Fluor 1Q net rises on oil and gas profits

Associated Press Published: May 3, 2012
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IRVING, Texas (AP) — Engineering and construction company Fluor Corp. said its first-quarter profit rose 10.9 percent as it saw strong growth serving oil and gas companies as well as other industries.

The company earned $154.9 million, or 91 cents per share, during the quarter that ended March 31. That was up from $139.7 million, or 78 cents per share, during the same period last year. Revenue rose 24.4 percent to $6.29 billion, from $5.06 billion a year ago.

Analysts surveyed by FactSet had been expecting a profit of 86 cents per share on revenue of $6.3 billion.

Profits in its oil and gas business rose 19 percent to $73 million, and profits in its industrial and infrastructure group rose almost 12 percent to $103 million.

Fluor reaffirmed its full-year guidance for a profit of $3.40 to $3.80 per share. Analysts have been expecting $3.71 per share.

Also Thursday, the company said it has gotten a contract from Teck to handle engineering, buying, and construction management for a project at the Highland Valley Copper Mill in British Columbia. The deal adds $397 million to Fluor's backlog.

Fluor also said its joint venture in Kazakhstan has gotten a contract from Tengizchevroil LLP. The size of the contract wasn't disclosed.

Overall, backlog during the quarter rose 14 percent year over year to reach a record $42.5 billion.

Fluor shares had fallen $1.25, or 2.2 percent, to close at $56.54 before the results were released. They rose $1.26, or 2.2 percent, to $57.80 in after-hours trading.