UPDATE 2-Tutor Perini Q4 profit beats Street view

Thu Feb 25, 2010 6:23pm EST

* Q4 EPS $0.66 vs est $0.54

* Q4 revenue falls 33 pct

* Cuts 2010 EPS to $2.00-$2.20

* Cuts 2010 rev to $3.4 bln- $3.9 bln (Recasts; adds conference call comments)

BANGALORE, Feb 25 (Reuters) - Construction company Tutor Perini Corp (TPC.N) swung to a fourth-quarter profit that beat market estimates, partly helped by higher operating profit margins from civil segment and public works building projects, but cut its full-year outlook.

More than 40 percent of its operating income will come from its civil business during 2010, the company said on a conference call with analysts.

The company's civil segment includes construction and rehabilitation of highways, bridges, subways, tunnels, airports, marine projects and waste water treatment facilities.

Tutor Perini, which provides general contracting and construction management to private clients and public agencies, said the realignment of U.S. forces is starting to generate project opportunities, specially in Guam, and should contribute to new work awards in the second half of 2010.

"Although on a slower pace than we originally anticipated, Black Construction in Guam is actively pursuing many significant construction programs for new U.S. military work that could enter backlog this year," Chief Executive Ronald Tutor said in a statement.

The company, which cut its 2010 outlook citing sluggishness in the non-residential building market, now sees full-year earnings of $2.00 to $2.20 a share, on revenue of $3.4 billion to $3.9 billion.

It earlier forecast full-year earnings of $2.40 to $2.60 a share, on revenue of $3.7 billion to $4.2 billion.

Analysts on average were expecting 2010 earnings of $2.51 a share on revenue of $3.73 billion, according to Thomson Reuters I/B/E/S.

Q4 PROFIT TOPS STREET

For the fourth quarter, the company reported net income of $32.5 million, or 66 cents a share, compared with a net loss of $163 million, or $3.29 a share, a year ago.

Revenue fell about 33 percent to $1.08 billion.

Analysts on average were expecting the company to earn 54 cents a share, before special items, on revenue of $1.11 billion.

For the quarter, backlog of uncompleted construction work dropped 36 percent to $4.3 billion.

Shares of the company closed at $21.39 Thursday on the New York Stock Exchange. (Reporting by Fareha Khan in Bangalore; Editing by Maju Samuel)

FILED UNDER: