Foster Wheeler 2Q, 2014 Results

By Joseph R. Fonseca
Thursday, August 07, 2014
Table

 

Foster Wheeler AG (Nasdaq: FWLT) today reported income from continuing operations for the second quarter of 2014 of $85.6 million, or $0.85 per diluted share, compared with $68.3 million, or $0.68 per diluted share, in the second quarter of 2013.

Income from continuing operations in both quarterly periods was impacted by net asbestos-related gains and provisions, as detailed in an attached table. Excluding such items from both quarterly periods, adjusted income from continuing operations in the second quarter of 2014 was $86.8 million, or $0.86 per diluted share, compared with $54.6 million, or $0.54 per diluted share, in the year-ago quarter.

Results for the second quarter of 2014 include the impact of three additional items: a favorable $32.5 million, or $0.32 per diluted share, settlement in connection with the terms related to the expiration of a steam generator technology license; the benefit of $22.3 million, or $0.22 per diluted share, from the reversal of interest, penalties and tax provision as a result of settlements with non-U.S. tax authorities; and $3.9 million, or $0.03 per share, of third-party transaction costs in connection with the previously announced acquisition of Foster Wheeler by AMEC plc.

Excluding the impact of these three items and the asbestos provision, income from continuing operations in the second quarter of 2014 was $35.9 million, or $0.35 per diluted share.

For the first six months of 2014, income from continuing operations was $102.7 million, or $1.02 per diluted share, compared with $85.2 million, or $0.83 per diluted share, for the first six months of 2013.

The table shown presents  data for continuing operations, both as reported and as adjusted to exclude asbestos-related gains and provisions. The company believes that quarterly averages provide meaningful comparative relevance for certain key metrics in light of the significant quarter-to-quarter variability that is inherent in the company’s financial results.
 

Foster Wheeler’s Chief Executive Officer, Kent Masters, said, “Our adjusted income from continuing operations in the second quarter of 2014 was more than double the average quarter of 2013, due largely to the technology license settlement and the tax settlements. Operationally, our Global Engineering and Construction (E&C) Group reported a sharp increase in scope revenues and EBITDA as compared to the average quarter of 2013, a very solid level of new orders and nearly $3 billion in scope backlog.”

Masters said, “We continue to expect that our Global E&C Group will report sharply higher scope revenues for the full-year 2014 as compared to the full-year 2013. However, in our Global Power Group, we now believe that scope revenue is likely to be down modestly for the full-year 2014 as compared to the full-year 2013. We believe the expected decline in GPG scope revenue is a reflection of the timing of new orders; nevertheless, we continue to see solid booking prospects in GPG for this year and beyond.”

Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

India Not Pressurized by US-China Deal

Indian Prime Minister Narendra Modi said a climate deal between the United States and China does not put pressure on India, but that global warming itself was reason to take action.

U.S. Refinery Workers' Contract Talks Moving Slowly

With just a week of bargaining left until the national contract for U.S. refinery workers expires, the United Steelworkers union (USW) said talks with oil company

Obama, Modi Aim High on India Trip

In a fresh bid to make India an enduring strategic partner, U.S. President Barack Obama lands in New Delhi on Sunday for a highly symbolic parade and to nurture

News

Coldharbour Marine's New UK Office

Coldharbour Marine, long recognised for the design, manufacture and supply of inert gas and fluid handling equipment vessels (FPSOs) has moved into a new 25k sq.

Bangladesh Aims to be World's 'First Solar Nation

Residents of Islampur, a remote village in the northern Bangladeshi district of Naogaon, were stunned one night last summer when the darkness was suddenly illuminated

India Not Pressurized by US-China Deal

Indian Prime Minister Narendra Modi said a climate deal between the United States and China does not put pressure on India, but that global warming itself was reason to take action.

 
 
Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Offshore Oil Pod Propulsion Port Authority Salvage Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1270 sec (8 req/sec)