Energy and Defense departments contractor BWX Technologies on Monday reported year-over-year growth both in revenue and earnings for the second quarter of 2016.
Revenue rose by 13% from $357.1 million in second-quarter 2015 to $402.4 million in the latest reporting period, according to a company press release. Generally accepted accounting principles (GAAP) earnings per share from continuing operations spiked from zero for last year’s quarter to $0.55 in the second quarter of 2016, including a $0.10 per share benefit from a litigation win, while non-GAAP EPS from continuing operations were up from $0.32 to $0.44 over that same period.
Consolidated GAAP operating income was up to $88.5 million in the latest quarter from $11.6 million in second-quarter 2015, encompassing a $16.1 million benefit from a litigation win. Quarterly consolidated non-GAAP operating income rose by about 32 percent, from $54.7 million in 2015 to $72.4 million in 2016. “The increase in non-GAAP operating income was driven by operating income growth in our Nuclear Energy and Nuclear Operations segments as well as reduced mPower small modular reactor and corporate costs,” the press release says.
BWXT’s Nuclear Operations services include production of parts and fuel for naval reactors. The branch’s revenue rose about 12% year over year, from $291.8 million in second-quarter 2015 to $325.7 million this year, “due to favorable timing of long-lead material into the second quarter,” the company said. BWXT also reported a 5% spike in operating income, from $61.1 million to $64.4 million.
In the Technical Services segment, year-over-year revenue spiked from $21.6 million to $23.1 million, while operating income was down from $5.5 million to $4.6 million. Nuclear Energy branch revenue rose from $45.5 million in second-quarter 2015 to $54.1 million in second-quarter 2016; GAAP operating income hit $26.5 million and non-GAAP operating income $10.4 million in the latest reporting period, up from $2.4 million a year ago.
The Lynchburg, Va.-based company split off from Babcock & Wilcox in 2015. Along with work for the Pentagon and private sector, it is a major contractor for cleanup projects overseen by the Department of Energy’s Office of Environmental Management. It is one of the parent companies of Savannah River Remediation, liquid waste management contractor at the Savannah River Site in South Carolina, and is a partner with Fluor in the decontamination and decommissioning of the Portsmouth Gaseous Diffusion Plant in Ohio.
