Jacobs Engineering Group Inc. Reports Solid Earnings for the Second Quarter of Fiscal 2013

Jacobs Engineering Group Inc. Reports Solid Earnings for the Second Quarter of Fiscal 2013

PASADENA, Calif.--(BUSINESS WIRE)-- Jacobs Engineering Group Inc. (NYS: JEC) announced today its financial results for the second quarter of fiscal 2013 ended March 29, 2013.

Second Quarter Fiscal 2013 Highlights:

  • Net earnings for the quarter of $104.4 million;
  • Diluted EPS for the quarter of $0.80;
  • Net earnings for the six months ended March 29, 2013 of $203.4 million;
  • Diluted EPS for the six months ended March 29, 2013 of $1.56; and
  • Backlog at March 29, 2013 of $16.8 billion.

Jacobs reported today net earnings of $104.4 million, or $0.80 per diluted share, on revenues of $2.84 billion for its second quarter of fiscal 2013 ended March 29, 2013. This is up from net earnings of $83.9 million, or $0.65 per diluted share, on revenues of $2.70 billion for the second quarter of fiscal 2012 ended March 30, 2012.

Jacobs also announced that backlog grew by 11.2% totaling $16.8 billion at March 29, 2013, including a technical professional services component of $10.9 billion. This compares to total backlog and technical professional services backlog of $15.1 billion and $9.9 billion, respectively, at March 30, 2012.

Commenting on the results for the second quarter, Jacobs President and CEO Craig L. Martin stated, "Our second quarter performance resulted in solid growth in earnings, both quarter-over-quarter and year-over-year. New bookings were good as well, so backlog continues to improve. Prospects for the remainder of the year continue the favorable trend established in the first half, so the second half of FY13 looks positive."

Commenting on the Company's earnings outlook for the remainder of fiscal 2013, Jacobs Chief Financial Officer John W. Prosser, Jr. stated, "Our second quarter results and outlook for the remainder of the year are in line with our expectations. We are maintaining our guidance at $3.00 to $3.50 per share."

Jacobs is hosting a conference call at 11:00 a.m. Eastern Time on Tuesday, April 30, 2013, which it is webcasting live on the Internet at www.jacobs.com.

Jacobs is one of the world's largest and most diverse providers of technical, professional, and construction services.

Statements made in this press release that are not based on historical fact are forward-looking statements. Although such statements are based on management's current estimates and expectations, and currently available competitive, financial, and economic data, forward-looking statements are inherently uncertain, and you should not place undue reliance on such statements. We caution the reader that there are a variety of factors that could cause business conditions and results to differ materially from what is contained in our forward-looking statements. For a description of some of the factors which may occur that could cause actual results to differ from our forward-looking statements including those noted in our 2012 Form 10-K, and in particular the discussions contained under Item 1 - Business; Item 1A - Risk Factors; Item 3 - Legal Proceedings; and Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations. We also caution the readers of this release that we do not undertake to update any forward-looking statements made herein.

Financial Highlights:

Results of Operations (in thousands, except per-share data):

    Three Months Ended     Six Months Ended
      March 29,
2013
  March 30,
2012
    March 29,
2013
  March 30,
2012
Revenues $ 2,835,084   $ 2,702,851 $ 5,594,725   $ 5,334,619
Costs and Expenses:
Direct costs of contracts (2,370,183 ) (2,276,647 ) (4,694,101 ) (4,487,373 )
Selling, general, and administrative expenses     (299,698 )   (293,066 )     (575,152 )   (572,156 )
Operating Profit 165,203 133,138 325,472 275,090
Other Income (Expense):
Interest income 1,099 1,563 2,189 2,958
Interest expense (3,035 ) (2,496 ) (6,729 ) (6,158 )
Miscellaneous income (expense), net     (1,359 )   110       (2,713 )   (21 )
Total other expense, net     (3,295 )   (823 )     (7,253 )   (3,221 )
Earnings Before Taxes 161,908 132,315 318,219 271,869
Income Tax Expense     (54,819 )   (44,869 )     (106,607 )   (92,987 )
Net Earnings of the Group     107,089     87,446       211,612     178,882  
Net Earnings Attributable to

Noncontrolling Interests

    (2,688 )   (3,513 )     (8,201 )   (5,239 )
Net Earnings Attributable to Jacobs     $ 104,401     $ 83,933       $ 203,411     $ 173,643  
Earnings Per Share ("EPS"):
Basic $ 0.81 $ 0.66 $ 1.58 $ 1.37
Diluted     $ 0.80     $ 0.65       $ 1.56     $ 1.35  
 
Weighted Average Shares Used to Calculate EPS:
Basic 129,096 127,412 128,876 127,171
Diluted     130,730     128,726       130,284     128,347  
 

Other Operational Information (in thousands):

    Three Months Ended     Six Months Ended
      March 29,
2013
  March 30,
2012
    March 29,
2013
  March 30,
2012
Revenues by Major Component:        
Technical professional services $ 1,694,129 $ 1,654,744 $ 3,306,048 $ 3,192,779
Field services     1,140,955     1,048,107       2,288,677     2,141,840
Total     $ 2,835,084     $ 2,702,851       $ 5,594,725     $ 5,334,619
 
Depreciation (pre-tax)     $ 16,598     $ 14,627       $ 32,091     $ 28,488
Amortization of Intangibles (pre-tax)     $ 6,699     $ 10,645       $ 15,681     $ 22,020
Pass-Through Costs Included in Revenues     $ 573,617     $ 572,220       $ 1,120,033     $ 1,116,052
 
Capital Expenditures     $ 39,311     $ 17,649       $ 64,485     $ 37,751
 

Selected Balance Sheet and Backlog Information (in thousands):

      March 29,
2013
  March 30,
2012
Balance Sheet Information:      
Cash and cash equivalents $ 1,166,207 $ 921,507
Working capital 1,987,257 1,436,251
Total debt 450,813 541,163
Total Jacobs stockholders' equity     3,955,547     3,454,414
 
Backlog Information:
Technical professional services $ 10,888,900 $ 9,906,700
Field services     5,901,400     5,189,100
Total     $ 16,790,300     $ 15,095,800



Jacobs Engineering Group Inc.
John W. Prosser, Jr.
Executive Vice President, Finance and Administration
626.578.6803

KEYWORDS:   United States  North America  California

INDUSTRY KEYWORDS:

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