Fluor Stock Gains On Q2 Earnings Beat, Raised FY21 EPS Guidance

Fluor Corp FLR reported second-quarter revenue decline of 13% year-over-year to $3.236 billion, beating the consensus of $3.20 billion.
Sales by segments: Energy Solutions $1.32 billion (-11.9% Y/Y), Urban Solutions $1.21 billion (-20% Y/Y) and Mission Solutions $707.1 million (-2.4% Y/Y).
The company reported an adjusted EPS of $0.32, beating the consensus of $0.09.
The gross margin contracted by 30 bps to 1.8%.
Total segment profit was $67.2 million, down by 7.2% Y/Y, and margin expanded by 20 bps to 2.1%.
The company recorded an operating loss of $2.39 million, compared to a profit of $33.27 million a year ago.
Fluor's cash used in operating activities year-to-date was $153.88 million, compared to cash provided $64.09 million a year ago.
At the end of the quarter, the company's backlog was $21.07 billion, with new orders of $1.37 billion (-29% Y/Y).
Fluor's cash and marketable securities at the end of the quarter were $2.7 billion compared to $2 billion last quarter.
FY21 Outlook: Fluor expects adjusted EPS of $0.60 - $0.80 (prior $0.46 - $0.71) vs. a consensus of $0.56.
Price Action: FLR shares are trading higher by 7.23% at $17.8 during the premarket session on the last check Friday.

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