Jacobs confident with Q1 results
By Sarah Ann McCay24 January 2014
Construction services firm Jacobs Engineering Group has reported an increase in revenue for the first quarter of fiscal 2014 ended December 27, 2013, with net earnings of US$ 93.7 million, on revenues of US$ 3.1 billion. This compares to net earnings of US$ 99 million, on revenues of US$ 2.8 billion for Q1 2013 ended December 28, 2012.
The results follow the acquisition on December 13, 2013 of Sinclair Knight Merz (SKM) for US$ 1.2 billion. The SKM buy-out added revenues of US$ 25.7 million and a net, after-tax loss of US$ 12.8 million, for two weeks of SKM operations and transaction-related expenses incurred during the period. However, Jacobs expects the acquisition to show growth in future periods.
The company’s Q1, 2014 figures also showed a total backlog of US$ 18.1 billion, up 11.5% on Q1, 2013’s backlog of US$ 16.2 billion.
Commenting on the results for the first quarter, Jacobs’ president and CEO Craig L. Martin stated: “First quarter performance was largely as we expected. Looking forward, we see improving opportunities in our public sector markets, and our private sector markets remain strong. We are very pleased to have successfully closed the acquisition of SKM, the largest in the history of the Company. We expect the acquisition to make significant contributions to the business in the future. Our outlook continues to be good.”