Page 7 - 2022 Shareholders Report

DELIVERY GROUPS

E. & J. GALLO WINERY | PROJECT ECO
FORT LAWN, SOUTH CAROLINA

BEVERAGE BEER, WINE & SPIRITS
In 2022, the Beverage Division finished a great year The Beer, Wine & Spirits (BWS) Division had a
with revenue over $162.9 million and contribution successful 2022, despite notable transitions and
of $17.2 million. The Niagara Waters projects in challenges. The division recognized revenues of
California provided a significant portion of the $277.8 million and contribution of $16.2 million
results, with revenue over $121 million and job on budgets of $229.2 million and $13.4 million, DIAGEO | PROJECT HELIX
PLAINFIELD, ILLINOIS
profits of $4.7 million. The division’s focus on respectively. BWS successfully managed the
the Coca-Cola bottling network provided $10 outcomes of two challenging projects, AB InBev
million in design revenue in 2022, with projected Baldwinsville and Gallo Furnace, to an acceptable
values in coming years of more than $500 million. conclusion that preserved the client relationships “ To deliver this project in 11
Division sales were strong at $361.8 million, as and the financial success of the division. The two months, when many in and
is 2023 backlog of $125.8 million, which does not most notable successes for the year were Project
include three large projects currently in design. Helix (Diageo) and Project ECO (E&J Gallo), each outside of Diageo told me it
In 2023, the Beverage Market will include a Dairy of which was awarded on an Engineer, Procure, would take at least 18 months,
Division to allow more bandwidth to grow this Construct (EPC) basis and began execution in 2021,
critical part of the business. Despite economic with Project Helix reaching 100% completion and and more likely 24 months,
headwinds, the beverage market remains very Project ECO standing at 76% complete at the year’s while navigating through
strong, with unprecedented capital investments. end. Both projects have opened doors to additional
These trends will play to our strengths with larger, work from Diageo and Gallo. With the momentum the COVID-19 challenges
well-funded companies experiencing stronger- of those two significant clients, plus new project is truly remarkable.”
than-expected sales and, therefore, investing awards in 2022 for Angels Envy (Bacardi) and
in larger-capacity and greenfield projects. Hiram Walker & Sons (Pernod-Ricard), BWS is PIETRO DIPILATO, DIAGEO, SVP TECHNICAL,
well-positioned for success for the years ahead. GOVERNANCE, INNOVATION AND BRAND CHANGE

2022 Annual Report to Shareholders ◆ Haskell 5