Fluor Corporation, an engineering and construction company, saw a surge in its shares during premarket trading on Friday. This increase comes after the company announced an upward revision of its adjusted earnings projection for the year and reported better-than-expected second-quarter results.
Shares Surge
At $33.70, Fluor's stock was up by 8.4% during premarket trading. It's worth noting that the shares had experienced a 10% decline year-to-date as of the market closing on Thursday.
Increased Earnings Projection
Fluor now anticipates adjusted earnings to be in the range of $2 to $2.30 per share, a significant increase from the previous guidance of $1.50 to $1.90 per share.
This positive revision is attributed to the company's strong performance in its non-legacy portfolio throughout this year, as well as the successful achievement of as-sold margins on large energy solutions projects, according to Fluor.
Better-Than-Expected Q2 Results
In the second quarter, Fluor reported a profit of $61 million, equivalent to 35 cents per share. This surpasses the earnings of $66 million, or 38 cents per share, recorded in the same quarter of the previous year.
Furthermore, adjusted earnings for Q2 amounted to 76 cents per share, which exceeded analysts' expectations of 43 cents per share, as revealed by a FactSet survey.
Revenue Growth
Fluor's revenue experienced a notable increase of approximately 19% to reach $3.94 billion for the second quarter. Analysts had forecasted revenue of $3.39 billion, according to FactSet data.
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