Tutor Perini Corp. missed Wall Street estimates on earnings but beat on revenue in the second quarter.
The Sylmar construction services company reported on Thursday a net loss of $37.5 million (-72 cents a share) for the quarter ending June 30, compared with a net loss of $63 million (-$1.23) in the same period of the previous year. Revenue increased by 19% from the second quarter of the prior year to $1 billion.
Analysts on average expected earnings of -4 cents on revenue of $857 million, according to Thomson Financial Group.
Ronald Tutor, the chief executive of the company, said that it had increased its backlog 27% year-over-year to $10.9 billion.
“We believe that our strong backlog growth will continue over the next 12 to 18 months, as we bid and expect to capture our share of a tremendous pipeline of large new project opportunities, which is expected to position us favorably for strong growth and profitability in the years ahead,” Tutor said in a statement.
The company attributed the revenue increase to contributions from certain civil segment mass transit projects in California that have significant work remaining and the absence of certain unfavorable adjustments that occurred in the prior year.
“In addition, customer budgetary constraints induced by the Covid-19 pandemic, combined with certain political and other factors, resulted in the company not being awarded certain civil segment projects over the last few years totaling more than $10 billion despite having been the low or preferred bidder,” the company said. “Not being awarded these projects also impacted revenue for the first two quarters of both (this year) and (last year).”
Shares in Tutor Perini closed down 1 cent, or a fraction of a percent, to $8.36 on the New York Stock Exchange, on a day when the Dow Jones closed down a fraction of a percent.