General contractors · Germany and Spain
General contracting, 2026
On a 7% margin, small leaks take a large share of the profit.
7.0%
That was the average return on sales in German construction in 2024, down from 10.2% in 2020. A general contractor with €15M turnover earns about €1M a year. Field rework alone averages 0.76% of contract value: about €114,000. On some projects it reaches 7.3%, the whole margin.
The company’s own books show about a quarter of it. Roughly half of rework starts with poor communication or project data: a decision that did not reach the site the way it was made.
One of my clients found out about a large loss on a single project only after handover. Every decision on it had been made correctly. Nobody could see that one of them had not been carried out.
Sources: DSGV analysis of about 10,000 balance sheets, published by Hauptverband der Deutschen Bauindustrie, March 2026 · P. Love, Journal of Construction Engineering and Management, 2026 · FMI and PlanGrid survey of 599 construction leaders, 2018.