Sealcoating-only sales for the 2018 Sealcoating 75 totaled $171,183,959 – continuing a downward trend from a peak of $249 million in 2015 and just over $201 million in 2016. (In 2017 the Sealcoating Top Contractor list contained only 50 companies so the sales figures really aren’t comparable.)
However, total sales for all the work the 2018 Sealcoating 75 totaled $1,249,301,245 – almost reaching the $1.299 billion of 2016 (compared to $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 $633 million, pavement repair-only sales coming in second at more than $265 million, and striping-only sales topping $143 million.
Sealcoating-only sales represent 14% of total Sealcoating 75 list sales, up slightly from 13% in 2017 (50 companies) but down still from 15% in 2016. The remaining sales represent a broad mix of pavement maintenance-related work, including:
- 63 companies perform paving work (84%)
- 65 companies perform striping work (87%)
- 65 companies perform pavement repair work (87%)
As in the past, the sealcoating list results demonstrate the diversity within the industry – in fact, none of the 75 companies on the list performs only sealcoating and only six of the companies generate 75% or more of sales from sealcoating.
Profit Margins
Last year profit margins of the list tipped toward the high end – most likely because cutting the list back to 50 companies removed contractors with less sales volume. This year 4% of contractors on the list report margins of less than 3%; 1% report margins between 3-5%; 29% report margins of 5-10%; 37% report margins of 10-15%; and 29% report margins of greater than 15%. As the chart on this page shows, fewer contractors are earning the high-end margins while both the middle ranges increased.
Despite this shift downward from the highest margin levels, 65% of Sealcoating 75 contractors reported margins of 10% or more, equaling the percentage in 2016 – the last time the list contained 75 companies.
Where Sealcoaters Work
Not surprisingly, the Sealcoating 75 emphasize off-road work, with 9% reporting 100% of sales from parking lots, another 25% reporting 90% or more of sales from parking lots, and 63% reporting sales from sealcoating driveways. All of the Sealcoating 75 indicated they generate sales from parking lot work. Still, 39% report sales from work on streets and 13% report they work on highways.
The Sealcoating 75’s Customers
- 75 contractors work for commercial/industrial customers (100%)
- 65 contractors work for multi-family residential customers (87%)
- 46 contractors work for municipal clients (54%)
- 47 contractors work for single-family homeowners (63%)
