ORN Releases Investor Update
- Business & Finance
Orion Marine Group, Inc. (ORN), a heavy civil marine contractor serving the infrastructure sector, has provided its investors with an update on the company’s end markets.
The company currently has approximately $354 million worth of bids outstanding; of which the company has been notified it is the apparent low bidder on approximately $28 million.
Additionally, of the $354 million currently outstanding, approximately 60% are for private sector clients, many of which are larger design-build opportunities.
Federal & State Update
With funding in place for the remainder of the 2015 federal fiscal year, the company expected to see more lettings in the first quarter of the calendar year from the U.S. Army Corps of Engineers.
Initial bid letting schedules from the Corps indicated a steady amount of opportunities throughout 2015, yet only half of the opportunities expected in the company’s market areas to date have been let.
Port expansion and infrastructure improvements continue to be a strong source of bid opportunities. According to ORN, the use of waterborne transportation to move goods and people continues to increase, demand for deepening projects, infrastructure improvements and maintenance services will remain strong for the foreseeable future.
As the expansion of the Panama Canal continues, the company is working on and continuing to see opportunities for deepening projects and infrastructure to handle the larger ships that will soon transit the Canal.
Private sector opportunities continue, as demand for expanded waterside infrastructure remains strong. As mentioned previously, ORN is still active in bidding on and executing capital expansion projects for private sector clients, both domestically and abroad.
During the first quarter, the company bid on approximately $320 million worth of opportunities and was successful on approximately $50 million, representing a win rate of approximately 16%.