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Business Segments | 12 Months Ended
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Dec. 31, 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 and fire protection systems 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 years ended December 31, 2021, 2020 and 2019:
| Reportable Segments |  |  |  |
(in thousands) | Civil |  | Building |  | Specialty Contractors |  | Total |  | Corporate |  | Consolidated Total
Year ended December 31, 2021 |  |  |  |  |  |  |  |  |  |  |
Total revenue | $ | 2,443,828 |  |  | $ | 1,574,759 |  |  | $ | 1,120,115 |  |  | $ | 5,138,702 |  |  | $ | — |  |  | $ | 5,138,702 |
Elimination of intersegment revenue | (348,068) |  |  | (146,657) |  |  | (2,147) |  |  | (496,872) |  |  | — |  |  | (496,872) |
Revenue from external customers | $ | 2,095,760 |  |  | $ | 1,428,102 |  |  | $ | 1,117,968 |  |  | $ | 4,641,830 |  |  | $ | — |  |  | $ | 4,641,830 |
Income (loss) from construction operations(a) | $ | 266,214 |  |  | $ | 28,721 |  |  | $ | (9,961) |  |  | $ | 284,974 |  |  | $ | (58,170) |  | (b) | $ | 226,804 |
Capital expenditures | $ | 37,067 |  |  | $ | 359 |  |  | $ | 476 |  |  | $ | 37,902 |  |  | $ | 692 |  |  | $ | 38,594 |
Depreciation and amortization(c) | $ | 102,723 |  |  | $ | 1,677 |  |  | $ | 3,316 |  |  | $ | 107,716 |  |  | $ | 10,513 |  |  | $ | 118,229 |
Year ended December 31, 2020 |  |  |  |  |  |  |  |  |  |  |
Total revenue | $ | 2,565,210 |  |  | $ | 2,114,459 |  |  | $ | 1,135,018 |  |  | $ | 5,814,687 |  |  | $ | — |  |  | $ | 5,814,687 |
Elimination of intersegment revenue | (365,311) |  |  | (129,818) |  |  | (795) |  |  | (495,924) |  |  | — |  |  | (495,924) |
Revenue from external customers | $ | 2,199,899 |  |  | $ | 1,984,641 |  |  | $ | 1,134,223 |  |  | $ | 5,318,763 |  |  | $ | — |  |  | $ | 5,318,763 |
Income (loss) from construction operations(d) | $ | 245,835 |  |  | $ | 53,158 |  |  | $ | 17,203 |  |  | $ | 316,196 |  |  | $ | (53,852) |  | (b) | $ | 262,344 |
Capital expenditures | $ | 51,044 |  |  | $ | 878 |  |  | $ | 1,917 |  |  | $ | 53,839 |  |  | $ | 942 |  |  | $ | 54,781 |
Depreciation and amortization(c) | $ | 90,250 |  |  | $ | 1,703 |  |  | $ | 3,983 |  |  | $ | 95,936 |  |  | $ | 11,098 |  |  | $ | 107,034 |
Year ended December 31, 2019 |  |  |  |  |  |  |  |  |  |  |
Total revenue | $ | 2,054,097 |  |  | $ | 1,764,753 |  |  | $ | 929,738 |  |  | $ | 4,748,588 |  |  | $ | — |  |  | $ | 4,748,588 |
Elimination of intersegment revenue | (274,745) |  |  | (22,713) |  |  | (298) |  |  | (297,756) |  |  | — |  |  | (297,756) |
Revenue from external customers | $ | 1,779,352 |  |  | $ | 1,742,040 |  |  | $ | 929,440 |  |  | $ | 4,450,832 |  |  | $ | — |  |  | $ | 4,450,832 |
Income (loss) from construction operations(e) | $ | (150,837) |  |  | $ | 23,655 |  |  | $ | (172,637) |  |  | $ | (299,819) |  |  | $ | (65,188) |  | (b) | $ | (365,007) |
Capital expenditures | $ | 82,156 |  |  | $ | 518 |  |  | $ | 688 |  |  | $ | 83,362 |  |  | $ | 834 |  |  | $ | 84,196 |
Depreciation and amortization(c) | $ | 47,905 |  |  | $ | 1,934 |  |  | $ | 4,136 |  |  | $ | 53,975 |  |  | $ | 11,069 |  |  | $ | 65,044 |
_____________________________________________________________________________________________________________ (a)During the year ended December 31, 2021, the Company recognized favorable adjustments in income (loss) from construction operations in the Civil segment of $29.0 million (an after-tax impact of $20.9 million, or $0.41 per diluted share) and $16.3 million (an after-tax impact of $13.5 million, or $0.26 per diluted share) on two mass-transit projects, reflecting improved profitability as a result of the negotiation and settlement of certain change orders and the associated mitigation of certain risks in 2021 as the projects progressed towards completion. The Company’s income (loss) from construction operations was negatively impacted by $13.3 million (an after-tax impact of $10.3 million, or $0.20 per diluted share) due to changes in estimates on a Civil segment transportation project in the Northeast that reflected a charge and the negative impact to earnings from growth in unapproved change orders, which resulted in a reduction in the project’s percentage of completion (and, correspondingly, a reduction in the percentage of estimated profit recognized for the year ended December 31, 2021 for this project). The Company’s income (loss) from construction operations was also negatively impacted by $13.3 million (an after-tax impact of $10.2 million, or $0.20 per diluted share) due to changes in estimates on a Building segment transportation project in the Northeast that included a charge and the negative impact to earnings from growth in unapproved change orders. In addition, in the Specialty Contractors segment, the Company recorded a reduction of $20.1 million in cost of operations during 2021 (a favorable after-tax impact of $14.5 million, or $0.28 per diluted share) due to a favorable legal judgment on a completed electrical project. The judgment awarded the Company the recovery of certain costs previously incurred. The Company’s income (loss) from construction operations for the year ended December 31, 2021 was also negatively impacted by $19.0 million (an after-tax impact of $13.7 million, or $0.27 per diluted share) and $17.6 million (an after-tax impact of $12.7 million, or $0.25 per diluted share) on the mechanical and electrical components, respectively, of a transportation project in the Northeast and $16.2 million (an after-tax impact of $11.7 million, or $0.23 per diluted share) on an electrical mass-transit project also in the Northeast, all of which were due to changes in estimates that included charges and/or the negative impact to earnings from growth in unapproved change orders. (b)Consists primarily of corporate general and administrative expenses. (c)Depreciation and amortization is included in income (loss) from construction operations. (d)During the year ended December 31, 2020, the Company recorded a charge of $15.2 million in income (loss) from construction operations (an after-tax impact of $11.0 million, or $0.22 per diluted share) due to an unfavorable legal ruling pertaining to a mechanical project in California in the Specialty Contractors segment, as well as a charge of $13.2 million (an after-tax impact of $9.6 million, or $0.19 per diluted share) due to an adverse arbitration ruling pertaining to an electrical project in New York in the Specialty Contractors segment. The Company also recorded a gain of $25.7 million in Specialty Contractors segment general and administrative expenses (an after-tax impact of $18.6 million, or $0.36 per diluted share) as a result of a favorable arbitration decision and subsequent settlement of the related employment dispute. (e)During the year ended December 31, 2019, the Company recorded a non-cash goodwill impairment charge of $379.9 million in income (loss) from construction operations (an after-tax impact of $330.5 million, or $6.58 per diluted share) resulting from an interim impairment test the Company performed as of June 1, 2019. For further information and breakdown of the goodwill impairment charge by segment, see Note 6. In addition, during the year ended December 31, 2019 the Company recorded a charge of $166.8 million in income (loss) from construction operations (an after-tax impact of $119.4 million, or $2.38 per diluted share), which principally impacted the Civil segment, as a result of the adverse jury verdict on the Alaskan Way Viaduct Matter, as discussed in Note 8. Lastly, the Company recognized a one-time gain of $37.8 million (an after-tax impact of $27.1 million, or $0.54 per diluted share) in Civil segment general and administrative expenses related to a remeasurement of its investment in a joint venture (see Note 6). The above were the only changes in estimates considered material to the Company’s results of operations during the periods presented herein. Total assets by segment were as follows:
| As of December 31,
(in thousands) | 2021 |  | 2020
Civil | $ | 3,310,648 |  |  | $ | 3,141,991 |
Building | 980,989 |  |  | 1,147,649 |
Specialty Contractors | 631,710 |  |  | 673,891 |
Corporate and other(a) | (198,449) |  |  | 82,086 |
Total assets | $ | 4,724,898 |  |  | $ | 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. Geographic Information Information concerning principal geographic areas is as follows:
| Year Ended December 31,
(in thousands) | 2021 |  | 2020 |  | 2019
Revenue: |  |  |  |  |
United States | $ | 4,267,734 |  |  | $ | 4,953,045 |  |  | $ | 4,073,691 |
Foreign and U.S. territories | 374,096 |  |  | 365,718 |  |  | 377,141 |
Total revenue | $ | 4,641,830 |  |  | $ | 5,318,763 |  |  | $ | 4,450,832 |
| As of December 31,
(in thousands) | 2021 |  | 2020
Assets: |  |  |
United States | $ | 4,479,873 |  |  | $ | 4,836,735 |
Foreign and U.S. territories | 245,025 |  |  | 208,882 |
Total assets | $ | 4,724,898 |  |  | $ | 5,045,617 |
Reconciliation of Segment Information to Consolidated Amounts A reconciliation of segment results to the consolidated income (loss) before income taxes is as follows:
| Year Ended December 31,
(in thousands) | 2021 |  | 2020 |  | 2019
Income (loss) from construction operations | $ | 226,804 |  |  | $ | 262,344 |  |  | $ | (365,007) |
Other income (expense) | 2,004 |  |  | (11,853) |  |  | 6,667 |
Interest expense | (69,026) |  |  | (76,212) |  |  | (67,494) |
Income (loss) before income taxes | $ | 159,782 |  |  | $ | 174,279 |  |  | $ | (425,834) |

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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