Jacobs Engineering Group Inc. Reports Earnings for the Second Quarter of Fiscal 2012

Apr 30, 2012, 21:42 ET from Jacobs Engineering Group Inc.

PASADENA, Calif., April 30, 2012 /PRNewswire/ -- Jacobs Engineering Group Inc. (NYSE: JEC) announced today its financial results for the second quarter of fiscal 2012 ended March 30, 2012. 

Second Quarter Fiscal 2012 Highlights:

  • Net earnings for the quarter of $83.9 million;
  • Diluted EPS for the quarter of $0.65;
  • Net earnings for the six months ended March 30, 2012 of $173.6 million;
  • Diluted EPS for the six months ended March 30, 2012 of $1.35; and,
  • Backlog at March 30, 2012 of $15.1 billion.

Jacobs reported today net earnings of $83.9 million, or $0.65 per diluted share, on revenues of $2.70 billion for its second quarter of fiscal 2012 ended March 30, 2012.  This compares to net earnings of $80.3 million, or $0.63 per diluted share, on revenues of $2.56 billion for the second quarter of fiscal 2011 ended April 1, 2011.

For the six months ended March 30, 2012, Jacobs reported net earnings of $173.6 million, or $1.35 per diluted share, on revenues of $5.33 billion.  This compares to net earnings of $146.1 million, or $1.15 per diluted share, on revenues of $4.91 billion for the same period in fiscal 2011.

Jacobs also announced today backlog totaling $15.1 billion at March 30, 2012, including a technical professional services component of $9.9 billion.  This compares to total backlog and technical professional services backlog of $14.0 billion and $8.7 billion, respectively, at April 1, 2011.

Commenting on the results for the second quarter, Jacobs President and CEO Craig L. Martin stated, "While this quarter's earnings were disappointing, the outlook remains positive.  Backlog is up 4.2% sequentially and up 7.8% year-over-year.  Our prospects are strong and we anticipate a very good year from a sales perspective."

Commenting on the Company's earnings outlook for the remainder of fiscal 2012, Jacobs Chief Financial Officer John W. Prosser, Jr. stated, "Our second quarter results were below expectations.  Three factors contributed to the results: first, our SG&A expenses were higher than expected; additionally, several planned turnarounds were deferred until FY13, reducing field services margins; lastly, professional services margins in March were lower than anticipated.  As a result, we are revising our guidance for fiscal year 2012 to a range of $2.80 to $3.00 per share."

Jacobs is hosting a conference call at 11:00 a.m. Eastern Time on Tuesday, May 1, 2012, which they are webcasting live on the Internet at www.jacobs.com.

Jacobs is one of the world's largest and most diverse providers of technical, professional, and construction services.

Statements made in this press release that are not based on historical fact are forward-looking statements.  Although such statements are based on management's current estimates and expectations, and currently available competitive, financial, and economic data, forward-looking statements are inherently uncertain, and you should not place undue reliance on such statements.  We caution the reader that there are a variety of factors that could cause business conditions and results to differ materially from what is contained in our forward-looking statements.  For a description of some of the factors which may occur that could cause actual results to differ from our forward-looking statements including those noted in our 2011 Form 10-K, and in particular the discussions contained under Item 1 - Business; Item 1A - Risk Factors; Item 3 - Legal Proceedings; and Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations.  We also caution the readers of this release that we do not undertake to update any forward-looking statements made herein.

 

Financial Highlights:

Results of Operations (in thousands, except per-share data):

Three Months Ended

Six Months Ended

March 30, 2012

April 1, 2011

March 30, 2012

April 1, 2011

Revenues

$

2,702,851

$

2,558,016

$

5,334,619

$

4,914,191

Costs and Expenses:

Direct costs of contracts

(2,276,647)

(2,168,835)

(4,487,373)

(4,193,972)

Selling, general, and administrative expenses

(293,066)

(261,166)

(572,156)

(488,585)

Operating Profit

133,138

128,015

275,090

231,634

Other Income (Expense):

Interest income

1,563

1,149

2,958

2,073

Interest expense

(2,496)

(2,720)

(6,158)

(3,547)

Miscellaneous income (expense), net

110

37

(21)

44

Total other expense, net

(823)

(1,534)

(3,221)

(1,430)

Earnings Before Taxes

132,315

126,481

271,869

230,204

Income Tax Expense

(44,869)

(45,140)

(92,987)

(82,166)

Net Earnings of the Group

87,446

81,341

178,882

148,038

Net Earnings Attributable to

  Noncontrolling Interests

(3,513)

(1,091)

(5,239)

(1,965)

Net Earnings Attributable to Jacobs

$

83,933

$

80,250

$

173,643

$

146,073

Earnings Per Share ("EPS"):

Basic

$

0.66

$

0.64

$

1.37

$

1.17

Diluted

$

0.65

$

0.63

$

1.35

$

1.15

Weighted Average Shares Used to Calculate EPS:

Basic

127,412

125,402

127,171

125,198

Diluted

128,726

127,363

128,347

127,044

 

 

Other Operational Information (in thousands):

Three Months Ended

Six Months Ended

March 30, 2012

April 1, 2011

March 30, 2012

April 1, 2011

Revenues by Major Component:

Technical professional services

$

1,654,744

$

1,491,214

$

3,192,779

$

2,696,027

Field services

1,048,107

1,066,802

2,141,840

2,218,164

Total

$

2,702,851

$

2,558,016

$

5,334,619

$

4,914,191

Depreciation (pre-tax)

$

14,627

$

14,209

$

28,488

$

28,408

Amortization of Intangibles (pre-tax)

$

10,645

$

9,525

$

22,020

$

15,559

Pass-Through Costs Included in Revenues

$

572,220

$

540,960

$

1,116,052

$

1,075,848

Capital Expenditures

$

17,649

$

10,714

$

37,751

$

17,378

        

Selected Balance Sheet and Backlog Information (in thousands):

March 30,

2012

April 1,

2011

Balance Sheet Information:

Cash and cash equivalents

$

921,507

$

747,911

Working capital

1,436,251

1,447,190

Total debt

541,163

434,234

Total Jacobs stockholders' equity

3,545,414

3,049,454

Backlog Information:

Technical professional services

$

9,906,700

$

8,669,400

Field services

5,189,100

5,336,500

Total

$

15,095,800

$

14,005,900

(Logo: http://photos.prnewswire.com/prnh/20110628/LA26838LOGO)

For additional information contact: John W. Prosser, Jr. Executive Vice President, Finance and Administration 626.578.6803

SOURCE Jacobs Engineering Group Inc.



RELATED LINKS

http://www.jacobs.com