Moody’s upgrades Agnico Eagle’s rating to A3 on debt reduction
Investing.com -- KBR, Inc. (NYSE:KBR) on Thursday reported second quarter earnings that slightly exceeded analyst expectations, while revenue fell short of estimates.
The company’s shares slipped 1.1% following the announcement as investors reacted to reduced full-year revenue guidance.
The engineering and defense contractor posted adjusted earnings per share of $0.91 for the second quarter, edging past the analyst consensus of $0.90.
Revenue came in at $1.95 billion, below the $2.09 billion analysts had expected, though representing a 6% increase compared to the same period last year.
KBR significantly lowered its full-year revenue outlook, now projecting $7.9-8.1 billion, down from its previous guidance of $8.7-9.1 billion and below the analyst consensus of $8.62 billion.
The company cited the HomeSafe Alliance JV contract termination, reductions in EUCOM and logistics operations, and protest resolution delays as reasons for the revised outlook.
"As we reflect on our solid financial performance this quarter, I am proud of our team’s unwavering dedication to delivering results that matter," said KBR’s management.
"Through disciplined cost management and operational excellence, we have achieved double-digit growth in both earnings and EPS, while expanding margins and maintaining robust cash flow."
The company’s adjusted EBITDA increased 12% to $242 million with a margin of 12.4%, up from 11.7% in the prior-year period. Operating cash flows from continuing operations rose 38% to $217 million.
KBR’s Mission Technology Solutions segment saw revenues increase 7% to $1.41 billion, while its Sustainable Technology Solutions segment reported a 2% revenue increase to $540 million with a strong 23.9% adjusted EBITDA margin.
During the quarter, KBR returned $69 million to shareholders through $48 million in share repurchases and $21 million in dividends.
The company maintained its adjusted EPS guidance range at $3.78-$3.88 for fiscal year 2025, in line with the analyst consensus of $3.81.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.