Balfour Beatty Looks for Growth Opportunities in US

The company sees major opportunities on the horizon.

Source : Wikimedia

January 26, 2026

Author : Patty Allen

While Balfour Beatty plc continues to face many challenges relating to its U.S. construction business, it is placing additional emphasis on finding growth opportunities within the U.S., primarily by establishing a greater presence in certain regional markets, where there are still high levels of construction activity, such as data centers, hospitals, etc. 

Balfour Beatty is a global construction company headquartered in London, England, but his heavily involved in North America.

Balfour Beatty's U.S. Civils division has had a mixed performance recently, despite the company having strong international order books and performing well in the UK. So far in 2025, the U.S. construction operation has incurred losses totalling £11 million primarily due to higher-than-anticipated costs and subsequent design-related rework associated with a Texas highway project.

Nonetheless, the firm remains steadfast in its strategic bidding initiatives and award pursuits in the future. Additionally, the company's U.S. Order Book is expected to experience a growth rate of over 10% by 2025 because of growth in the Southeast on the correctional facilities side of the business, as well as with data center projects taking place in Virginia and Oregon.

A recent successful contract win by Balfour Beatty in Texas has motivated the company to pursue further expansion in the United States. The company's recent transportation contract award totaling $889 million from the Texas Department of Transportation to repave sections of Interstate 30, is proof of its value and represents a key event in solidifying Balfour Beatty's standing as a leader among U.S. civil infrastructure providers in Texas. 

The company recently entered into a $889 million contract for road repair work in Texas. This road repair contract represents an extension of prior Balfour Beatty contract wins and is indicative of the company's desire to become more involved in the U.S. public works sector.

While Balfour Beatty has seen revenue growth in its U.S. buildings segment, especially in the government, education, and commercial market segments, the industries and execution challenges in heavy-civil work limit the company's profits. As a result of these two factors, the company has developed a U.S. strategy that places an emphasis on areas with significant backlogs for continued growth while also addressing the operational challenges associated with the delivery of large, complex infrastructure projects.

Industry analysts suggest that Balfour Beatty should use the growth potential of the high-value sectors of data centers and specialized facilities to take advantage of the long-term U.S. growth opportunities available, while simultaneously maintaining a strong presence in an extremely competitive, capital-intensive environment for transportation and large civil work projects.

Balfour Beatty's increased focus on these segments fits into its global strategy of focusing on obtaining disciplined, high-quality project wins and optimising the performance mix of its projects by region within the global marketplace. 

The continued investment in operations in the United States, along with targeted project selection, will allow the Company to position itself for further expansion in this market, which is an important component of its international portfolio.

Category : Market Watch

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