Excavation Contractors in the US - Market Research Report (2013-2028)
New York, United States
Last Updated: December 2023
NAICS 23891aRevenue
$118.7bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
560k
Businesses
234k
Wages
$XX.Xbn
Excavation Contractors in the US industry analysis
The Excavation Contractors industry earns nearly half of its revenue from the private residential and nonresidential building markets. The remainder stems from the excavation of land in nonbuilding construction markets, including sports fields, roadwork and water supply facilities. Contractors compete with general construction companies and heavy construction contractors, highway and road contractors, engineering companies, demolition and wrecking contractors and other specialist contractors. Over the five years to 2023, the industry stagnated as rising interest rates and COVID-19 complications mitigated industry demand. Excavation Contractors industry revenue has been inching upward at a CAGR of 0.9% over the past five years and is expected to total $118.7 billion in 2023, when revenue will jump by an estimated 3.3%. Profit has decreased over the past five years amid rising wage and purchase fees.
Trends and Insights
- Rising interest rates have made funding new projects difficult. Larger companies have an easier time weathering declining demand, while smaller companies must either exit the industry or consolidate to remain competitive.
- Rising interest rates have slowed the industry’s growth over the past five years. Businesses and individuals are unwilling to start new projects while rates are high.
- The distribution of establishments tends to reflect economic activity. One -off events, such as the Big Dig transport project in Boston or a natural disaster can skew activity toward certain regions.
- Reputation is a key factor when companies bid for new contracts. Projects are frequently awarded to companies that have nurtured long-term relationships with developers.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has grown at a CAGR of 0.9 % over the past five years, to reach an estimated $118.7bn in 2023.
Trends and Insights
The industry swelled amid the robust pandemic housing market
- The construction of major apartment buildings, condominiums and residential houses requires extensive excavation services to accommodate these large-scale operations.
- Additional trends and insights available with purchase
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
US infrastructure is critically outdated
- In its 2021 Report Card for US Infrastructure, the American Society of Civil Engineers gave both the nation's roads and aviation infrastructure a grade of D and D+, respectively, indicating an inadequate national transportation network.
Biggest companies in the Excavation Contractors in the US
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Arctic Slope Regional Corp | 1,959.9 | 150.5 | 7.7 | |
United States Infrastructure Corporation | 1,378.2 | 67.5 | 4.9 | |
Malcolm Drilling Company Inc. | 553.8 | 41.4 | 7.5 |
To view the market share and analysis for all 15 top companies in this industry, view purchase options.
Products & Services Segmentation
Excavation Contractors in the US
Products & Services
Industry revenue is measured across several distinct product and services lines, including Excavation work for residential buildings, Excavation work for nonresidential buildings and Foundation digging. Excavation work for residential buildings is the largest segment of the Excavation Contractors in the US.
Trends and Insights
The national focus on infrastructure drives trenching work
- Nonbuilding and trenching activities, such as the construction of highways, streets, waterways and sewers, have less exposure to economic fluctuations. Other private earthmoving work occurs in the rural sector, specifically for the construction of dams, irrigation development and the construction of internal roads to private properties.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Stone Mining in the US
- Demolition & Wrecking in the US
- Road & Highway Construction in the US
Complementors
- There are no industries to display.
International industries
- Site Preparation Services in Australia
- Land Development and Subdivision in Australia
- Site Preparation Services in New Zealand
- Land Development and Subdivision in New Zealand
- Site Preparation in the UK
Table of Contents
About this industry
Industry definition
This industry primarily excavates land for building construction. Activities include drilling shafts, foundation digging and drilling and grading. The excavation work performed includes new work, additions, alterations and repairs.
What's included in this industry?
EarthmovingExcavatingGround de-wateringLand clearingLeveling and gradingRemoving overburdenTrench diggingFoundation drillingDrilling of shaftsCompanies
Arctic Slope Regional CorpUnited States Infrastructure CorporationMalcolm Drilling Company Inc.Purchase this report to view all 15 major companies in this industry.
Related Terms
AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA)OVERBURDENEXCAVATIONWORD-OF-MOUTH REFERRALSTENDERIndustry Code
NAICS 238910 - Excavation Contractors in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Rising interest rates have made funding new projects difficult. Larger companies have an easier time weathering declining demand, while smaller companies must either exit the...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Rising interest rates have slowed the industry’s growth over the past five years. Businesses and individuals are unwilling to start new projects while rates are high.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The distribution of establishments tends to reflect economic activity. One -off events, such as the Big Dig transport project in Boston or a natural disaster can skew activit...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each state in 2023
- Number and share of revenue each state accounts for in 2023
- Number and share of wages each state accounts for in 2023
- Number and share of employees in each state in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Reputation is a key factor when companies bid for new contracts. Projects are frequently awarded to companies that have nurtured long-term relationships with developers.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Few companies operate on a national scale. Industry excavation contractors often compete within a limited area and scope of contracts.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Arctic Slope Regional Corp's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of United States Infrastructure Corporation's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Malcolm Drilling Company Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for 12 additional companies
Detailed analysis
- Description and key data for Arctic Slope Regional Corp, and factors influencing its performance in the industry
- Description and key data for United States Infrastructure Corporation, and factors influencing its performance in the industry
- Description and key data for Malcolm Drilling Company Inc., and factors influencing its performance in the industry
- Description, key data and performance trends for 12 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Excavation contractors have been supported by elevated government spending. Infrastructure and other nonbuilding spending will help offset the impact of high interest rates.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
A declining residential construction market has put pressure on profit. High interest rates have limited demand for new housing projects.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Industry Multiples (2016-2021)
- Industry Tax Structure (2016-2021)
- Income Statement (2016-2021)
- Balance Sheet (2016-2021)
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Excavation Contractors in the US industry in United States in 2024?
The market size of the Excavation Contractors in the US industry in United States is $118.7bn in 2024.
How many businesses are there in the Excavation Contractors in the US industry in 2023?
There are 234k businesses in the Excavation Contractors in the US industry in United States, which has grown at a CAGR of 1.1 % between 2018 and 2023.
Has the Excavation Contractors in the US industry in United States grown or declined over the past 5 years?
The market size of the Excavation Contractors in the US industry in United States has been growing at a CAGR of 0.9 % between 2018 and 2023.
What is the forecast growth of the Excavation Contractors in the US industry in United States over the next 5 years?
Over the next five years, the Excavation Contractors in the US industry in United States is expected to grow.
What are the biggest companies in the Excavation Contractors in the US market in United States?
The biggest companies operating in the Excavation Contractors market in United States are Arctic Slope Regional Corp, United States Infrastructure Corporation and Malcolm Drilling Company Inc.
What does the Excavation Contractors in the US in United States include?
Earthmoving and Excavating are part of the Excavation Contractors in the US industry.
Which companies have the highest market share in the Excavation Contractors in the US in United States?
The company holding the most market share in United States is Arctic Slope Regional Corp.
How competitive is the Excavation Contractors in the US industry in United States?
The level of competition is moderate and steady in the Excavation Contractors in the US industry in United States.
