Hill International (HIL) saw its loss widen to $14.90 million, or $0.28 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $1.11 million, or $0.02 a share.
Revenue during the quarter dropped 14.15 percent to $128.76 million from $149.99 million in the previous year period. Gross margin for the quarter contracted 163 basis points over the previous year period to 29.36 percent. Operating margin for the quarter stood at negative 3.04 percent as compared to a positive 1.89 percent for the previous year period.
Operating loss for the quarter was $3.91 million, compared with an operating income of $2.84 million in the previous year period.
"Our U.S. operations achieved strong growth throughout 2016 and added a significant number of new projects to our total backlog. Our overall financial performance, however, continues to be adversely impacted by weak market conditions internationally, especially in the Middle East and Brazil," said David L. Richter, Hill’s chief executive officer. "We continue to focus on expanding our U.S. operations and reducing overhead throughout the company, which should contribute to enhancing our overall financial position,” added Richter.
For financial year 2017, Hill International expects revenue to be in the range of $400 million to $425 million.
Working capital declinesHill International has witnessed a decline in the working capital over the last year. It stood at $126.07 million as at Dec. 31, 2016, down 15.13 percent or $22.48 million from $148.54 million on Dec. 31, 2015. Current ratio was at 1.90 as on Dec. 31, 2016, down from 2.04 on Dec. 31, 2015. Days sales outstanding went up to 59 days for the quarter compared with 58 days for the same period last year.
Debt remains almost stableHill International has recorded a decline in total debt over the last one year. It stood at $144.10 million as on Dec. 31, 2016, down 0.61 percent or $0.88 million from $144.98 million on Dec. 31, 2015. Total debt was 35.02 percent of total assets as on Dec. 31, 2016, compared with 32.76 percent on Dec. 31, 2015. Debt to equity ratio was at 1.59 as on Dec. 31, 2016, up from 1.23 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
