HOUSTON - KBR, Inc. (NYSE: NYSE:KBR) today reported a second-quarter earnings beat and raised its full-year guidance. Shares were up 1.2% in premarket trading following the announcement.
The company posted adjusted earnings per share (EPS) of $0.83, surpassing the analyst consensus of $0.79. However, revenue for the quarter was slightly below expectations at $1.85 billion compared to the anticipated $1.88 billion.
Stuart Bradie, KBR President and CEO, expressed satisfaction with the company's performance, stating, "I am pleased to announce another fantastic quarter in which KBR continues to drive operational excellence and deliver outstanding results for customers." He attributed the success to the focus, agility, and commitment of KBR's personnel and raised the profit and cash flow guidance for the year.
In terms of revenue, KBR saw a 6% increase compared to the second quarter of the previous year, driven primarily by growth across Sustainable Technology Solutions and within Government Solutions. Net income attributable to KBR was $106 million, a significant improvement from a loss of $351 million in the same quarter last year. This turnaround was largely due to the absence of a prior year after-tax cash charge and non-cash charge related to Convertible Notes.
Looking ahead, KBR updated its fiscal 2024 guidance, now expecting adjusted EPS to be between $3.15 and $3.30, with the midpoint above the analyst consensus of $3.24. Revenue projections were set at $7.4 billion to $7.7 billion, which brackets the consensus estimate of $7.57 billion.
The company also announced the agreement to acquire LinQuest, a move that Bradie believes will accelerate KBR's strategy and drive revenue growth through highly complementary capabilities.
KBR's backlog and options as of June 28, 2024, totaled $20.1 billion, and the company delivered a 1.0x trailing-twelve-months (TTM) book-to-bill. This includes notable awards such as a five-year contract to support the Iraqi government's infrastructure and energy ambitions and a $52 million task order supporting the Counter Improvised Threat Systems Test and Evaluation for the Naval Air Warfare Center Weapons Division Quick Reaction Capability Office.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.