TOUGH IN TURBULENT TIMES

Despite a significant increase in the total value of the d&ri100 compared to last year, the latest ranking highlights the changing market conditions contractors are facing all over the world

The 2024 d&ri100 ranking reveals that the world’s largest demolition contractors continued to grow in 2023, despite a complex global environment marked by rising costs, inflation, and declines in construction activity.

This is an edited version of that list, which first appeared in the November-December issue of Demolition & Recycling and featured the top 100 players in the sector, as opposed to the top 25 in this ranking.

With a combined turnover of US$8.2 billion – an increase from $7.7 billion in 2022 – the sector demonstrated a level of resilience that reflects its adaptability, commitment to sustainability, and ability to meet shifting demands across global markets.

Ramboll Group-Pfizer won in the Safety & Training category at the World Demolition Summit 2024

IMAGE: RAMBOLL

Growth in a difficult market

The nearly $500 million increase in turnover from the previous listing highlights how leading demolition companies have positioned themselves to capture new opportunities. This growth is noteworthy in light of the recent construction activity slowdown, especially in regions such as Europe where economic pressures have been significant. While North American contractors have been buoyed by infrastructure spending, new environmental regulations in Europe continue to present challenges for smaller firms.

The world’s largest demolition contractors continued to grow in 2023

IMAGE: ADOBE STOCK

Although challenges persist, the sector’s turnover increase points to a core of financial and operational flexibility that has allowed companies to withstand – and even thrive – in adverse conditions. This upward trend reflects the essential role of demolition in critical infrastructure renewal, sustainable building practices, and urban redevelopment.

Regional variations

In Europe, contractors collectively accounted for approximately $4.3 billion in turnover, making up the largest share of the global demolition market.

Sustainability has driven contractors to invest in eco-friendly practices and advanced equipment. Hagedorn, based in Germany, is one example, specialising in the dismantling of industrial buildings, power plants, and chemical facilities, with services that include on-site dismantling and structural analysis. This focus on environmentally conscious demolition aligns with Europe’s tighter regulations on emissions and material recycling, positioning contractors to which has the right skills, to lead in sustainable practices. North America contributed roughly $3.5 billion to the d&ri100 total, supported by significant infrastructure spending and public projects.

Contractors in the US and Canada continue to benefit from federal investment, particularly under the Infrastructure Investment and Jobs Act, which has provided a steady pipeline of public projects. What happens under the incoming Trump administration remains to be seen, although the US construction industry seems to be cautiously optimistic.

Shifting focus

US-based Dickson Company responded to a slowdown in private-sector activity by pivoting towards federal and state-funded work, securing projects such as large campus demolitions. This adaptability is indicative of a regional shift toward government-backed contracts as a reliable revenue source.

Thompsons of Prudhoe’s Redcar Blast Furnace project IMAGE: THOMPSONS OF PRUDHOE

Meanwhile, contractors in markets such as South America and Asia are capitalising on increasing industrial activity. Flesan from Chile stands out with its work on large-scale industrial closures and mining projects, including the Pierina mining site in Peru.

The company’s recent acquisition of asbestos detection technology further emphasises a commitment to health and safety compliance in emerging markets. As urbanisation continues in these regions, demand for demolition services is expected to grow in the long-term, offering international contractors new areas for expansion.

Financial performance

Despite higher input costs, some contractors have managed to improve profitability by taking on strategic projects. The latest ranking of the table underscores the demolition industry’s adaptability and technical growth. By diversifying project portfolios, modernising fleets, and embracing sustainable practices, contractors are well-prepared to navigate the challenges and opportunities of the year ahead.

Demolition and recycling – like the rest of construction – is suffering a skills shortage

IMAGE: ADOBE STOCK

ABOUT DEMOLITION & RECYCLING INTERNATIONAL

Demolition & Recycling International magazine is the leading magazine for demolition and recycling professionals. It is published four times a year and holds the industry-leading event, the World Demolition Summit, every year. The d&ri100, a list of the top 100 demolition companies by turnover – of which this article is an edited version – was first published in the NovemberDecember issue.