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KBR(KBR) - 2024 Q4 - Annual Results
KBRKBR(KBR)2025-02-24 21:01
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Financial Performance - Revenues for Q4 2024 were 2.1billion,up232.1 billion, up 23% year-over-year, with a 15% organic growth[4] - Adjusted EBITDA for Q4 2024 was 228 million, an increase of 21%, resulting in an Adjusted EBITDA margin of 10.7%[6] - Net income attributable to KBR for Q4 2024 was 76million,up26276 million, up 262% compared to the prior year[5] - Full fiscal year 2024 revenues reached 7.7 billion, an 11% increase, with Adjusted EBITDA of 870million,up16870 million, up 16%[3] - Total revenues for the three months ended January 3, 2025, were 2.122 billion, compared to 1.730billionforthesameperiodin2023,markingayear−over−yearincreaseofapproximately231.730 billion for the same period in 2023, marking a year-over-year increase of approximately 23%[24] - Net income attributable to KBR for the year ended January 3, 2025, was 375 million, a significant recovery from a net loss of 265millioninthepreviousyear[24]−AdjustedEBITDAfortheyearendedJanuary3,2025,was265 million in the previous year[24] - Adjusted EBITDA for the year ended January 3, 2025, was 870 million, up from 747millionintheprioryear,representingagrowthofapproximately16747 million in the prior year, representing a growth of approximately 16%[24] - The company reported a diluted EPS of 2.79 for the year ended January 3, 2025, compared to a diluted loss per share of 1.96inthepreviousyear[24]−NetincomefortheyearendedJanuary3,2025,was1.96 in the previous year[24] - Net income for the year ended January 3, 2025, was 381 million, a significant improvement from a net loss of 261millionfortheyearendedDecember29,2023[28]−AdjustedEPSfortheyearendedJanuary3,2025,was261 million for the year ended December 29, 2023[28] - Adjusted EPS for the year ended January 3, 2025, was 3.34, compared to 2.91fortheyearendedDecember29,2023,indicatingimprovedearningsperformance[36]ShareholderReturns−Thecompanyreturned2.91 for the year ended December 29, 2023, indicating improved earnings performance[36] Shareholder Returns - The company returned 297 million to shareholders in fiscal year 2024 through share repurchases and dividends[13] - A 10% increase in the quarterly dividend to 0.165persharewasapproved,payableonApril15,2025[14]GuidanceandProjections−KBR′sfiscalyear2025revenueguidanceisprojectedtobebetween0.165 per share was approved, payable on April 15, 2025[14] Guidance and Projections - KBR's fiscal year 2025 revenue guidance is projected to be between 8.7 billion and 9.1billion,representingagrowthof129.1 billion, representing a growth of 12% to 18% with a midpoint increase of 15%[17] - Adjusted EBITDA for fiscal year 2025 is expected to range from 950 million to 990million,indicatingagrowthof9990 million, indicating a growth of 9% to 14% with a midpoint increase of 11%[17] - Adjusted EPS is forecasted to be between 3.71 and 3.95,reflectinganincreaseof113.95, reflecting an increase of 11% to 18% with a midpoint growth of 15%[17] - Operating cash flows are anticipated to be between 500 million and 550million,showinggrowthof8550 million, showing growth of 8% to 19% with a midpoint increase of 14%[17] Backlog and Bookings - Bookings and options for Q4 2024 totaled 2.0 billion, maintaining a book-to-bill ratio of 1.0x[6] - KBR's backlog and options as of the fiscal year end totaled 21.2billion,withabook−to−billratioof1.1xonatrailing−twelve−monthbasis[4]AcquisitionsandStrategicMoves−KBRacquiredLinQuest,enhancingitscapabilitiesinadvancedengineeringanddataanalyticsfornationalsecurity[2]−Thecompanyexecutedarealignmentofitssegmentstoenhancecustomerserviceandreducecosts,effectiveforfiscal2025[15]CashFlowandAssets−KBR′stotalassetsincreasedto21.2 billion, with a book-to-bill ratio of 1.1x on a trailing-twelve-month basis[4] Acquisitions and Strategic Moves - KBR acquired LinQuest, enhancing its capabilities in advanced engineering and data analytics for national security[2] - The company executed a realignment of its segments to enhance customer service and reduce costs, effective for fiscal 2025[15] Cash Flow and Assets - KBR's total assets increased to 6.663 billion as of January 3, 2025, compared to 5.565billionasofDecember29,2023,reflectingagrowthofapproximately19.75.565 billion as of December 29, 2023, reflecting a growth of approximately 19.7%[26] - Total cash flows provided by operating activities increased to 462 million for the year ended January 3, 2025, compared to 331millionforthepreviousyear[28]−Cashandcashequivalentsattheendoftheperiodincreasedto331 million for the previous year[28] - Cash and cash equivalents at the end of the period increased to 350 million from 304millionatthebeginningoftheperiod[28]LiabilitiesandDebt−KBR′stotalliabilitiesincreasedto304 million at the beginning of the period[28] Liabilities and Debt - KBR's total liabilities increased to 5.196 billion as of January 3, 2025, up from 4.171billionasofDecember29,2023,indicatingagrowthofapproximately24.54.171 billion as of December 29, 2023, indicating a growth of approximately 24.5%[26] - The company reported a total of 574 million in borrowings on short-term and long-term debt for the year ended January 3, 2025, compared to no borrowings in the previous year[28] - Interest expense increased to 144millionfortheyearendedJanuary3,2025,from144 million for the year ended January 3, 2025, from 115 million for the previous year, indicating higher borrowing costs[32] Operating Performance - Operating income for the Global Solutions segment was 453millionfortheyearendedJanuary3,2025,comparedto453 million for the year ended January 3, 2025, compared to 285 million for the previous year, showing strong growth[34] - Operating cash flows for the three months ended January 3, 2025, were 40million,downfrom40 million, down from 83 million for the same period in 2023[39] - Adjusted operating cash flows for the year ended January 3, 2025, were 462million,slightlydownfrom462 million, slightly down from 463 million in 2023[39] - Operating cash conversion for the three months ended January 3, 2025, was 33%, significantly lower than 88% in the same period of 2023[39] - Adjusted operating cash conversion for the year ended January 3, 2025, was 103%, down from 117% in 2023[39] - Operating cash flow per adjusted share for the three months ended January 3, 2025, was 0.30,comparedto0.30, compared to 0.61 in the same period of 2023[39] - Adjusted operating cash flow per adjusted share for the year ended January 3, 2025, was 3.45,upfrom3.45, up from 3.40 in 2023[39] Legal Settlements - The legacy legal settlement after tax was $132 million in 2023, which did not recur in 2025[39]