Industry Analysis & Industry Trends
The Construction Machinery and Operator Hire industry generates the bulk of its revenue from work on high-rise projects in the commercial building and apartment construction markets. These projects require cranes, pile-driving and pumping equipment to erect multistorey buildings or install heavy structural components (e.g. steel girders, precast concrete panels and beams and concrete pours). However, since the late 2000s, the largest players have tended to focus on servicing the mining and infrastructure markets, including the erection of transmission equipment, pipelines and wind turbines.
The industry is projected to generate revenue totalling $3.0 billion in 2014-15, which represents a decline of 2.7%... purchase to read more
Industry Report - Industry Investment Chapter
The industry has a moderate level of capital intensity due to the heavy investment into large-scale construction equipment such as mobile cranes (e.g. truck mounted), fixed cranes (e.g. tower cranes), pneumatic concrete conveyors, pumps and construction site hoists. While capital equipment requirements are integral, the industry's value added is derived from the supply of skilled labour services with the hire of specialist construction equipment. Therefore, labour remains a vital input to the industry.
Total industry labour costs account for approximately 44.8% of revenue in 2014-15, and depreciation charges accounts for about 10.0% of revenue. This indicates that the industry spends $4.48 on labour for every dollar spent on capital equipment input to production... purchase to read more