Leading construction major
) has won a five-year extension contract to construct and
) production facilities across the Northeast U.S. and gulf coast
regions. KBR will book the deal in the backlog of third quarter
2013, but other financial details of the deal were not
The scope of the contract requires KBR to expand its existing
services from 17 sites to 26 sites for the DuPont facilities. KBR
excels in providing continuous and cost effective services while
maintaining the optimum levels for safety and productivity.
Previously, KBR had received a three year Master Services
Contract for providing EPCM services to DuPont and also a
contract for DuPont's Tedlar production facility in Circleville,
Ohio. This contract was for providing the core services such as
construction management and engineering designs.
KBR is an industrial construction and engineering facility
provider, offering services to hydrocarbon, chemical and
petrochemical industries. KBR has a 60 year old legacy in
providing construction and maintenance services. Going forward,
as the demand for construction and maintenance services continues
to grow, we expect the company to secure more contracts.
In the last reported quarter, KBR reported earnings of 61
cents per share, beating the Zacks Consensus Estimate of 57
cents. However, earnings were down 12.8% from the prior-year
tally of 70 cents due to nonrecurring charges related to office
closure and severance costs. Revenues came in at $2.0 billion
compared with $2.1 billion in the second quarter of 2012.
KBR currently holds a Zacks Rank #3 (Hold). Some players
in similar industry and worth a look are
Michael Baker Corp.
), which holds a Zacks Rank #1 (Strong Buy) and
), having a Zacks Rank #2 (Buy).
BAKER (MICHAEL) (BKR): Free Stock Analysis
DU PONT (EI) DE (DD): Free Stock Analysis
KBR INC (KBR): Free Stock Analysis Report
VSE CORP (VSEC): Free Stock Analysis Report
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