Jacobs Engineering Group Inc. Earnings: Revenue Growth Drives Margin, Profit Increases

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S&P 500 (NYSE:SPY) component Jacobs Engineering Group Inc. (NYSE:JEC) reported its results for the first quarter. Jacobs Engineering Group offers its customers technical and construction services including engineering, design, construction management and operations and maintenance services.

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Jacobs Engineering Group Earnings Cheat Sheet for the First Quarter

Results: Net income for the technical services company rose to $89.7 million (70 cents per share) vs. $65.8 million (52 cents per share) in the same quarter a year earlier. This marks a rise of 36.3% from the year earlier quarter.

Revenue: Rose 11.7% to $2.63 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: JEC fell in line with the mean analyst estimate of 70 cents per share. It fell short of the average revenue estimate of $2.7 billion.

Quoting Management: Commenting on the Company’s earnings outlook for the remainder of fiscal 2012, Jacobs Chief Financial Officer John W. Prosser, Jr. stated, “With first quarter results in-line with our expectations, we are maintaining our guidance at $2.80 to $3.20 per share.”

Key Stats:

The company has now seen net income rise in three straight quarters. In the fourth quarter of the last fiscal year, net income rose 22.5% and in the third quarter of the last fiscal year, the figure rose more than fourfold.

The company fell in line with estimates last quarter after topping expectations in the previous two quarters. In the fourth quarter of the last fiscal year, it topped the mark by 2 cents, and in the third quarter of the last fiscal year, it was ahead by one cent.

Revenue has now gone up for three straight quarters. In the fourth quarter of the last fiscal year, revenue rose 16.2% to $2.72 billion while the figure rose 9.4% in the third quarter of the last fiscal year from the year earlier.

Looking Forward: Analysts have a positive outlook for the company’s performance next quarter. Over the past seven days, the average estimate for the second quarter has gone up to 74 cents a share from 73 cents. For the fiscal year, the average estimate has moved up from $3.01 a share to $3.03 over the last ninety days.

Competitors to Watch: Fluor Corporation (NYSE:FLR), URS Corporation (NYSE:URS), The Shaw Group Inc. (NYSE:SHAW), Tetra Tech, Inc. (NASDAQ:TTEK), KBR, Inc. (NYSE:KBR), Michael Baker Corporation (AMEX:BKR), AECOM Technology Corp. (NYSE:ACM), Granite Construction Inc. (NYSE:GVA), Willdan Group, Inc. (NASDAQ:WLDN), and Quanta Services, Inc. (NYSE:PWR).

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com

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