Houston-based LNG engineer KBR reported a net income of US$47 million during the second quarter, a 24.1 percent drop compared to the $62 million in the second quarter of 2015.
In comparison to the previous quarter, KBR’s profit increased almost 12 percent from $42 million.
According to the company’s report, consolidated revenue in the second quarter of 2016 was $1 billion compared to $1.4 billion in the second quarter of 2015.
KBR’s engineering and construction gross profit was $35 million, down $17 million from the prior year. The reduction has been attributed to reduced project activity including a major LNG project in Australia. It was, however, partially offset by a gain on closeout activities of an LNG project in Africa.
Stuart Bradie, president and Chief Executive Officer of KBR said the company is on track to exceed the year-end 2016 targets with at least $200 million in annual cost savings already identified and actioned to date.