Chicago
Bridge and Iron (CBI) hosted Investor Day on Thursday March 28th to
discuss the outlook for the company post the acquisition of the Shaw Group that
was finalized earlier this quarter. The company offered a revised revenue
guidance of $10.7 billion-$11.2 billion, to be compared to the guidance of CBI
on a stand-alone basis of $6.3-$6.7 billion that was given earlier this year. CBI
forecasts new awards between $13 billion and $16 billion and earnings per share
between $4 and $4.35. The stand-alone projection for new awards was $7
billion-$10 billion, while the EPS guidance was $3.35-$3.65. The current
backlog of the combined company is $27 billion.
During the opening
presentation CEO Philip K Asherman expressed his excitement for the company going
forward:
“We are
certainly in a position to provide integrated solutions to our customers as
never before. And although engineering and construction is a majority of the
backlog, around 70% of earnings from all the other groups, which is more
predictable and less cyclical.”
The stock traded at $61.97, up about 5%, on this news mid-day Thursday.
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