Sealcoating-only sales for the 2017 Sealcoating 50 totaled $112,311,455 – a significant decline from last year’s $201,503,509 (and less than half of the sealcoating-only sales totals at their 2015 peak of $249 million). But as with other segments, this list was reduced by one-third due to fewer contractors completing the survey form.
Correspondingly, total sales for all the work the 2017 Sealcoating 50 did was $885,005,566, down from $1.299 billion last year, which was down from $1.531 billion in 2015 (which was a more than 50% jump from $1.058 billion in 2014).
Sealcoating-only sales trailed all other industry segments, with paving-only sales surpassing $503 million, pavement repair-only sales coming in second at more than $165 million, and striping-only sales topping $139 million.
Keeping in line with the other sealcoating segment results, average sealcoating-only sales were $2,246,229, down from $2,756,143 last year and from $3.3 million in 2015. But average sealcoating-only sales were up from the 2014 average figure of $2 million.
Sealcoating-only sales represent 13% of total Sealcoating 50 list sales (15% last year), with the other sales the result of a broad mix of pavement maintenance-related work, including:
· 42 companies perform paving work (84%)
· 47 companies perform striping work (94%)
· 43 companies perform pavement repair work (86%)
As these figures indicate, the Sealcoating 50 represent a snapshot of the diversity within the industry as almost all list members perform other pavement maintenance services.
As the profit margin chart on this page shows, contractor profit margins within the Sealcoating 50 continue to shift upwards. The percentage of contractors reporting margins of greater than 15% rose from 26% in 2016 to 44% this year. Sealcoating 50 contractors also reported a jump from 28% to 33% in margins of 10-15%. So contractors reporting margins of greater than 10% rose from 64% in 2016 to 77% this year. But it’s fair to say that at least some of that increase results from cutting 25 of the smaller contractors from the list.
Where Sealcoaters Work
There’s no question that the Sealcoating 50 emphasize off-road work, with 10% reporting 100% of sales from parking lots, 18% reporting 90% or more of sales from parking lots, and 66% reporting sales from sealcoating driveways. All of the Sealcoating 50 indicated they generate sales from parking lot work. Still, 58% report sales from work on streets and 16% report they work on highways.
The Sealcoating 50’s Customers
· 49 contractors work for commercial/industrial customers (98%)
· 44 contractors work for multi-family residential customers (88%)
· 38 contractors work for municipal clients (76%)
· 26 contractors work for single-family homeowners (52%)
