AECOM Profile
AECOM operates as a global provider of professional infrastructure consulting services for governments, businesses, and organizations throughout the world.
The company provides advisory, planning, consulting, architectural and engineering design, construction and program management services, and investment and development services to commercial and government clients worldwide in major end markets, such as transportation, facilities, water, environmental, and new energy. The company's business focuses primarily on providing fee-based knowledge-based services.
Segments
The company operates through three segments: Americas, International, and AECOM Capital (ACAP).
Americas: Planning, consulting, architectural and engineering design, and construction and program management services to commercial and government clients in the United States, Canada, and Latin America in major end markets, such as transportation, facilities, water, government, environmental, and energy.
International: Planning, consulting, architectural and engineering design services and program management to commercial and government clients in Europe, the Middle East, India, Africa, and the Asia-Australia-Pacific regions in major end markets, such as transportation, facilities, water, government, environmental, and energy.
AECOM Capital (ACAP): Invests primarily in and develops real estate projects.
Americas and International segments
The company's Americas and International segments comprise a broad array of services, generally provided on a fee-for-service basis. These services include advisory, planning, consulting, architectural and engineering design, program management and construction management for industrial, commercial, institutional and government clients worldwide. For each of these services, the company's technical expertise includes civil, structural, process, mechanical, geotechnical systems and electrical engineering, architectural, landscape and interior design, urban and regional planning, project economics, cost consulting and environmental, health and safety work.
With the company's technical, advisory and program management expertise, it is able to provide its clients a broad spectrum of services. For example, within the company's water service offerings, it provides water, wastewater, water supply and water resource services, which are necessary in response to climate adaptation and resilience, drought mitigation and other environmental and social impact factors as part of major capital/infrastructure projects.
In addition, the company's industry is undergoing a digital transformation, and it is investing in digital capabilities to extend its advantages, improve overall delivery, and create distinct solutions for clients that differentiate it from competitors and enhance its client experience.
The company's services may be sequenced over multiple phases. For example, in the area of program management and construction management services, the company's work for a client may begin with a small consulting or planning contract, and may later develop into an overall management role for the project or a series of projects, which it refers to as a program.
End Markets
The company provides the services in these segments both directly and through joint ventures or similar arrangements to the following end markets or business sectors:
Transportation
Transit and Rail: Light rail, heavy rail (including highspeed, commuter and freight) and multimodal transit projects.
Marine, Ports and Harbors: Wharf facilities and container port facilities for private and public port operators.
Highways, Bridges and Tunnels: Interstate, primary and secondary urban and rural highway systems and bridge projects.
Aviation: Landside terminal and airside facilities, runways, and taxiways.
Facilities
Green Facilities: Sustainably-designed new build construction or refurbishment projects, such as office buildings, data centers and other facilities with high energy demands.
Government: Emergency response services for the U.S. Department of Homeland Security, including the Federal Emergency Management Agency and engineering and program management services for agencies of the Department of Defense and Department of Energy.
Industrial: Industrial facilities for a variety of niche end markets, such as manufacturing, distribution, aviation, aerospace, communications, media, pharmaceuticals, renewable energy, chemical, and food and beverage facilities.
Urban Master Planning/Design: Strategic planning and master planning services for new cities and major mixed-use developments in locations, such as India, China, Southeast Asia, the Middle East, North Africa, the United Kingdom, and the United States.
Commercial and Leisure Facilities: Corporate headquarters, high-rise office towers, historic buildings, hotels, leisure, sports and entertainment facilities, and corporate campuses.
Educational: College and university campuses and other educational facilities.
Health Care: Private and public health facilities.
Sports: Sustainable building design for world-class sports arenas and stadiums.
Construction Management: Program and construction management services for large scale building facility construction projects primarily in the Americas, including sports arenas, modern office and residential towers, hotels, meeting and exhibition spaces, performance venues, aviation, and other facilities.
Water
Water and Wastewater: Treatment facilities, as well as supply, distribution and collection systems, stormwater management, desalinization, and other water reuse technologies.
Water Resources: Regional-scale floodplain mapping and analysis for public agencies, along with the analysis and development of protected groundwater resources for companies in the bottled water industry.
Drought Response and Mitigation: Designing water re-use and similar systems to enhance resiliency of water supply.
Hazardous Chemicals: Treating and addressing disposal of hazardous chemicals in water supplies and surrounding environments, such as per- and polyfluoroalkyl substances (PFAS).
Drought Response and Mitigation: Designing water re-use and similar systems to enhance resiliency of water supply.
Hazardous Chemicals: Treating and addressing disposal of hazardous chemicals in water supplies and surrounding environments, such as per- and polyfluoroalkyl substances (PFAS).
Solar: Solar photovoltaic projects and environmental permitting services.
Program Management: The company provides program management and advisory services for large scale public- and private-sector infrastructure programs around the world, including megacity development, transformational transportation infrastructure, such as high-speed rail, aviation, environmental remediation programs, energy and grid infrastructure, and water supply systems.
AECOM Capital segment
ACAP typically partners with investors and experienced developers as co-general partners. These partnerships may, but is not required to, enter into contracts with the company's other AECOM affiliates to provide design, owners engineer, construction management, development and operations and maintenance services for ACAP funded projects. ACAP development activity is conducted through joint ventures or subsidiaries that may be consolidated or unconsolidated for financial reporting purposes depending on the extent and nature of the company's ownership interest. In addition, in connection with the investment activities of ACAP, AECOM or an affiliate may provide guarantees of certain financial obligations, including guarantees for the completion of projects, repayment of debt, environmental indemnity obligations, and other lender required guarantees. ACAP focuses on investing in co-general partner equity opportunities with high quality partners, primarily targeting 'build-to-core' investments in the top U.S. markets across all property types.
In 2023, the company initiated a process to explore strategic options for the AECOM Capital business. This process is consistent with the company's focus on its professional services business.
Thinking and Acting Globally
The company's strategy focuses on setting a new standard of excellence in the professional services industry. First, the company's operating structure promotes greater connectivity and collaboration across its seven regions and five global business lines. The company drives growth by prioritizing its core markets, leaning into its greatest strengths and ensuring its best talent and resources are focused on nurturing client relationships. The company is transforming the way it delivers work through technology and digital platforms improving the client experience and increasing efficiency. Lastly, the company is building upon its position as a leading ESG company, unified by its purpose to deliver a better world.
Clients
The company's clients consist primarily of national, state, regional and local governments, public and private institutions, and major corporations. The categories of clients the company serves include the U.S. Federal Government; the U.S. State and Local Governments; Non-U.S. Governments; Subtotal Governments; and Private Entities (worldwide.)
Seasonality
The company experiences seasonal trends in its business. The company's revenue is typically higher in the last half of the fiscal year (year ended September 30, 2023). The fourth quarter of the company's fiscal year (July 1 to September 30) is typically its strongest quarter. The company finds that the U.S. federal government tends to authorize more work during the period preceding the end of its fiscal year, September 30. In addition, many U.S. state governments with fiscal years ending on June 30 tend to accelerate spending during their first quarter, when new funding becomes available. Further, the company's construction management revenue typically increases during the high construction season of the summer months. Within the United States, as well as other parts of the world, the company's business generally benefits from milder weather conditions in its fiscal fourth quarter, which allows for more productivity from the company's on-site civil services.
The company's construction and project management services also typically expand during the high construction season of the summer months. The first quarter of the company's fiscal year (October 1 to December 31) is typically its lowest revenue quarter. The harsher weather conditions impact the company's ability to complete work in parts of North America and the holiday season schedule affects the company's productivity during this period.
Regulations
Other federal environmental, health and safety laws affecting the company include but are not limited to, the Resource Conservation and Recovery Act, the National Environmental Policy Act, the Clean Air Act, the Clean Air Mercury Rule, the Occupational Safety and Health Act, the Toxic Substances Control Act, and the Superfund Amendments and Reauthorization Act, as well as other comparable national and state laws.
Some of the company's business operations are covered by Public Law 85-804, which provides for indemnification by the U.S. federal government against claims and damages arising out of unusually hazardous or nuclear activities performed at the request of the U.S. federal government.
The services it provides to the U.S. federal government are subject to Federal Acquisition Regulation, the Truth in Negotiations Act, Cost Accounting Standards, the Services Contract Act, export controls rules and Department of Defense (DOD) security regulations, as well as many other laws and regulations.
The company is subject to the U.S. Foreign Corrupt Practices Act and similar anti-bribery laws, which generally prohibit companies and their intermediaries from making improper payments to foreign government officials for the purpose of obtaining or retaining business.
To the extent the company exports technical services, data and products outside of the U.S., the company is subject to the U.S. and international laws and regulations governing international trade and exports, including, but not limited to, the International Traffic in Arms Regulations, the Export Administration Regulations, and trade sanctions against embargoed countries. The company provides services to the DOD and other defense-related entities that often require specialized professional qualifications and security clearances. In addition, as engineering design services professionals, the company is subject to a variety of local, state, federal, and foreign licensing and permit requirements and ethics rules.
History
AECOM was founded in 1980. The company was incorporated in 1980.
