– Dornan Engineering: A blueprint for European growth and innovation

Micheál O’Connor, Group Managing Director at Dornan Engineering.

From Irish roots to European M&E powerhouse, Micheál O’Connor, Group Managing Director, Dornan Engineering, speaks with ROBBIE COUSINS about a most successful 2024 that was topped off with the M&E firm’s acquisition by an ideal partner to fuel its next phase of growth.

Dornan Engineering Group, a name synonymous with excellence in mechanical, electrical, and HVAC engineering, has witnessed an extraordinary period of growth. Established nearly six decades ago, the company has transformed into a leading force across Europe, boasting a turnover of €734m in 2024 and entering 2025 with a backlog of €1.6bn.

 

Micheál O’Connor

Micheál O’Connor, Group Managing Director at Dornan Engineering, sheds light on the factors behind this success, the strategic acquisition by Turner Construction Company, and the evolving landscape of the construction industry.

Doubling down on data centres

Dornan’s impressive revenue surge, from €365m in 2021 to a projected €1.2bn this year, is substantially attributable to a booming European data centre sector. Micheál O’Connor explains that clients in this rapidly evolving field have increasingly requested Dornan to transition into a General Contractor (GC) role.

“Data centres is a rapidly growing sector,” he explains. “Clients and their requirements are still evolving, and they are also looking to evolve their delivery strategy.”

This has led to the adoption of a GC1 and GC2 strategy, where GC1 handles site works, infrastructure, shell and core, whereas GC2 focuses on fitting out the data centre.

“We have been asked now to fulfil a GC2 role on a number of data centres, and we are successfully doing so,” he affirms.

This expanded scope has significantly boosted revenue and presented new challenges, necessitating a substantial increase in Dornan’s workforce from 1,000 at the start of 2024 to approximately 1,450 at this time.

“While clients are asking us to grow our involvement with them, Dornan remains firmly rooted in its mechanical and electrical (M&E) foundation.” Micheál O’Connor clarifies, “Dornan is not trying to be all things to all people. We don’t see ourselves rebranding as a general contractor. The GC strategy is aimed at leveraging new opportunities through existing expertise while continuing to serve clients as a dedicated M&E contractor in sectors like life sciences and commercial projects in London.”

Turner Construction Acquisition

The 2024 acquisition of Dornan by Turner Construction Company, finalised in January 2025, has been pivotal. Micheál O’Connor describes the timing as impeccable, paraphrasing the famous beer commercial line, “If Carlsberg did acquisitions…”.

“In terms of the cultural fit of the company and in terms of speaking the same language, having the same attitude towards business and being a problem-solving company, being a people-centric company, Turner’s and our values around safety and quality, and respect for people are so well aligned,” he enthuses.

Given its rapid growth, this strategic alignment comes at a crucial time for Dornan. The acquisition provides Dornan with valuable support and opens new avenues through Turner’s existing client relationships in Europe. Furthermore, Turner’s affiliation with its larger parent company, ACS Group, a global infrastructure operator with revenues of circa €42bn in 2024, presents significant synergies and a unique offering across the group of companies, particularly in the data centre development sector. He says this will lead to Dornan establishing a base in Spain, where ACS is headquartered in Madrid.

Micheal o'Connor
Dornan staff at the announcement of the Dornan acquisition by Turner Construction in January 2025.

Navigating a mixed outlook and iIrish market challenges

Despite the international expansion and new opportunities, Micheál O’Connor acknowledges a mixed outlook for Dornan in the Irish market.

“The outlook in general in Ireland is mixed. The Irish market is pretty tight at the moment and very competitive. There’s largely an embargo on data centres because of the energy issue, and certainly, life sciences is not where it was a number of years ago.”

In contrast, Europe remains Dornan’s primary growth engine, and the UK has emerged as a strong market. “The UK government’s decision to classify data centres as critical infrastructure has created a welcoming environment for investment, significantly boosting our UK revenues.”

Foreign direct investment

Countries like Ireland have benefited greatly from having a life sciences sector in situ over the past decades because the skillsets developed through serving these life sciences clients have provided companies such as Dornan with experience and skillsets not found in many other locations.

Micheál O’Connor comments, “Irish companies have done enormously well in mission-critical and advanced facilities sectors across Europe, underpinned by transferrable skillsets derived from the country’s long-established life sciences sector.

“Ireland has had a strong record down through the years of attracting clients into the country. But I think other countries are becoming more competitive and more attractive. Continental Europe and the UK are now a far bigger market for Dornan than Ireland. This year, we will probably do less than 10% of our business in Ireland.”

Client asset being prepared for distribution from Dornan’s Coventry offsite facility.

Addressing skills shortages and fostering diversity

A critical challenge he sees facing the construction and engineering industry, particularly in Ireland, is a significant skills shortage. Micheál O’Connor highlights Dornan’s reliance on talent from Eastern Europe, the Philippines, and South Africa. He also expresses concern about the lack of Irish people entering supervisory and construction manager roles, attributing it to insufficient throughput at the apprentice level.

Dornan is actively combating this by promoting diversity and inclusion. Its ‘Women@Dornan’ network is a key initiative that he says is working really well.

“We’ve created strong career paths for women within the company, and I believe this, as well as other interventions, is helping attract more women.”

This work also extends to working with schools and colleges to promote STEM subjects and encourage interest in trades. “We are seeing more young women enter the trades, and we’re delighted about that,” he shares.

Micheál O’Connor stresses the need for a greater national effort to encourage more young people into trades, highlighting the excellent career prospects. “It’s no exaggeration to say that the career that some of our craftspeople can have is equivalent to their professional counterparts,” he asserts.

A sustainable future and sectoral improvements

Sustainability has moved to the centre of Dornan’s operations in the past few years. A dedicated team and working groups are focused on setting ambitious targets, collecting data, and embedding sustainability into all aspects of the business.

Beyond Dornan’s internal efforts, Micheál O’Connor advocates for broader changes within the industry and the country. He believes the Irish construction industry, particularly in the FDI sector, boasts a world-class skillset in designing and constructing mission-critical facilities, a fact often overlooked domestically. He urges greater investment in this talent pool.

But, he highlights two pressing societal and economic challenges to national growth: Ireland’s housing shortage and infrastructure gap.

“The availability of affordable housing for the workforce supporting growing industries, and the benefit of more modern and efficient infrastructure would support, sustain and attract future investment,” he notes.

He suggests strategic investment in transport links, pointing to the lack of a motorway between Cork and Limerick and the underutilisation of Shannon Airport as opportunities for transformative impact.

“We have a real chance to unlock the full potential of regions like the Midwest and South by investing in integrated transport networks. When I travel in the rest of Europe, I rely heavily on rail because of its reliability and convenience. That’s the kind of infrastructure that can elevate Ireland’s competitiveness and quality of life – and it’s within reach.”

In conclusion

As Dornan Engineering continues its impressive trajectory, Micheál O’Connor’s insights reveal a company adept at navigating unprecedented growth and evolving industry demands. Its strategic partnership with Turner Construction and a sharp focus on talent development, inclusion, and sustainability position it strongly for continued success across Europe.

However, his candid assessment of the challenges facing the Irish market serves as a crucial reminder of the importance of addressing fundamental issues in housing and infrastructure to ensure Ireland remains a competitive destination for international investment.

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