Houston-based LNG engineer KBR on Friday said its net income dropped from US$44 million in the first quarter 2015 to $42 million in the quarter ended March 31, 2016.
According to the company’s report, the revenue also declined from $1.4 billion in the first quarter 2015 to $1 billion during the quarter under review.
KBR’s engineering and construction unit posted a gross profit of $29 million, down $26 million from the prior year, which was due to reduced activities on an LNG project in Australia that moved towards completion.
However, according to Stuart Bradie, President and Chief Executive Officer of KBR the company is progressing towards achieving previously outlined strategic objectives.
“We are on track to achieve the year-end 2016 targets for at least $200 million in annual cost savings and to-date the company has identified and actioned more than $180 million of the savings target,” Bradie said.
He revealed that due to challenging hydrocarbon markets, the company turned to Government Services business securing a $500 18-year million contract with U.K. Ministry of Defence Military Flight Training Systems.
LNG World News Staff