KBR Earnings: Here’s Why Shares are Up Now

KBR, Inc. (NYSE:KBR) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 1.37%.

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KBR, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 3.28% to $0.59 in the quarter versus EPS of $0.61 in the year-earlier quarter.

Revenue: Decreased 7.1% to $1.86 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: KBR, Inc. reported adjusted EPS income of $0.59 per share. By that measure, the company beat the mean analyst estimate of $0.47. It missed the average revenue estimate of $1.92 billion.

Quoting Management: “KBR’s first quarter performance was consistent with our expectations. We delivered $0.59 of EPS on strong project execution across all of KBR’s businesses, including on the five problem projects we discussed in the fourth quarter where no incremental provisions were taken in the first quarter,” said Bill Utt, Chairman, President, and Chief Executive Officer of KBR. “We continue to see strong prospects for growth across our businesses and remain confident in our ability to successfully win and execute new work going forward.”

Key Stats (on next page)…

Revenue decreased 0.38% from $1.87 billion in the previous quarter. EPS increased 195% from $0.20 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.53 to a profit $0.55. For the current year, the average estimate has moved up from a profit of $2.61 to a profit of $2.63 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)