The builder, the Baker, the blueprint maker. Michael Baker Corporation (Baker) offers architecture, engineering, and construction management and consulting services to the public and private sectors. Baker, which has around 110 offices, designs civil infrastructure, transportation, and commercial projects. Services also include project management, surveying, mapping, interior design, and landscaping. Federal government, along with state and local government contracts account for about 80% of annual sales. The company often earns contracts from government entities such as FEMA, the Department of Defense, the Department of Homeland Security, and the US Coast Guard.
Other target markets for Baker include the aviation, environmental, municipal, rail and transit, water/wastewater, and telecommunications sectors, among others. The company has worked on a variety of projects ranging from airports and corporate headquarters to highways and bridges to data centers and pipelines.
Baker plans to continue to grow both organically and through acquisitions. It bought transportation consulting and planning firm LPA for more than $59 million in 2010. The deal strengthened Baker's presence in the Southeast and gave a boost to the company's revenues. Net income dipped that year, however, as revenue from federal clients declined and expenses rose. With government clients retrenching, Baker is placing more emphasis on the private sector.
Baker followed up the LPA deal with the 2011 acquisition of Las Vegas-based JMA Architectural Studios, which has expertise in the health care, hospitality, commercial, and public sectors. The company then bought California-based RBF Consulting, which provides infrastructure engineering and planning services in the West.
The RBF acquisition helped boost revenues for Baker in 2011. Sales were up by 8%. Income from continuing operations was up 14% that year as Baker had a decrease in its provisions for income taxes since it used foreign tax credits. Increased profits in the company's federal segment also helped contribute to the positive results.
Employees own about 10% of the company through their 401(k) plans. – less