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Fluor Corporation FLR reported mixed first-quarter 2025 results with adjusted earnings topping the Zacks Consensus Estimate while revenues missed the same. On a year-over-year basis, the top and bottom lines grew.
The quarter’s result reflects increased execution activities on several large projects in the company’s Urban Solutions segment, partially offset by soft contributions from the Energy and Mission Solutions segments.
Fluor’s performance highlights the impact of its four-year strategy focused on expanding a reimbursable backlog, strengthening capital structure and improving project execution. The company also initiated a capital allocation program, which is expected to support long-term value creation for clients, employees and shareholders.
Post the result announcement, FLR stock grew 6% during today’s trading hours.
Inside Fluor’s Q1 Results
The company reported adjusted earnings per share (EPS) of 73 cents, which topped the Zacks Consensus Estimate of 50 cents by 46%. In the year-ago quarter, it reported an adjusted EPS of 47 cents.
Quarterly revenues of $3.98 billion missed the consensus mark of $4.25 billion by 6.3%. Nonetheless, the figure grew 7% from the year-ago quarter’s level of $3.82 billion. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)
Fluor Corporation Price, Consensus and EPS Surprise
Fluor Corporation price-consensus-eps-surprise-chart | Fluor Corporation Quote
The company’s segment profit was $131 million, up 11% year over year. The segment margin was 3.3%, up 10 basis points (bps) from 3.2% in the year-ago period. Adjusted EBITDA in the reported period was $155 million, up from $88 million in the prior-year period.
Fluor's total new awards in the quarter were $5.81 billion compared with $7.02 billion in the year-ago period. The consolidated backlog at the first-quarter end was $28.72 billion, down from $32.74 billion a year ago.
FLR’s Segmental Discussion
The Energy Solutions segment’s revenues declined 15.7% year over year to $1.21 billion in the quarter. The downtick was due to a decline in execution activity for several projects about to be completed, partially offset by the ramp-up of execution activities on a chemicals project in Canada and a batteries project in Poland. The segment’s margin was 3.9% in the quarter, down from 4.7% a year ago.
New awards were $315 million, down from $716 million a year ago. The backlog at the quarter-end was $6.16 billion, down from $9.26 billion a year ago.
Revenues in the Urban Solutions segment totaled $2.16 billion, up 45.8% on a year-over-year basis. The uptrend was driven by increased execution activities on life sciences projects awarded in the last 18 months, along with revenue growth on a large metals project and a mining project. However, the segment’s margin contracted 20 bps to 3.2% from 3.4% a year ago.
New awards were $5.33 billion in the quarter, up from $4.87 billion a year ago. The backlog at the quarter-end was $20.15 billion, up 8.3% from $18.6 billion a year ago.
Revenues in the Mission Solutions segment totaled $597 million, down 0.7% from the year-ago level of $601 million. The segment’s margin was down 290 bps year over year to 0.8%.
It booked new awards worth $164 million, significantly down from $1.15 billion a year ago. The backlog at the quarter-end was $2.4 billion, down from $4.39 billion a year ago.
The Other segment, which comprises Stork and Fluor’s ownership in NuScale, generated revenues of $22 million in the quarter, significantly down from $222 million in the year-ago period. The segment generated a profit of $9 million against a $22 million loss a year ago.
It booked new awards worth $2 million, significantly down from the year-ago level of $284 million. The backlog at the quarter-end was $10 million, notably down from $488 million a year ago.