CH2M posted net earnings of about $14 million in the first quarter of 2017: a more than 40-percent drop from a year ago as revenue inched down about 3.5 percent to almost $1.2 billion.
During the quarter, the company completed a corporate restructuring that began in the third quarter of 2016. In the period ended March 31, the restructuring cost CH2M just over $13 million, the company wrote in its latest 10-Q filing with the U.S. Securities and Exchange Commission.
CH2M’s share of earnings from joint venture companies, which includes among other things the company’s Cold War nuclear cleanup work for the Department of Energy, was just under $7.5 million for the quarter: down more than 20 percent year over year.
Also according to the latest 10-Q, CH2M expects news soon about its complaint that the Energy Department shortchanged its joint-venture company CH2M-WG Idaho, which until 2015 handled cleanup at the agency’s Idaho site.
The company’s base contract at Idaho ran from 2005 to 2012 but was later extended before a Fluor-led team took over the work. CH2M said its old joint venture’s fee for the base period was about $30 million less than expected — a dispute the contractor eventually took to the Civilian Board of Contract Appeals, part of the U.S. General Services Administration.
In its latest 10-Q, CH2m said “the post-trial briefing phase is now complete [and] [w]e are awaiting the decision from the Board.”
