Jacobs Engineering on Monday posted $3.4 billion in revenue for the quarter ended Sept. 27, a step up from $3 billion in the same period a year earlier.
The Dallas-based multinational reported earnings for the fourth quarter of fiscal 2019 before the market opened for the day. Its earnings per diluted share was $0.16, a $0.54 drop from $0.70 in the same quarter in fiscal 2018.
In addition to restructuring and tax-related charges, Jacobs also recorded costs during the quarter stemming from its $3.27 billion purchase of industry rival CH2M in December 2017. Also hitting its pocketbook was the pending acquisition of the Scotland-based energy services provider John Wood Group for the equivalent of $304.5 million The Wood deal is expected to close in the second quarter of fiscal 2020.
Jacobs is buying back $250 million of its stock, which should conclude in December, the company said in its earnings release. It is a move public companies often make when they believe their share price is undervalued.
During fiscal 2019 as a whole, Jacobs brought in $13 billion, or $2 billion more than in fiscal 2018. Its earnings per diluted share from continuing operations was $2.09, or $0.03 less than the $2.12 per share reported for fiscal 2018.
During the 2019 fiscal year, Jacobs also completed the $3.4 billion sale of its Energy, Chemicals and Resources (ECR) business to WorleyParsons. Jacobs said it is finishing its transition from an engineering and construction firm to a global technology-forward solutions company.
“Today we embrace a future of infinite possibilities with a new brand that reflects who we are and where we are going,” said Chair and CEO Steve Demetriou in the press release.
The company has changed the name of its Aerospace, Technology, and Nuclear business line – which includes U.S. Department of Energy contracts – to Critical Mission Solutions. That renamed branch brought in $1.3 billion for the quarter, compared to less than $1.1 billion in the fourth quarter of 2018. For the year its revenue was $4.55 billion, rising from $3.72 billion for fiscal 2018. Jacobs increasing business with NASA is one factor, executives said.
Jacobs and subsidiary CH2M are partners in various DOE contracts at the Hanford Site in Washington state, the Oak Ridge Site in Tennessee, the Paducah Site in Kentucky, the Savannah River Site in South Carolina, and the West Valley Demonstration Project in upstate New York.