Parsons Corporation (PSN) Bundle
Ever wondered how a technology-focused defense, intelligence, and infrastructure engineering firm operates and makes money? Parsons Corporation (PSN), a key player in national security and global infrastructure, has a fascinating story to tell. Keep reading to explore its history, ownership structure, mission, and revenue streams, and discover how it reached a $6.751 billion annual revenue in 2024.
Parsons Corporation (PSN) History
Parsons Corporation Founding Timeline
Year established
The company was established in 1944.
Original location
The company was originally located in Los Angeles, California.
Founding team members
The founder was Ralph M. Parsons.
Initial capital/funding
Details regarding the initial capital or funding for the company's establishment are not readily available.
Parsons Corporation Evolution Milestones
| Year | Key Event | Significance |
|---|---|---|
| 1944 | Company Founded | Established as Ralph M. Parsons Company in Los Angeles, focusing on engineering services for the petroleum and chemical industries. |
| 1950s-1960s | Expansion into New Markets | Diversified into aerospace, infrastructure, and mining, undertaking large-scale projects globally. |
| 1970s-1980s | Growth and International Projects | Continued growth with significant international projects, including infrastructure development in the Middle East. |
| 1990s | Focus on Technology and Infrastructure | Increased focus on technology-driven solutions and infrastructure projects, adapting to changing market demands. |
| 2000s | Acquisitions and Strategic Growth | Expanded capabilities through strategic acquisitions, enhancing its presence in key sectors such as defense and security. |
| 2010s | Digital Transformation and Innovation | Embraced digital transformation, focusing on innovative solutions in areas like cybersecurity and smart infrastructure. |
| 2019 | Initial Public Offering (IPO) | Became a publicly traded company, listed on the New York Stock Exchange under the ticker symbol PSN. |
| 2020-Present | Continued Expansion and Focus on Critical Infrastructure | Continued expansion through contracts and projects related to critical infrastructure, defense, and security, emphasizing technology and innovation. |
Parsons Corporation Transformative Moments
- Diversification into New Sectors: Expanding from petroleum and chemical industries into aerospace, infrastructure, and mining significantly broadened the company's revenue streams and market presence.
- International Expansion: Undertaking large-scale projects in the Middle East and other regions established the company as a global player in infrastructure development.
- Strategic Acquisitions: Acquisitions in the 2000s enhanced capabilities in defense, security, and technology solutions, positioning the company for long-term growth.
- Digital Transformation: Embracing digital technologies and focusing on cybersecurity and smart infrastructure enabled the company to address modern challenges and opportunities.
- Initial Public Offering (IPO): The IPO in 2019 marked a significant milestone, providing capital for further growth and increasing the company's visibility in the market.
These transformative moments reflect the company's ability to adapt to changing market conditions, embrace innovation, and strategically expand its capabilities, contributing to its evolution into a leading technology-driven solutions provider as of April 2025. For more in-depth information, refer to: Mission Statement, Vision, & Core Values of Parsons Corporation (PSN).
Parsons Corporation (PSN) Ownership Structure
Parsons Corporation operates with a mixed ownership structure, featuring a blend of institutional, insider, and retail investors, shaping its corporate governance and strategic direction.
Parsons Corporation's Current Status
Parsons Corporation is a publicly traded company, listed on the New York Stock Exchange (NYSE) under the ticker symbol PSN. This allows the general public and institutional investors to purchase shares in the company.
Parsons Corporation's Ownership Breakdown
Understanding the ownership structure of Parsons Corporation provides insights into the distribution of control and influence within the company. Here’s a breakdown:
| Shareholder Type | Ownership, % | Notes |
|---|---|---|
| Institutional Investors | 91.73% | Large institutions such as Vanguard Group, BlackRock Fund Advisors, and State Street Corporation hold the majority of Parsons Corporation's shares. |
| Insider Ownership | 0.64% | Company insiders, including executives and board members, own a small percentage of the company's shares. |
| Retail Investors | 7.63% | Individual investors hold a portion of the company's shares, contributing to the overall ownership structure. |
Parsons Corporation's Leadership
The leadership team at Parsons Corporation is responsible for setting the strategic direction and managing the company's operations. Key figures include:
- Carey A. Smith: Chair, President and Chief Executive Officer
- George L. Ball: Chief Financial Officer
- Michael K. Berry: President, Engineered Systems
- Peter M. Torrellas: President, Critical Infrastructure
These individuals, along with other members of the executive team, guide Parsons Corporation in achieving its business objectives and delivering value to its shareholders. For more insights into the company's guiding principles, explore the Mission Statement, Vision, & Core Values of Parsons Corporation (PSN).
Parsons Corporation (PSN) Mission and Values
Parsons Corporation aims to deliver a better world by connecting people, data, and technology. The company's core values emphasize safety, quality, integrity, diversity, innovation, and collaboration.
Parsons Corporation's Core Purpose
Official mission statement
Parsons' mission statement is: 'Deliver a better world.'
- Focuses on improving global infrastructure and security.
- Aims to connect people, data, and technology to solve complex challenges.
Vision statement
Parsons' vision is to be a future-focused technology company leading the way in critical infrastructure and national security.
- Strives to be the premier technology firm in its sectors.
- Emphasizes innovation and forward-thinking solutions.
Company slogan/tagline
Parsons' tagline is 'Delivering a better world.'
- Reinforces the company's commitment to positive global impact.
- Reflects the integration of technology and infrastructure for societal improvement.
For insights into Parsons Corporation's financial stability and investment potential, explore: Breaking Down Parsons Corporation (PSN) Financial Health: Key Insights for Investors
Parsons Corporation (PSN) How It Works
Parsons Corporation operates as a technology-focused company, delivering integrated solutions for complex infrastructure, defense, and security challenges around the globe.
Parsons Corporation's Product/Service Portfolio
| Product/Service | Target Market | Key Features |
|---|---|---|
| Critical Infrastructure Solutions | Federal, state, and municipal governments; transportation agencies; water and wastewater authorities; energy providers | Design, engineering, construction, and program management services for transportation, water, environmental, and energy infrastructure projects; smart city solutions; digital twins; asset management. |
| Defense and Intelligence Solutions | U.S. Department of Defense, intelligence community, and allied governments | Cybersecurity, intelligence, surveillance, and reconnaissance (ISR) solutions; data analytics; software development; systems integration; training and simulation; electronic warfare; missile defense; space operations. |
| Connected Communities | Smart Cities, Transportation, and Critical Infrastructure | End-to-end solutions including intelligent transportation systems, smart utilities, and public safety networks, leveraging IoT, data analytics, and cybersecurity to improve efficiency and resilience. |
Parsons Corporation's Operational Framework
Parsons operates through two main segments: Critical Infrastructure and Federal Solutions. These segments allow the company to focus its expertise and resources on specific markets, enhancing its ability to deliver tailored solutions.
- Project Lifecycle Management: Parsons manages projects from initial concept and design through construction, commissioning, and long-term maintenance. This full lifecycle approach ensures quality and efficiency.
- Technology Integration: The company integrates advanced technologies such as AI, machine learning, and IoT into its solutions to enhance performance and create smarter, more resilient systems.
- Global Reach with Local Expertise: Parsons combines its global resources with local knowledge to meet the unique needs of each project and client, ensuring cultural and regulatory compliance.
- Strategic Partnerships: Parsons collaborates with other technology companies, research institutions, and government agencies to foster innovation and expand its capabilities.
Parsons Corporation's Strategic Advantages
Parsons' success is underpinned by several key strategic advantages that enable it to compete effectively and deliver superior value to its clients.
- Technical Expertise: Parsons has a deep bench of technical experts in engineering, science, and technology, allowing it to tackle complex challenges.
- Long-Standing Client Relationships: The company has cultivated long-term relationships with key clients in government and industry, providing a stable base of business.
- Innovation and R&D: Parsons invests in research and development to stay at the forefront of technology and develop innovative solutions.
- Agile and Adaptive: The company's organizational structure allows it to be agile and adaptive, responding quickly to changing market conditions and client needs.
To gain more insights into the values that drive Parsons Corporation, explore: Mission Statement, Vision, & Core Values of Parsons Corporation (PSN).
Parsons Corporation (PSN) How It Makes Money
Parsons Corporation primarily generates revenue by providing engineering, construction, technical, and management services to government and commercial clients across the globe. Mission Statement, Vision, & Core Values of Parsons Corporation (PSN).
Parsons Corporation's Revenue Breakdown
Parsons operates through two main segments: Critical Infrastructure and Connected Communities. Here's a breakdown of how revenue is generated:
| Revenue Stream | % of Total | Growth Trend |
|---|---|---|
| Critical Infrastructure | Approx. 54% | Increasing |
| Connected Communities | Approx. 46% | Increasing |
Parsons Corporation's Business Economics
Parsons' business economics are shaped by several key factors:
- Project Bidding and Contract Types: Parsons secures projects through competitive bidding, often involving fixed-price, cost-plus, and time-and-materials contracts. Each contract type carries different risk and margin profiles.
- Government Spending: A significant portion of Parsons' revenue comes from government contracts, making it sensitive to government spending policies and budget allocations, particularly in infrastructure and defense.
- Global Presence: With operations spanning North America, the Middle East, and other international regions, Parsons benefits from diverse market opportunities and mitigates risks associated with regional economic downturns.
- Technological Innovation: Investment in technology and innovation, such as digital twins and advanced analytics, allows Parsons to offer differentiated services, improve project efficiency, and win more competitive bids.
Parsons Corporation's Financial Performance
Key aspects of Parsons' financial performance include:
- Revenue Growth: In 2024, Parsons reported a revenue of $5.3 billion, reflecting growth driven by increased demand for infrastructure and national security solutions.
- Profitability: The company's adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) stood at $471 million in 2024, showcasing its ability to convert revenue into profit.
- Backlog: Parsons maintains a robust backlog, which was reported at $8.7 billion at the end of 2024. This provides visibility into future revenue streams and indicates strong demand for its services.
- Cash Flow: Parsons generated $313 million in cash from operations in 2024, highlighting its financial health and ability to fund investments and shareholder returns.
Parsons Corporation (PSN) Market Position & Future Outlook
Parsons Corporation is strategically positioned to capitalize on growing infrastructure and national security demands, showing a promising future outlook through its focus on technology and innovative solutions.
Competitive Landscape
| Company | Market Share, % | Key Advantage |
|---|---|---|
| Parsons Corporation | ~3-5% | Strong government relationships and expertise in infrastructure and national security projects. |
| AECOM | ~7-9% | Global presence and diverse service offerings across various sectors. |
| Jacobs Engineering Group | ~6-8% | Technical expertise and a broad portfolio of services including engineering, construction, and technical services. |
Opportunities & Challenges
| Opportunities | Risks |
|---|---|
| Growing demand for infrastructure modernization, particularly in transportation and water management. | Intense competition and pricing pressures within the engineering and construction industries. |
| Increased government spending on defense and national security programs. | Potential for project delays and cost overruns, impacting profitability. |
| Expansion of digital solutions and cybersecurity services to protect critical infrastructure. | Geopolitical instability and economic downturns affecting global project pipelines. |
Industry Position
Parsons Corporation holds a strong position in the infrastructure and national security sectors, distinguished by:
- Leveraging technology to deliver innovative and sustainable solutions.
- Maintaining long-standing relationships with government clients.
- Focusing on high-growth markets such as cybersecurity, space exploration, and smart infrastructure.
To delve deeper into the core principles guiding the company, explore: Mission Statement, Vision, & Core Values of Parsons Corporation (PSN).
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