Bowman Secures $3.8M in Water Resource Contracts

Rhea-AI Summary

Bowman Consulting Group (NASDAQ: BWMN) has secured two major water resource contracts in rural Colorado worth $3.8 million, with a combined construction value of nearly $40 million. The projects include:

1. A collection system rehabilitation featuring:

• 73,000 linear feet of sewer main replacement
• 15,000 linear feet of cured-in-place piping
• 270 manholes rehabilitation
• Two lift stations upgrades

2. A water system improvement project comprising:

• 450,000-gallon elevated storage tank construction
• 14,000 linear feet of new water lines installation

Bowman will manage the full project lifecycle, including design and construction oversight, while providing inspection and survey services. The company's long-standing relationships with both clients position it for future infrastructure initiatives.

Positive

• Secured $3.8M in new contracts with $40M total construction value
• Full project lifecycle management demonstrates comprehensive service capabilities
• Established client relationships enable recurring revenue opportunities
• Strategic expansion in water/wastewater sector through organic growth

Negative

• None.

Insights

Financial Analyst

Bowman's $3.8 million contract win represents a meaningful business development for the engineering firm, particularly with the total construction value approaching $40 million. This is significant for a company with a $427 million market cap.

The comprehensive nature of these water infrastructure projects is noteworthy - Bowman will manage the full project lifecycle from design through construction oversight. This service model typically yields stronger margins than -scope engagements and demonstrates the company's technical capabilities in the water/wastewater sector.

These contracts highlight two important aspects of Bowman's business model: organic growth and client retention. While $3.8 million represents less than 1% of market capitalization, the company's ability to leverage existing relationships into substantial new projects suggests a scalable growth strategy. The fact that Bowman had previous successful engagements with both clients indicates strong execution and customer satisfaction.

The detailed scope specifications (73,000 linear feet of sewer main, 270 manholes, etc.) suggest well-defined projects with potentially manageable execution risk. For investors, these contracts provide enhanced revenue visibility and validate Bowman's positioning in the municipal water infrastructure space - a sector benefiting from increased investment as communities address aging systems.

Wins support Bowman’s organic growth in water resources market

RESTON, Va.--(BUSINESS WIRE)-- Bowman Consulting Group Ltd. (NASDAQ: BWMN), a national engineering services and program management firm, has been awarded two major water resource contracts in rural Colorado totaling $3.8 million, including a complete collection system rehab and various water system improvements. These contracts underscore the company’s rapid expansion in the water/wastewater sector through organic growth and strategic acquisition and showcase the company’s ability to secure and service major infrastructure projects.

With a combined construction value of nearly $40 million, Bowman will oversee the full project lifecycle for both assignments, from design through construction oversight, while also providing inspection and survey services.

The collection system rehabilitation assignment includes extensive upgrade design, including replacing 73,000 linear feet of sewer main, installing 15,000 linear feet of cured-in-place piping, rehabilitating approximately 270 manholes and upgrading two lift stations. Meanwhile, the water system improvement project will enhance the capacity of a rural drinking water system and encompasses the construction of a 450,000-gallon elevated storage tank and the installation of nearly 14,000 linear feet of new water lines.

“These assignments underscore our deep expertise in revitalizing and improving aging water and wastewater infrastructure,” said Gary Bowman, chairman and CEO of Bowman. “Awards like these build on our strong client relationships and subject matter expertise, and they demonstrate the long-term rewards of our strategic growth strategy. As municipalities invest in modernizing their critical systems, Bowman remains well-positioned to provide innovative engineering solutions and program management services that drive long-term value.”

Bowman’s relationships with both clients span years of collaboration, including delivering reports, analyses and support for master plans. This history of successful partnership positions Bowman as the preferred engineering partner for future infrastructure initiatives in both communities, aligning with the company’s strategy to capture recurring revenue streams and expand its market share in municipal water and wastewater services.

About Bowman Consulting Group Ltd.

Headquartered in Reston, Virginia, Bowman is a national engineering services firm delivering infrastructure, technology and project management solutions to customers who own, develop and maintain the built environment. With over 2,300 employees in more than 100 locations throughout the United States, Bowman provides extensive planning, engineering, geospatial, construction management, commissioning, environmental consulting, land procurement and other technical services to customers operating in a diverse set of regulated end markets. Bowman trades on the Nasdaq under the symbol BWMN. For more information, visit bowman.com or investors.bowman.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250325655196/en/

General Media Contact:

Christina Nichols

pr@bowman.com

Investor Relations Contact:

Betsy Patterson

ir@bowman.com

Source: Bowman Consulting Group

FAQ

What is the total value of Bowman's (BWMN) new water contracts in Colorado?

Bowman secured $3.8 million in contracts with a combined construction value of nearly $40 million for two water resource projects in rural Colorado.

What are the main components of BWMN's collection system rehabilitation project?

The project includes replacing 73,000 linear feet of sewer main, installing 15,000 linear feet of piping, rehabilitating 270 manholes, and upgrading two lift stations.

What infrastructure improvements are included in BWMN's water system project?

The project includes constructing a 450,000-gallon elevated storage tank and installing nearly 14,000 linear feet of new water lines.

How will these contracts impact Bowman's (BWMN) market position?

The contracts strengthen Bowman's position in municipal water/wastewater services and support recurring revenue streams through long-term client relationships.