HOUSTON, May 07, 2025 (GLOBE NEWSWIRE) -- KBR (NYSE: KBR) announced today it has received NASA Super Nova Awards for 2024 Safety Excellence from the Johnson Space Center (JSC) Contractor Safety Forum on four contracts within NASA’s Human Exploration Division: the Mission Systems Operations Contract (MSOC), the Integrated Mission Operations Contract (IMOC), the Human Health and Performance Contract (HHPC), and the Extravehicular Activity Space Operations Contract (ESOC) as a major subcontractor to United Tec ...

Financial Performance - The company reported revenues of $2.1 billion for Q1 2025, representing a 13% increase year-over-year, driven by growth across both segments and the LinkWest acquisition [29] - Adjusted EBITDA was $243 million, up 17% from the previous year, with an EBITDA margin of 11.8%, an increase of 40 basis points [29] - Adjusted EPS for the quarter was $0.98, reflecting a 27% increase, primarily due to a lower share count from repurchases [29] Business Segment Performance - Mission Technology Solutions (MTS) revenues were $1.5 billion, up 14% year-over-year, with adjusted EBITDA of $145 million, an 11% increase [31] - Sustainable Technology Solutions (STS) revenues reached $550 million, a 12% increase, with adjusted EBITDA of $124 million, up 20% [32] - The Brown and Root joint venture continues to grow, approximating $1.4 billion in annualized revenue, contributing positively to STS performance [32] Market Dynamics - The company noted a growing pipeline of LNG and energy security projects, with strong demand for ammonia in the fertilizer market [21][96] - The international operating capability positions the company to capture potential geographical shifts in energy markets [24] Strategic Direction - The company is focused on executing its growth strategy, increasing bid volumes, and winning new contracts, while maintaining a balanced and resilient business portfolio [10][40] - The company is committed to returning capital to shareholders through buybacks and dividends, with over $150 million in buybacks in Q1 2025 [34] Management Commentary - Management expressed confidence in the financial outlook for 2025, reaffirming guidance for revenues between $8.7 billion and $9.1 billion [37] - The company is monitoring geopolitical factors and their potential impact on business, particularly in defense and space sectors [50][90] Other Important Information - The company achieved a record low total recordable incident rate of 0.05 in 2024, highlighting its commitment to safety [6] - The company is transitioning to a new reporting approach for disaggregated revenues, aligning with industry standards [36] Q&A Session Summary Question: Can you provide more color on the backlog growth in STS? - Management noted a shift in some geographies from energy transition projects to energy security, but remains confident in the STS portfolio [45][47] Question: How confident are you in mid-single-digit organic growth for MTS? - Management highlighted a strong alignment with defense budget priorities and increased funding for human space exploration, indicating confidence in growth [49][51] Question: What is the status of the $2 billion in awards under protest? - Management acknowledged the trend of protests in government awards and expects resolutions in the second half of the year [53][55] Question: How is customer satisfaction trending for HomeSafe? - Customer satisfaction has increased to just under 90%, driven by technology adoption and improved customer care services [78][80] Question: What is the outlook for LNG projects? - Management indicated that LNG activity has increased globally, with various projects at different stages of development [64][84]

Financial Performance - KBR reported revenues of $2.1 billion for Q1 2025, representing a 13% increase year-over-year, driven by growth across both segments and the LinkWest acquisition [29][30] - Adjusted EBITDA was $243 million, up 17% from the previous year, with an adjusted EBITDA margin of 11.8%, an increase of 40 basis points [29][30] - Adjusted EPS for the quarter was $0.98, reflecting a 27% increase, primarily due to a lower share count from repurchases [29][30] Business Segment Performance - Mission Technology Solutions (MTS) revenues were $1.5 billion, up 14% year-over-year, with adjusted EBITDA of $145 million, an 11% increase [31] - Sustainable Technology Solutions (STS) revenues reached $550 million, a 12% increase, with adjusted EBITDA of $124 million, up 20% [32] - MTS ended the quarter with a 1.0 times book-to-bill ratio, while STS had a book-to-bill ratio of 1.1 times [31][32] Market Dynamics - KBR is experiencing a shift in focus from energy transition projects to energy security initiatives in certain geographies, particularly due to affordability issues [46] - The company maintains a strong position in the military space market, highlighted by a recent $176 million contract win [21] - KBR's international operations are well-positioned to capture geographical shifts in energy markets, particularly in the global South [20][23] Company Strategy and Industry Competition - KBR is focused on executing its growth strategy, increasing bid volumes, and winning new contracts, while maintaining a balanced and resilient business portfolio [41][42] - The company is committed to disciplined capital allocation, returning record levels of capital to shareholders through buybacks and dividends [9][34] - KBR is actively pursuing bolt-on acquisitions that align with its strategic priorities, particularly in government and sustainable technology sectors [75][76] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in the financial outlook for 2025, reaffirming guidance for revenues between $8.7 billion and $9.1 billion and adjusted EBITDA of $950 million to $990 million [38][39] - The company is monitoring geopolitical situations, particularly troop support in Eastern Europe, but has not observed significant impacts on operations [39][92] - KBR's diversified global mix of business positions it well to navigate economic uncertainties and capitalize on strong secular growth trends [25][26] Other Important Information - KBR achieved a record low total recordable incident rate of 0.05 in 2024, significantly lower than the national average [6][7] - The company ended the quarter with over $20 billion in backlog and options, indicating strong future revenue potential [20][104] Q&A Session Summary Question: Can you provide more color on the backlog growth and energy transition delays? - Management noted a global thematic shift towards energy security over energy transition due to affordability issues, but remains confident in the STS portfolio [46][47] Question: How confident are you in mid-single-digit organic growth for MTS? - Management highlighted a strong alignment with defense budget priorities and increased funding for human space exploration, indicating confidence in growth drivers [49][50] Question: What is the status of the $2 billion in awards under protest? - Management acknowledged a trend of protests in government awards but expects resolutions in the second half of the year [53][55] Question: How is HomeSafe performing during the peak moving season? - Management reported increased customer satisfaction rates and a strong relationship with Transcom, indicating positive performance expectations [56][58] Question: Can you provide insights on LNG project timelines? - Management indicated that LNG projects are at various stages, with ongoing work in the U.S., Indonesia, and Oman, allowing for flexibility in resource allocation [84][86] Question: What is the outlook for the ammonia industry? - Management confirmed a strong ammonia market with several projects focused on fertilizer usage, indicating a positive outlook for this segment [99]

KBR (KBR) Q1 2025 Earnings Call May 06, 2025 08:30 AM ET Speaker0 Hello, everyone, and thank you for joining us for today's KBR's First Quarter twenty twenty five Earnings Conference Call. My name is Drew, and I'll be the operator today. During today's call, after the prepared remarks, there will be a Q and A session. It's now my pleasure to hand over to Jamie DeBray to begin. Please go ahead when you're ready. Speaker1 Thank you. Good afternoon, and welcome to KBR's first quarter fiscal twenty twenty five ...

KBR Inc. (KBR) came out with quarterly earnings of $0.98 per share, beating the Zacks Consensus Estimate of $0.88 per share. This compares to earnings of $0.77 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 11.36%. A quarter ago, it was expected that this the engineering, construction company would post earnings of $0.83 per share when it actually produced earnings of $0.91, delivering a surprise of 9.64%.Over the last four q ...

May 6, 2025 Stuart Bradie, President and CEO Mark Sopp, EVP and CFO Jamie DuBray, VP of Investor Relations Forward-Looking Statements The statements in this presentation that are not historical statements, including statements regarding our expectations for our future financial performance, effective tax rate, operating cash flows, contract revenues, award activity and backlog, program activity, our business strategy, business opportunities, interest expense, our plans for raising and deploying capital and ...

Delivered Strong Financial Performance, Consistent Execution on Major Projects, and New Contract Wins Over $150 million of Share Repurchases in the Quarter First Quarter Fiscal 2025 Highlights (All comparisons against the first quarter fiscal 2024 unless noted.) Fiscal Year 2025 Guidance Reaffirming previously provided outlook HOUSTON, May 06, 2025 (GLOBE NEWSWIRE) -- KBR, Inc. (NYSE: KBR) today announced its first quarter fiscal 2025 results. "KBR delivered strong performance in the first quarter, driving ...

KBR Reports First Quarter Fiscal 2025 Results Exhibit 99.1 Delivered Strong Financial Performance, Consistent Execution on Major Projects, and New Contract Wins Over $150 million of Share Repurchases in the Quarter First Quarter Fiscal 2025 Highlights (All comparisons against the first quarter fiscal 2024 unless noted.) Fiscal Year 2025 Guidance • Reaffirming previously provided outlook HOUSTON, TX - May 6, 2025 - KBR, Inc. (NYSE: KBR) today announced its first quarter fiscal 2025 results. "KBR delivered st ...

Since the start of 2025, the United States construction sector has been navigating through choppy waters, hit by several unfavorable market factors, including a still-high mortgage rate scenario and an unhinged interest rate environment. With the 30-year mortgage rate lingering between 6.9% and 6.7% (during the January-March 2025 period), reaching as high as 7.04% for the week ending on Jan. 16, 2025, the residential construction market is likely to have remained soft, mainly for the multi-family starts. Ho ...

Company Overview - KBR, Inc. (NYSE: KBR) has experienced a decline in share price since mid-November 2024, primarily due to investor concerns regarding potential cuts in federal spending by the new administration in Washington, D.C. [1] Revenue Dependency - The company's revenues are significantly reliant on federal spending, which raises concerns about its financial performance in light of potential budget reductions [1]