On Tuesday, KBR revealed the company’s fourth quarter and financial results for fiscal 2018 and announced 31 percent organic growth in government services for the fourth consecutive quarter.
In the fourth quarter, KBR had a revenue growth of 42 percent to $1.3B with diluted EPS of $0.31, an adjusted EPS of $0.39 and $129M in operating cash flow. For the 2018 fiscal year, the company had a revenue growth of 18 percent to $4.9B, diluted EPS of $1.99, an adjusted EPS of $1.53, an operating cash flow of $165M and an industry-leading organic growth in government services of 17 percent.
“I am delighted to report our 2018 full year results, in which we added our eighth consecutive quarter of strong revenue, earnings and cash flow; quality year-over-year backlog growth and the successful integration of SGT and Aspire,” said Stuart Bradie, KBR president and CEO. “Our people across the world are committed to delivering safe, reliable and industry leading execution to our customers.”
Across the markets KBR serves, the company’s outlook for 2019 is favorable based on the strong past performance credentials and win rates, increased U.S. government defense and space budgets, a growing global economy and greater global demand for LNG. KBR initiates 2019 GAAP EPS guidance with a range of $1.29 to $1.44 and adjusted EPS guidance with a range of $1.58 to $1.73 per share. Operating cash flow is estimated to range between $175M to $205M in 2019, which represents an operating cash flow to net income ratio of 90 to 110 percent.
“Over the next 12 to 24 months, we’re expecting to benefit from our long-established leadership position in our markets,” said Mark Sopp, KBR’s EVP and CFO, during a recent interview with ExecutiveBiz. “When this restored growth is coupled with the steady-eddy performance of our government services businesses, you can see why we say ‘our future is bright.’”
About KBR, Inc.
KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Government Services and Hydrocarbons sectors. KBR employs over 36,000 people worldwide (including our joint ventures), with customers in over 80 countries and operations in 40 countries, across three synergistic global businesses: government services, technology and hydrocarbons services. At KBR, We Deliver.