NEW YORK, Aug 10 (Reuters) - Engineering company URS Corp said on Tuesday that second-quarter profit dropped by about one-third as revenue was lower than Wall Street expected, sending its stock down 2 percent.
Net income was $61.9 million, or 76 cents per share, compared with $95.1 million, or $1.16 per share, a year before. Revenue fell to $2.25 billion from $2.3 billion in the 2009 quarter, the San Francisco-based company said.
The results included $4.1 million in expenses related to the proposed acquisition of Scott Wilson Group plc, or 4 cents per share on an after-tax basis.
Analysts on average had expected earnings per share of 80 cents on revenue of $2.39 billion, according to Thomson Reuters I/B/E/S.
URS said its backlog of work at the end of the second quarter was $16.5 billion, down from $17.3 billion on Jan. 1.
The company's stock was down 87 cents, or 2.1 percent, at $40.56 after closing at $41.43 on the New York Stock Exchange.
(Reporting by Steve James, with additional reporting by Braden Reddall in San Francisco; Editing by Gary Hill)
((steve.james@thomsonreuters.com; +1 646-223-6013; Reuters Messaging: steve.james.reuters.com@reuters.net)) Keywords: URS/
* Q2 EPS 76 cents/shr v Street view 80 cents/shr
* Backlog $16.5 bln vs $17.3 bln at Jan. 1
* Stock drops 2 percent
(Adds CEO comments, outlook)
NEW YORK, Aug 10 (Reuters) - Engineering company URS Corp said on Tuesday its second-quarter profit dropped by about one-third as revenue was less than Wall Street had expected, sending its stock down 2 percent.
Net income was $61.9 million, or 76 cents per share, compared with $95.1 million, or $1.16 per share, a year before. Revenue fell to $2.25 billion from $2.3 billion in the 2009 quarter, the company said.
The results included $4.1 million in expenses related to the proposed acquisition of Scott Wilson Group Plc, or 4 cents per share on an after-tax basis.
Analysts on average had expected earnings per share of 80 cents on revenue of $2.39 billion, according to Thomson Reuters I/B/E/S.
URS said its backlog of work at the end of the second quarter was $16.5 billion, down from $17.3 billion as of Jan. 1.
The company's stock fell 87 cents, or 2.1 percent, to $40.56 after closing at $41.43 on the New York Stock Exchange.
Fluor Corp, the largest publicly traded U.S. company in the sector, reported better-than-expected profits for the second quarter.
KBR Inc, which ranks just ahead of URS by market value, increased its 2010 profit outlook after its results, but sluggish orders weighed on its share price.
Chairman and Chief Executive Officer Martin Koffel said URS benefited from strong revenue growth in the infrastructure and federal sectors during the quarter.
'We continue to see significant opportunities for work on mass transit, high speed rail, dam and levee, and roadway and bridge projects, as well as strong demand for the services we provide to federal agencies,' he said.
But conditions in the power and industrial and commercial markets remained 'challenging,' Koffel said.
'Nonetheless, we see increasingly positive trends in the power market, including increased bidding opportunities on new assignments and the restart of projects that had been delayed because of economic conditions.'
Koffel said URS was on track to achieve its financial objectives for the year. Fiscal 2010 revenues are expected to range from $9.4 billion to $9.7 billion, with earnings per share of $3.65 to $3.75. Analysts expect full-year earnings of $3.69 per share on revenue of $9.571 billion.
The San Francisco-based company expects the pending acquisition of Scott Wilson Group to be neutral to earnings per share, with acquisition expenses offsetting incremental earnings.
(Reporting by Steve James; Additional reporting by Braden Reddall in San Francisco; Editing by Gary Hill and Richard Chang) Keywords: URS/ (steve.james@thomsonreuters.com; +1 646-223-6013; Reuters Messaging: steve.james.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Net income was $61.9 million, or 76 cents per share, compared with $95.1 million, or $1.16 per share, a year before. Revenue fell to $2.25 billion from $2.3 billion in the 2009 quarter, the San Francisco-based company said.
The results included $4.1 million in expenses related to the proposed acquisition of Scott Wilson Group plc, or 4 cents per share on an after-tax basis.
Analysts on average had expected earnings per share of 80 cents on revenue of $2.39 billion, according to Thomson Reuters I/B/E/S.
URS said its backlog of work at the end of the second quarter was $16.5 billion, down from $17.3 billion on Jan. 1.
The company's stock was down 87 cents, or 2.1 percent, at $40.56 after closing at $41.43 on the New York Stock Exchange.
(Reporting by Steve James, with additional reporting by Braden Reddall in San Francisco; Editing by Gary Hill)
((steve.james@thomsonreuters.com; +1 646-223-6013; Reuters Messaging: steve.james.reuters.com@reuters.net)) Keywords: URS/
* Q2 EPS 76 cents/shr v Street view 80 cents/shr
* Backlog $16.5 bln vs $17.3 bln at Jan. 1
* Stock drops 2 percent
(Adds CEO comments, outlook)
NEW YORK, Aug 10 (Reuters) - Engineering company URS Corp said on Tuesday its second-quarter profit dropped by about one-third as revenue was less than Wall Street had expected, sending its stock down 2 percent.
Net income was $61.9 million, or 76 cents per share, compared with $95.1 million, or $1.16 per share, a year before. Revenue fell to $2.25 billion from $2.3 billion in the 2009 quarter, the company said.
The results included $4.1 million in expenses related to the proposed acquisition of Scott Wilson Group Plc, or 4 cents per share on an after-tax basis.
Analysts on average had expected earnings per share of 80 cents on revenue of $2.39 billion, according to Thomson Reuters I/B/E/S.
URS said its backlog of work at the end of the second quarter was $16.5 billion, down from $17.3 billion as of Jan. 1.
The company's stock fell 87 cents, or 2.1 percent, to $40.56 after closing at $41.43 on the New York Stock Exchange.
Fluor Corp, the largest publicly traded U.S. company in the sector, reported better-than-expected profits for the second quarter.
KBR Inc, which ranks just ahead of URS by market value, increased its 2010 profit outlook after its results, but sluggish orders weighed on its share price.
Chairman and Chief Executive Officer Martin Koffel said URS benefited from strong revenue growth in the infrastructure and federal sectors during the quarter.
'We continue to see significant opportunities for work on mass transit, high speed rail, dam and levee, and roadway and bridge projects, as well as strong demand for the services we provide to federal agencies,' he said.
But conditions in the power and industrial and commercial markets remained 'challenging,' Koffel said.
'Nonetheless, we see increasingly positive trends in the power market, including increased bidding opportunities on new assignments and the restart of projects that had been delayed because of economic conditions.'
Koffel said URS was on track to achieve its financial objectives for the year. Fiscal 2010 revenues are expected to range from $9.4 billion to $9.7 billion, with earnings per share of $3.65 to $3.75. Analysts expect full-year earnings of $3.69 per share on revenue of $9.571 billion.
The San Francisco-based company expects the pending acquisition of Scott Wilson Group to be neutral to earnings per share, with acquisition expenses offsetting incremental earnings.
(Reporting by Steve James; Additional reporting by Braden Reddall in San Francisco; Editing by Gary Hill and Richard Chang) Keywords: URS/ (steve.james@thomsonreuters.com; +1 646-223-6013; Reuters Messaging: steve.james.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.