KBR, Inc (KBR) has reported 11.90 percent fall in profit for the quarter ended Mar. 31, 2017. The company has earned $37 million, or $0.26 a share in the quarter, compared with $42 million, or $0.30 a share for the same period last year. Revenue during the quarter grew 11.04 percent to $1,106 million from $996 million in the previous year period. Gross margin for the quarter expanded 59 basis points over the previous year period to 7.41 percent. Total expenses were 94.30 percent of quarterly revenues, up from 93.47 percent for the same period last year. That has resulted in a contraction of 83 basis points in operating margin to 5.70 percent.
Operating income for the quarter was $63 million, compared with $65 million in the previous year period.
"We achieved predictable, consistent and profitable performance in our Government Services and Technology and Consulting segments, plus good progress on a number of engineering and construction projects, including the achievement of reaching substantial completion of our final EPC power project." said Stuart Bradie, President and Chief Executive Office of KBR, Inc.
For fiscal year 2017, the company projects diluted earnings per share to be in the range of $1.10 to $1.40.
Operating cash flow remains negative
KBR, Inc has spent $115 million cash to meet operating activities during the quarter as against cash outgo of $21 million in the last year period. The company has spent $1 million cash to meet investing activities during the quarter as against cash outgo of $25 million in the last year period.
The company has spent $15 million cash to carry out financing activities during the quarter as against cash outgo of $18 million in the last year period.
Cash and cash equivalents stood at $410 million as on Mar. 31, 2017, down 50.24 percent or $414 million from $824 million on Mar. 31, 2016.
Working capital increases
KBR, Inc has recorded an increase in the working capital over the last year. It stood at $538 million as at Mar. 31, 2017, up 24.54 percent or $106 million from $432 million on Mar. 31, 2016. Current ratio was at 1.40 as on Mar. 31, 2017, up from 1.33 on Mar. 31, 2016.
Days sales outstanding went down to 48 days for the quarter compared with 55 days for the same period last year.
Debt increases substantially
KBR, Inc has witnessed an increase in total debt over the last one year. It stood at $694 million as on Mar. 31, 2017, up 1,056.67 percent or $634 million from $60 million on Mar. 31, 2016. Total debt was 17.52 percent of total assets as on Mar. 31, 2017, compared with 1.78 percent on Mar. 31, 2016. Debt to equity ratio was at 0.88 as on Mar. 31, 2017, up from 0.05 as on Mar. 31, 2016. 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]
