February 20, 2013 / 10:11 PM / 5 years ago

UPDATE 1-Fluor revenue short of estimates, has loss on ruling

Feb 20 (Reuters) - Engineering company Fluor Corp on Wednesday reported slower-than-expected revenue growth and a quarterly loss due to a $265 million charge for the Greater Gabbard wind project off the coast of Britain.

Shares of Fluor, the largest publicly traded U.S. engineering company, dropped 2 percent in after-hours trading following a 3 percent slide in the regular session on the New York Stock Exchange.

Fluor said its fourth-quarter net loss was $4 million, or 3 cents per share, compared with a profit of $153 million, or 90 cents per share, a year earlier. Revenue grew 12 percent to $7 billion, short of the $7.2 billion that analysts had expected, according to the average on Thomson Reuters I/B/E/S.

Smaller rival KBR Inc also posted lower-than-expected revenue on Wednesday as its profit declined due to previously disclosed charges for its minerals and U.S. construction units.

At Greater Gabbard, Fluor had a long-running dispute with project owner Scottish & Southern Energy Plc over welding quality, and Fluor disclosed an adverse arbitration ruling in that case in November. Before taxes, the charge had totaled $416 million.

Fluor’s overall backlog of projects fell to $38.2 billion at the end of 2012 from $40.8 billion three months earlier and $43 billion in the previous quarter.

But the Irving, Texas-based company is sticking with its forecast for 2013 earnings of between $3.85 and $4.35 per share. The outlook has been tempered by the sluggish global economy and the deferral of spending by big mining companies, Fluor said.

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below