Correction: In my "valuation" update last night for NRW Holdings (NWH), I said:

"So, yes, NRW have skinny margins, but they have a LOT of work, and there are a few different ways to make money; you can do a small amount of high margin work, or a large amount of lower volume work, and still make the same dollars in profit, or more."

I meant "lower margin work" not lower volume work" of course. It's a similar comparison as that between, say, ARB Corporation and Woolworths - both very successful and both very profitable, and while I do understand that one is consumer discretionary and the other is consumer staples, the point is that ARB sell less products at higher margins while Woolworths have much lower margins but they sell a lot more in revenue terms, so WOW works on high volume of sales at lower margins than ARB's lower volume of sales at higher margins.

Different ways to make money but they both work.

LYL and GNG are like the ARB of the engineering and construction sector in Australia, specialist companies that charge premium prices for their niche competencies, while NRW (NWH) are more like Woolworths (WOW) - making more money from lower margins on a lot more work, i.e. higher revenue.

One other thing is that I did mention that NRW are mining services plus E&C, and their "E" was mostly structural engineering, but I forgot to mention last night that NRW also do a lot of civil engineering, so infrastructure that includes roads, railways, bridges, tunnels, rail lines and buildings.

Their mining services is mostly recurring revenue from multi-year contracts - contracts which are often renewed at the end of their term, while their E&C work is more one-off contracts, although they do get a lot of repeat work from the same clients. So a mix of lumpy and continuing / steady revenue, but the main thing to look at is the trajectory of their revenue, earnings, NTA and EPS, which are all heading in the right direction.