersegment revenue(111,328)(44,683)(136)(156,147)— (156,147)
Revenue from external customers$611,996 $508,140 $321,955 $1,442,091 $— $1,442,091 
Income (loss) from construction operations$70,237 $15,815 $9,700 $95,752 
(c)
$(12,731)
(a)
$83,021 
Capital expenditures$10,996 $438 $224 $11,658 $352 $12,010 
Depreciation and amortization(b)
$26,659 $419 $1,002 $28,080 $2,778 $30,858 
____________________________________________________________________________________________________
(a)Consists primarily of corporate general and administrative expenses.
(b)Depreciation and amortization is included in income (loss) from construction operations.
(c)During the three months ended September 30, 2020, income (loss) from construction operations was positively impacted by $19.6 million (a favorable after-tax impact of $14.1 million, or $0.28 per diluted share) as a result of a favorable arbitration decision related to a dispute in the Specialty Contractors segment. This favorable impact was largely offset by an adverse impact of $15.2 million (an unfavorable after-tax impact of $10.9 million, or $0.21 per diluted share) due to an unfavorable legal ruling pertaining to a mechanical project in California in the Specialty Contractors segment.
Reportable Segments
(in thousands)CivilBuildingSpecialty
Contractors		TotalCorporateConsolidated
Total
Nine Months Ended September 30, 2021
Total revenue$1,850,748 $1,267,984 $877,634 $3,996,366 $— $3,996,366 
Elimination of intersegment revenue(273,603)(117,150)(553)(391,306)— (391,306)
Revenue from external customers$1,577,145 $1,150,834 $877,081 $3,605,060 $— $3,605,060 
Income (loss) from construction operations$187,733 $19,514 $5,814 $213,061 
(a)
$(42,511)
(b)
$170,550 
Capital expenditures$26,027 $211 $298 $26,536 $626 $27,162 
Depreciation and amortization(c)
$80,125 $1,272 $2,628 $84,025 $8,171 $92,196 
Nine Months Ended September 30, 2020
Total revenue$1,948,095 $1,548,223 $839,040 $4,335,358 $— $4,335,358 
Elimination of intersegment revenue(280,494)(85,298)(319)(366,111)— (366,111)
Revenue from external customers$1,667,601 $1,462,925 $838,721 $3,969,247 $— $3,969,247 
Income (loss) from construction operations$181,756 $37,120 $6,591 $225,467 
(d)
$(37,523)
(b)
$187,944 
Capital expenditures$41,139 $636 $952 $42,727 $669 $43,396 
Depreciation and amortization(c)
$67,050 $1,274 $2,990 $71,314 $8,320 $79,634 
____________________________________________________________________________________________________
(a)During the nine months ended September 30, 2021, the Company recorded a reduction of $20.1 million in cost of operations (an after-tax impact of $14.6 million, or $0.28 per diluted share) due to a favorable legal judgment on a completed electrical project in New York in the Specialty Contractors segment. The judgment awarded the Company the recovery of certain costs previously incurred. The Company also recognized $18.1 million of additional revenue (an after-tax impact of $13.0 million, or $0.25 per diluted share) as a result of favorable adjustments on a Civil segment mass-transit project reflecting improved profitability due to the mitigation of certain risks as the project progresses toward completion. The Company’s income from construction operations was also negatively impacted by $14.5 million (an after-tax impact of $10.5 million, or $0.21 per diluted share) due to changes in estimates on an electrical project in New York in the Specialty Contractors segment that included unfavorable adjustments and the negative impact to the period associated with increases to project forecasts due to growth in unapproved change orders (expected to be negotiated in future periods).
(b)Consists primarily of corporate general and administrative expenses.
(c)Depreciation and amortization is included in income (loss) from construction operations.
(d)During the nine months ended September 30, 2020, income (loss) from construction operations was adversely impacted by $15.2 million (an unfavorable after-tax impact of $10.9 million, or $0.21 per diluted share) in the third quarter of 2020 due to an unfavorable legal ruling pertaining to a mechanical project in California in the Specialty Contractors segment, as well as by $13.2 million (an unfavorable after-tax impact of $9.5 million, or $0.19 per diluted share) in the second quarter of 2020 due to an adverse arbitration ruling pertaining to an electrical project in New York in the Specialty Contractors segment. These adverse impacts were mostly offset by $19.6 million (a favorable after-tax impact of $14.1 million, or $0.28 per diluted share) in the third quarter of 2020 as a result of a favorable arbitration decision related to a dispute in the Specialty Contractors segment.
A reconciliation of segment results to the consolidated income before income taxes is as follows:
Three Months Ended September 30,Nine Months Ended September 30,
(in thousands)2021202020212020
Income from construction operations$52,093 $83,021 $170,550 $187,944 
Other income (expense)(464)(8,048)1,142 (8,364)
Interest expense(16,694)(25,613)(52,442)(58,513)
Income before income taxes$34,935 $49,360 $119,250 $121,067 
Total assets by segment were as follows:
(in thousands)As of September 30,
2021		As of December 31,
2020
Civil$3,255,994 $3,141,991 
Building1,054,260 1,147,649 
Specialty Contractors654,946 673,891 
Corporate and other(a)
(137,450)82,086 
Total assets$4,827,750 $5,045,617 
____________________________________________________________________________________________________
(a)Consists principally of cash, equipment, tax-related assets and insurance-related assets, offset by the elimination of assets related to intersegment revenue.