Earnings fell at Amentum Holdings, Chantilly, Va., in fiscal 2024, although the company, which merged this summer with the government contracting and cyber wings of Jacobs, sees better days ahead with new contracts entering the pipeline
The most notable of these is a long-term defense-nuclear cleanup at the Department of Energy’s Hanford Site in Washington. Amentum, like its predecessor companies, is a fixture in that line of DOE business and the combined company figures to aggressively pursue other DOE business. Amentum is also at “the point of the spear,” searching for toeholds in the burgeoning advanced nuclear reactor market, CEO John Heller has said.
For the company’s 2024 fiscal year ended Sept. 27, Amentum Holdings had a net loss of $82 million or $0.90 a share, narrower than the net loss of $314 million, or $3.49 a share, in fiscal 2023, said in a Tuesday press release.
In spite of the net loss, Amentum reported signs of underlying strength in its businesses, with a companywide operating income of $291 million, up from $57 million in fiscal 2023.
Fiscal 2024 revenue was also up, to $8.4 billion from $7.9 billion in fiscal 2023.
Amentum expects to turn the corner in fiscal year 2025, too, projecting per-share earnings between $2.00 and $2.20, executives said this week. Revenues during fiscal 2025 could range from $13.8 billion to $14.2 billion, according to company guidance.
“We reported strong results for fiscal year 2024, delivering top-line and bottom-line growth,” Heller said this week. “2024 was a significant year in our company’s history, culminating in the merger of Amentum with Jacobs’ Critical Mission Solutions and Cyber & Intelligence businesses to create one of the strongest advanced engineering and technology companies in the industry. Today, over two months since the merger, we continue to be excited about the combined strength of these two historic businesses.”
Because so many of the new Amentum’s contracts are in critical missions, ranging from NASA to DOE’s National Nuclear Security Administration, Heller expects minimal impact during any continuing budget resolution.
The global engineering solutions division appears to be where Amentum will direct its DOE business. It will include “large-scale environmental remediation,clean energy, platform engineering, sustainment and supply chain management across all 7 continents for the U.S. government and allied nations,” Amentum said in its presentation.
A link to the webcast is available here.