Fluor Corporation Reports Q3 2019 Loss of $782M

Irving, Texas (Oct. 31, 2019)—Fluor Corporation has announced financial results for its third quarter ended Sept. 30, 2019. Third quarter results were a net loss from continuing operations attributable to Fluor of $782 million, or $5.57 per diluted share, compared to net earnings of $69 million, or $0.49 per diluted share, one year ago. 

Earnings attributable to Fluor include a non-cash charge of $546 million related to establishing a valuation allowance against net deferred-tax assets, a non-cash impairment charge of $290 million related to the COOEC-Fluor Heavy Industries Co. Ltd. joint venture fabrication yard, Stork, and the Sacyr-Fluor joint venture in Spain, and $44 million for restructuring activities. Consolidated segment profit from continuing operations for the quarter was $58 million, compared to a profit of $173 million a year ago. Third quarter revenue was $3.9 billion compared to $3.8 billion last year.

New awards for continuing operations in the quarter were $2.6 billion, including $2.0 billion in infrastructure and power, $260 million in diversified services, $256 million in energy and chemicals, and $119 million in mining and industrial. New awards for discontinued operations, which includes Government and American Equipment Company Inc. (AMECO), were $1.1 billion. Consolidated ending backlog of $30.3 billion for continuing operations compares to $30.0 billion a year ago.

“With our strategic review complete, and our restructuring underway, Fluor is focused on returning to excellence in our operations and consistent profitability,” said Carlos Hernandez, Fluor’s chief executive officer. “We have the right people, the right structure, and the right global footprint to leverage our talent and capabilities going forward.”

Corporate general and administrative expenses for the third quarter of 2019 declined to $10 million from $61 million one year ago due to a decline in compensation expense and foreign exchange gains. Expenses for the third quarter of 2018 include $19 million related to pension settlement expenses and foreign currency exchange losses. Fluor’s cash and marketable securities balance at the end of the third quarter was $1.9 billion, slightly below last quarter.

For more information, visit investor.fluor.com.