KBR reports net income of USD47m in Q2 2016

KBR, Inc. (NYSE: KBR) has reported net income attributable to KBR was USD47 million in the second quarter of 2016 compared to net income of USD62 million in the second quarter of 2015, the company said.

Results in the second quarter of 2015 included a USD28 million pre-tax gain on the sale of a non-strategic business. Consolidated revenue in the second quarter of 2016 was USD1.0 billion compared to USD1.4 billion in the second quarter of 2015.

Technology and consulting gross profit was USD15 million, down USD6.0 million from the prior year while revenue increased by USD18 million to USD98 million. Engineering and construction gross profit was USD35 million, down USD17 million from the prior year.

Revenue was USD621 million, a decrease of USD332 million mainly due to the deconsolidation of KBR´s Americas industrial services business, which had revenues of USD119 million in the second quarter 2015.

Equity in earnings of unconsolidated affiliates was USD23 million, down USD17 million, predominantly due to a favorable earnings adjustment in the second quarter 2015 that did not reoccur in 2016 on the company´s offshore maintenance joint venture in Mexico.

Government services gross profit was USD41 million, an increase of USD42 million, while revenue was USD229 million, an increase of USD71 million from the prior year.

Equity in earnings of unconsolidated affiliates was USD10 million, down USD3.0 million, and primarily driven by higher earnings from a UK Ministry of Defence construction project that was nearing completion in 2015 that did not reoccur in 2Q16.

KBR, Inc.is a global technology, engineering, procurement and construction company serving the hydrocarbons and government services industries, employing approximately 25,800 people worldwide with customers in more than 80 countries and operations in 40 countries.