EMCOR Group NYSE: EME is a Fortune 500 company based in Norwalk, Connecticut. EMCOR is a mechanical and electrical construction contractor.
EMCOR Group, Inc. (EMCOR) is an electrical and mechanical construction and facilities services company in the United States, Canada, United Kingdom and worldwide. The Company operates through six segments: United States electrical construction and facilities services, which involves systems for electrical power transmission and distribution, premises electrical and lighting systems, low-voltage systems, such as fire alarm, security and process control, voice and data communication, roadway and transit lighting, and fiber optic lines); United States mechanical construction and facilities services, which involves systems for heating, ventilation, air conditioning (HVAC), refrigeration and clean-room process ventilation, fire protection, plumbing, process and high-purity piping, water and wastewater treatment, and central plant heating and cooling; United States facilities services; Canada construction and facilities services; United Kingdom construction and facilities services, and other international construction and facilities services. In February 2010, the Company acquired Scalise Industries. In October 2010, the Company acquired Harry Pepper & Associates, Inc. In February 2011, the Company acquired Bahnson Holdings, Inc.
The Company specializes in providing construction services relating to electrical and mechanical systems in facilities of all types and in providing services for the operation, maintenance and management of all aspects of such facilities, referred to as facilities services. The Company provides services to a range of commercial, industrial, utility and institutional customers through approximately 75 operating subsidiaries and joint venture entities.
EMCOR designs, integrates, installs, operates and maintains various electrical and mechanical systems, including electric power transmission and distribution systems; premises electrical and lighting systems; low-voltage systems; voice and data communications systems; roadway and transit lighting and fiber optic lines; heating, ventilation, air conditioning, refrigeration and clean-room process ventilation systems; fire protection systems; water and wastewater treatment systems, and central plant heating and cooling systems. The Company provides construction services and facilities services directly to corporations, municipalities and other governmental entities, owners/developers and tenants of buildings.
The Company’s facilities services businesses, which support the operation of a customer’s facilities, include industrial maintenance and services; outage services to utilities and industrial plants; commercial and government site-based operations and maintenance; military base operations support services; mobile maintenance and services; facilities management; installation and support for building systems; technical consulting and diagnostic services; small modification and retrofit projects; retrofit projects to comply with clean air laws; program development, management and maintenance for energy systems, and shop and on-site field services for refineries and petrochemical plants.
Electrical and mechanical construction services primarily involve the design, integration, installation and start-up of electric power transmission and distribution systems, including power cables, conduits, distribution panels, transformers, generators, uninterruptible power supply systems and related switch gear and controls; premises electrical and lighting systems, including fixtures and controls; low-voltage systems, such as fire alarm, security and process control systems; voice and data communications systems, including fiber-optic and low-voltage cabling; roadway and transit lighting and fiber-optic lines; plumbing, process and high-purity piping systems; water and wastewater treatment systems, and central plant heating and cooling systems. The Company provides electrical and mechanical construction services for both large and small installation and renovation projects.
EMCOR’s projects include those for institutional use (such as water and wastewater treatment facilities, hospitals, correctional facilities and research laboratories); for industrial use (such as pharmaceutical plants, steel, pulp and paper mills, chemical, food, automotive and semiconductor manufacturing facilities and oil refineries); for transportation projects (such as highways, airports and transit systems); for commercial use (such as office buildings, data centers, hotels, casinos, convention centers, sports stadiums, shopping malls and resorts), and for power generation and energy management projects. The Company performs services pursuant to contracts with owners, such as corporations, municipalities and other governmental entities, general contractors, systems suppliers, construction managers, developers, other subcontractors and tenants of commercial properties.
The Company installs and maintains lighting for streets, highways, bridges and tunnels, traffic signals, computerized traffic control systems, and signal and communication systems for mass transit systems in several metropolitan areas. In the United States, the Company manufactures and installs sheet metal air handling systems for both its own mechanical construction operations and for unrelated mechanical contractors. It also maintains welding and pipe fabrication shops in support of some of its mechanical operations. EMCOR’s United States facilities services business provides facilities services to a range of commercial, industrial and institutional facilities, including both those, for which the Company has provided construction services and those, for which construction services were provided by others. Facilities services are bundled to provide integrated service packages and are provided on a mobile basis or by its employees based at customer sites.
The Company’s United States facilities services division offers a range of facilities services, including maintenance and service of electrical and mechanical systems. It provide facilities services in the states in the United States and as part of its operations are responsible for the oversight of all or most of the facilities operations of a business, including operation and maintenance; the oversight of logistical processes; servicing, upgrade and retrofit of HVAC, electrical, plumbing and industrial piping and sheet metal systems in existing facilities; diagnostic and solution engineering for building systems and their components; maintenance and support services to manufacturers and power producers, and shop and onsite field services for refineries and petrochemical plants.
The EMCOR Energy Services business, which is part of the Company’s facilities services segment designs, constructs and operates energy-related projects and facilities on a turnkey basis. The Company operates several central heating and cooling plants/power and cogeneration facilities and provided maintenance services for high-voltage and boiler systems under multi-year contracts. In addition, it provided consulting and national program energy management services under multi-year agreements and energy efficiency system retrofits. Its energy services projects include engineering, procurement and construction of a process landfill gas blending system and chilled water plant for the University of New Hampshire; construction of multi-megawatt cogeneration plants for Ortho-McNeil Pharmaceutical, the University of New Hampshire and Plumas-Sierra Rural Electric Cooperative; provision of evaluation, engineering, project development, and construction management services for the San Francisco Public Utilities Commission, Pacific Gas & Electric Company and Southern California Edison for self generation and alternative generation projects and a range of conservation and efficiency projects, and multi-trade maintenance agreements for Evergreen Packaging, Georgia Pacific and Continental Tire.
The Company has its origins in Jamaica Water Projects Inc. (subsequently known as JWP Inc.), a company established in 1966 which emerged from Chapter 11 and was restructured and established in its present form as a contractor with electrical & mechanical contracting as its core activity (hence Emcor) in 1994.
One of the first major acquisitions it made was Baltimore-based Poole & Kent in 1999.
It increased its involvement in facilities management when it bought Siemens's facilities management in 2003.
In July 2007, EMCOR acquired a pair of California HVAC services providers: Air Systems Inc, based in San Jose, and Fuller Air, based in San Diego.
In August 2007, EMCOR purchased Ohmstede Limited headquartered in Beaumont, Texas, a shell and tube heat exchanger manufacturer that employs over 500 people, for $455 million.
In January 2008 EMCOR announced the release of EMCOR360, a facilities management product powered by utiliVisor software. EMCOR360 collects energy data directly from from a facility's HVAC systems to determine less than optimal systems operations. EMCOR360 Certified Energy Managers then make recommendations to the facility's operating engineers to improve system performance and conserve energy.
By early 1995, JWP had emerged from bankruptcy under the leadership of newly elected chairman, president, and CEO Frank T. MacInnis. The company changed its name to EMCOR Group Inc. to signal its focus on key business segments related to its electrical and mechanical construction services. (EMCOR is a fusion of the words electrical, mechanical, and core.) Company headquarters were moved from Rye Brook, New York, to Norwalk, Connecticut. In 1996, the firm sold its Jamaica Water Supply unit, leaving behind the company that had originally provided the backbone for the business in the 1960s.
EMCOR indeed turned over a new leaf with its reorganization and immediately began to reap the benefits of its new, leaner, business structure. Over the next several years, the company secured its position as a world leader in its market segments by diversifying its customer base in both the public and private sectors as well as taking a conservative, long-term approach to business decisions. From 1995 to 2003, the company recorded 32 consecutive quarters of profits, a remarkable feat for any company, especially one emerging from bankruptcy protection. According to a 2003 Fairfield County Business Journal article, much of the company's success could be attributed to MacInnis, who "saved it from going bust, and transformed it from an underdog to the number-two player in the industry--shifting the company's primary business from water utility to electrical and mechanical construction and facilities management."
EMCOR bolstered its holdings in 2002 with the purchase of 19 companies from Comfort Systems USA, which gave it a foothold in the midwestern U.S. construction and services industry. A second purchase followed in December when the firm added Virginia-based Consolidated Engineering Services Inc. to its arsenal. The deal secured EMCOR's position as the leading facilities management concern in the United States. By now, the company's turnaround from the mid-1990s and its overall success had garnered industry attention. In 2003 alone, EMCOR was named one of "America's Most Admired Companies" by Fortune magazine, ranked 37 on Barron's "Top 500 Best Performing Companies" list, and awarded the Frost & Sullivan Competitive Strategy Award for its expansion efforts in the facilities management services market.
The soft economy that continued into 2003, however, threatened to challenge the company's financial achievements. Nevertheless, MacInnis and his management team remained confident that EMCOR was on a path for success for years to come. Through its "growth through diversity" strategy--which focused on broadening company services, branching out into new geographical areas, and moving into new markets sectors--EMCOR appeared to be well positioned for future growth.
Principal Subsidiaries: Aircond Corporation; BALCO; Betlem Service Corporation; Building Technology Engineers Inc.; Combustioneer Corporation; Commonwealth Air Conditioning & Heating Inc.; Consolidating Engineering Services Inc.; Duffy Mechanical Corp.; Dynalectric Companies; EMCOR Energy & Technologies Inc.; EMCOR Facilities Services Inc.; F & G Mechanical Corporation; Forest Electric Corporation; Gotham Air Conditioning Service Inc.; Heritage Mechanical Services Inc.; J.C. Higgins Corporation; Labov Mechanical Inc.; Mandell Mechanical Corporation; Meadowlands Fire Protection Corporation; New England Mechanical Services Inc.; North Jersey Mechanical Contractors Inc.; Penguin Air Conditioning Corporation; Poole & Kent Northern Operations; Poole & Kent Southern Operations; R.S. Harritan & Company Inc.; Trimech Corporation; Tucker Mechanical; Welsbach Electric Corporation; Comstock Canada Ltd.; EMCOR Drake & Scull Group Inc. (U.K.).
Principal Competitors: Integrated Electrical Services Inc.; Quanta Services Inc.
OVERALL
Beta: 1.65
Market Cap (Mil.): $2,072.88
Shares Outstanding (Mil.): 66.85
Annual Dividend: --
Yield (%): --
FINANCIALS
EME Industry Sector
P/E (TTM): -- 40.16 16.70
EPS (TTM): -160.32 -- --
ROI: -4.94 1.06 3.22
ROE: -6.92 1.48 5.81
Statistics:
Public Company
Incorporated: 1966 as Jamaica Water Supply Company
Employees: 26,000
Sales: $3.968 billion (2002)
Stock Exchanges: New York
Ticker Symbol: EME
NAIC: 235110 Plumbing, Heating, and Air-Conditioning Contractors; 235310 Electrical Contractors; 235950 Building Equipment and Other Machinery Installation Contractors
Key Dates:
1966: Jamaica Water Supply Company is launched to provide water to Nassau County, Long Island, and Queens, New York.
1971: Welsbach Corp., a Philadelphia-based electrical contracting concern, is acquired.
1978: Andrew T. Dwyer begins to restructure the financially ailing company.
1986: The firm adopts the name JWP Inc.
1991: Businessland is added to the company's arsenal.
1993: The company launches a major restructuring effort and files for Chapter 11 bankruptcy protection.
1995: The firm is reorganized as EMCOR Group Inc.
2002: EMCOR acquires 19 companies from Comfort Systems USA and purchases Consolidated Engineering Services Inc.
Name Age Since Current Position
MacInnis, Frank 64 2011 Non-Executive Chairman of the Board
Guzzi, Anthony 47 2011 President, Chief Executive Officer, Director
Pompa, Mark 46 2007 Chief Financial Officer, Executive Vice President
Cammaker, Sheldon 71 1997 Executive Vice President, Secretary, General Counsel
Matz, R. Kevin 52 2007 Executive Vice President - Shared Services
Bershad, Stephen 69 1994 Independent Director
Brown, David 67 1994 Independent Director
Fried, Albert 81 1994 Independent Director
Hamm, Richard 51 1998 Independent Director
Yonker, Michael 68 2002 Independent Director
Bump, Larry 71 2003 Independent Director
Ryan, Jerry 68 2007 Independent Director
Laidley, David 64 2008 Independent Director
Address:
301 Merritt Seven Corporate Park
Sixth Floor
Norwalk, Connecticut 06851
U.S.A.
EMCOR Group, Inc. (EMCOR) is an electrical and mechanical construction and facilities services company in the United States, Canada, United Kingdom and worldwide. The Company operates through six segments: United States electrical construction and facilities services, which involves systems for electrical power transmission and distribution, premises electrical and lighting systems, low-voltage systems, such as fire alarm, security and process control, voice and data communication, roadway and transit lighting, and fiber optic lines); United States mechanical construction and facilities services, which involves systems for heating, ventilation, air conditioning (HVAC), refrigeration and clean-room process ventilation, fire protection, plumbing, process and high-purity piping, water and wastewater treatment, and central plant heating and cooling; United States facilities services; Canada construction and facilities services; United Kingdom construction and facilities services, and other international construction and facilities services. In February 2010, the Company acquired Scalise Industries. In October 2010, the Company acquired Harry Pepper & Associates, Inc. In February 2011, the Company acquired Bahnson Holdings, Inc.
The Company specializes in providing construction services relating to electrical and mechanical systems in facilities of all types and in providing services for the operation, maintenance and management of all aspects of such facilities, referred to as facilities services. The Company provides services to a range of commercial, industrial, utility and institutional customers through approximately 75 operating subsidiaries and joint venture entities.
EMCOR designs, integrates, installs, operates and maintains various electrical and mechanical systems, including electric power transmission and distribution systems; premises electrical and lighting systems; low-voltage systems; voice and data communications systems; roadway and transit lighting and fiber optic lines; heating, ventilation, air conditioning, refrigeration and clean-room process ventilation systems; fire protection systems; water and wastewater treatment systems, and central plant heating and cooling systems. The Company provides construction services and facilities services directly to corporations, municipalities and other governmental entities, owners/developers and tenants of buildings.
The Company’s facilities services businesses, which support the operation of a customer’s facilities, include industrial maintenance and services; outage services to utilities and industrial plants; commercial and government site-based operations and maintenance; military base operations support services; mobile maintenance and services; facilities management; installation and support for building systems; technical consulting and diagnostic services; small modification and retrofit projects; retrofit projects to comply with clean air laws; program development, management and maintenance for energy systems, and shop and on-site field services for refineries and petrochemical plants.
Electrical and mechanical construction services primarily involve the design, integration, installation and start-up of electric power transmission and distribution systems, including power cables, conduits, distribution panels, transformers, generators, uninterruptible power supply systems and related switch gear and controls; premises electrical and lighting systems, including fixtures and controls; low-voltage systems, such as fire alarm, security and process control systems; voice and data communications systems, including fiber-optic and low-voltage cabling; roadway and transit lighting and fiber-optic lines; plumbing, process and high-purity piping systems; water and wastewater treatment systems, and central plant heating and cooling systems. The Company provides electrical and mechanical construction services for both large and small installation and renovation projects.
EMCOR’s projects include those for institutional use (such as water and wastewater treatment facilities, hospitals, correctional facilities and research laboratories); for industrial use (such as pharmaceutical plants, steel, pulp and paper mills, chemical, food, automotive and semiconductor manufacturing facilities and oil refineries); for transportation projects (such as highways, airports and transit systems); for commercial use (such as office buildings, data centers, hotels, casinos, convention centers, sports stadiums, shopping malls and resorts), and for power generation and energy management projects. The Company performs services pursuant to contracts with owners, such as corporations, municipalities and other governmental entities, general contractors, systems suppliers, construction managers, developers, other subcontractors and tenants of commercial properties.
The Company installs and maintains lighting for streets, highways, bridges and tunnels, traffic signals, computerized traffic control systems, and signal and communication systems for mass transit systems in several metropolitan areas. In the United States, the Company manufactures and installs sheet metal air handling systems for both its own mechanical construction operations and for unrelated mechanical contractors. It also maintains welding and pipe fabrication shops in support of some of its mechanical operations. EMCOR’s United States facilities services business provides facilities services to a range of commercial, industrial and institutional facilities, including both those, for which the Company has provided construction services and those, for which construction services were provided by others. Facilities services are bundled to provide integrated service packages and are provided on a mobile basis or by its employees based at customer sites.
The Company’s United States facilities services division offers a range of facilities services, including maintenance and service of electrical and mechanical systems. It provide facilities services in the states in the United States and as part of its operations are responsible for the oversight of all or most of the facilities operations of a business, including operation and maintenance; the oversight of logistical processes; servicing, upgrade and retrofit of HVAC, electrical, plumbing and industrial piping and sheet metal systems in existing facilities; diagnostic and solution engineering for building systems and their components; maintenance and support services to manufacturers and power producers, and shop and onsite field services for refineries and petrochemical plants.
The EMCOR Energy Services business, which is part of the Company’s facilities services segment designs, constructs and operates energy-related projects and facilities on a turnkey basis. The Company operates several central heating and cooling plants/power and cogeneration facilities and provided maintenance services for high-voltage and boiler systems under multi-year contracts. In addition, it provided consulting and national program energy management services under multi-year agreements and energy efficiency system retrofits. Its energy services projects include engineering, procurement and construction of a process landfill gas blending system and chilled water plant for the University of New Hampshire; construction of multi-megawatt cogeneration plants for Ortho-McNeil Pharmaceutical, the University of New Hampshire and Plumas-Sierra Rural Electric Cooperative; provision of evaluation, engineering, project development, and construction management services for the San Francisco Public Utilities Commission, Pacific Gas & Electric Company and Southern California Edison for self generation and alternative generation projects and a range of conservation and efficiency projects, and multi-trade maintenance agreements for Evergreen Packaging, Georgia Pacific and Continental Tire.
The Company has its origins in Jamaica Water Projects Inc. (subsequently known as JWP Inc.), a company established in 1966 which emerged from Chapter 11 and was restructured and established in its present form as a contractor with electrical & mechanical contracting as its core activity (hence Emcor) in 1994.
One of the first major acquisitions it made was Baltimore-based Poole & Kent in 1999.
It increased its involvement in facilities management when it bought Siemens's facilities management in 2003.
In July 2007, EMCOR acquired a pair of California HVAC services providers: Air Systems Inc, based in San Jose, and Fuller Air, based in San Diego.
In August 2007, EMCOR purchased Ohmstede Limited headquartered in Beaumont, Texas, a shell and tube heat exchanger manufacturer that employs over 500 people, for $455 million.
In January 2008 EMCOR announced the release of EMCOR360, a facilities management product powered by utiliVisor software. EMCOR360 collects energy data directly from from a facility's HVAC systems to determine less than optimal systems operations. EMCOR360 Certified Energy Managers then make recommendations to the facility's operating engineers to improve system performance and conserve energy.
By early 1995, JWP had emerged from bankruptcy under the leadership of newly elected chairman, president, and CEO Frank T. MacInnis. The company changed its name to EMCOR Group Inc. to signal its focus on key business segments related to its electrical and mechanical construction services. (EMCOR is a fusion of the words electrical, mechanical, and core.) Company headquarters were moved from Rye Brook, New York, to Norwalk, Connecticut. In 1996, the firm sold its Jamaica Water Supply unit, leaving behind the company that had originally provided the backbone for the business in the 1960s.
EMCOR indeed turned over a new leaf with its reorganization and immediately began to reap the benefits of its new, leaner, business structure. Over the next several years, the company secured its position as a world leader in its market segments by diversifying its customer base in both the public and private sectors as well as taking a conservative, long-term approach to business decisions. From 1995 to 2003, the company recorded 32 consecutive quarters of profits, a remarkable feat for any company, especially one emerging from bankruptcy protection. According to a 2003 Fairfield County Business Journal article, much of the company's success could be attributed to MacInnis, who "saved it from going bust, and transformed it from an underdog to the number-two player in the industry--shifting the company's primary business from water utility to electrical and mechanical construction and facilities management."
EMCOR bolstered its holdings in 2002 with the purchase of 19 companies from Comfort Systems USA, which gave it a foothold in the midwestern U.S. construction and services industry. A second purchase followed in December when the firm added Virginia-based Consolidated Engineering Services Inc. to its arsenal. The deal secured EMCOR's position as the leading facilities management concern in the United States. By now, the company's turnaround from the mid-1990s and its overall success had garnered industry attention. In 2003 alone, EMCOR was named one of "America's Most Admired Companies" by Fortune magazine, ranked 37 on Barron's "Top 500 Best Performing Companies" list, and awarded the Frost & Sullivan Competitive Strategy Award for its expansion efforts in the facilities management services market.
The soft economy that continued into 2003, however, threatened to challenge the company's financial achievements. Nevertheless, MacInnis and his management team remained confident that EMCOR was on a path for success for years to come. Through its "growth through diversity" strategy--which focused on broadening company services, branching out into new geographical areas, and moving into new markets sectors--EMCOR appeared to be well positioned for future growth.
Principal Subsidiaries: Aircond Corporation; BALCO; Betlem Service Corporation; Building Technology Engineers Inc.; Combustioneer Corporation; Commonwealth Air Conditioning & Heating Inc.; Consolidating Engineering Services Inc.; Duffy Mechanical Corp.; Dynalectric Companies; EMCOR Energy & Technologies Inc.; EMCOR Facilities Services Inc.; F & G Mechanical Corporation; Forest Electric Corporation; Gotham Air Conditioning Service Inc.; Heritage Mechanical Services Inc.; J.C. Higgins Corporation; Labov Mechanical Inc.; Mandell Mechanical Corporation; Meadowlands Fire Protection Corporation; New England Mechanical Services Inc.; North Jersey Mechanical Contractors Inc.; Penguin Air Conditioning Corporation; Poole & Kent Northern Operations; Poole & Kent Southern Operations; R.S. Harritan & Company Inc.; Trimech Corporation; Tucker Mechanical; Welsbach Electric Corporation; Comstock Canada Ltd.; EMCOR Drake & Scull Group Inc. (U.K.).
Principal Competitors: Integrated Electrical Services Inc.; Quanta Services Inc.
OVERALL
Beta: 1.65
Market Cap (Mil.): $2,072.88
Shares Outstanding (Mil.): 66.85
Annual Dividend: --
Yield (%): --
FINANCIALS
EME Industry Sector
P/E (TTM): -- 40.16 16.70
EPS (TTM): -160.32 -- --
ROI: -4.94 1.06 3.22
ROE: -6.92 1.48 5.81
Statistics:
Public Company
Incorporated: 1966 as Jamaica Water Supply Company
Employees: 26,000
Sales: $3.968 billion (2002)
Stock Exchanges: New York
Ticker Symbol: EME
NAIC: 235110 Plumbing, Heating, and Air-Conditioning Contractors; 235310 Electrical Contractors; 235950 Building Equipment and Other Machinery Installation Contractors
Key Dates:
1966: Jamaica Water Supply Company is launched to provide water to Nassau County, Long Island, and Queens, New York.
1971: Welsbach Corp., a Philadelphia-based electrical contracting concern, is acquired.
1978: Andrew T. Dwyer begins to restructure the financially ailing company.
1986: The firm adopts the name JWP Inc.
1991: Businessland is added to the company's arsenal.
1993: The company launches a major restructuring effort and files for Chapter 11 bankruptcy protection.
1995: The firm is reorganized as EMCOR Group Inc.
2002: EMCOR acquires 19 companies from Comfort Systems USA and purchases Consolidated Engineering Services Inc.
Name Age Since Current Position
MacInnis, Frank 64 2011 Non-Executive Chairman of the Board
Guzzi, Anthony 47 2011 President, Chief Executive Officer, Director
Pompa, Mark 46 2007 Chief Financial Officer, Executive Vice President
Cammaker, Sheldon 71 1997 Executive Vice President, Secretary, General Counsel
Matz, R. Kevin 52 2007 Executive Vice President - Shared Services
Bershad, Stephen 69 1994 Independent Director
Brown, David 67 1994 Independent Director
Fried, Albert 81 1994 Independent Director
Hamm, Richard 51 1998 Independent Director
Yonker, Michael 68 2002 Independent Director
Bump, Larry 71 2003 Independent Director
Ryan, Jerry 68 2007 Independent Director
Laidley, David 64 2008 Independent Director
Address:
301 Merritt Seven Corporate Park
Sixth Floor
Norwalk, Connecticut 06851
U.S.A.
Last edited: