Executives from Fluor, one of the larger contractors in the Energy Department’s nuclear weapons complex, are scheduled to discuss second-quarter earnings at 5:30 p.m. Eastern time Thursday.
The financial numbers for the quarter ending June 30 will be posted after the market closes on Thursday. The call with Wall Street analysts will be webcast.
Fluor has faced some rocky times of late, as evidenced by the May departure of CEO David Seaton. After eight years as CEO and 34 years at Fluor, Seaton was replaced by Carlos Hernandez, who joined the company in October 2007 as chief legal officer.
In May, Fluor reported $4.2 billion in first-quarter 2019 revenue, down from $4.8 billion during the first three months of 2018. Its net loss of $58 million, or $0.42 per diluted share, more than tripled the $18 million loss, or $0.13 per diluted share, in the prior year.
Operating profit for Fluor’s government segment, which includes its DOE work, dropped to $17 million for the quarter ended March 31, from $48 million a year earlier. The group’s revenue dipped to $785 million from $1.3 billion on a year-over-year basis.
Hernandez has said Fluor could discuss a strategic review of its operations during this earnings report.
There has been industry chatter that Jacobs might be looking at purchasing all or part of Fluor.
Fluor leads Savannah River Nuclear Solutions, which recently won a 14-month, $1.8 billion extension to remain manager of DOE’s Savannah River Site in South Carolina through Sept. 1, 2020. The recent Energy Department extension includes the possibility of two additional one-year options.
The company is also majority partner in a joint venture with BWX Technologies for the environmental remediation of the Portsmouth Site in Ohio under a 10-year, $3.4 billion deal extending through March 2021. Fluor Idaho holds the five-year, $1.6 billion cleanup contract at the Idaho National Laboratory through May 2021.
Also on the calendar for earnings reports this week: Entergy on Wednesday, Exelon on Thursday, and US Ecology on Friday.
