Tutor Perini Reaches Record Backlog of $8.7 Billion

Tutor Perini Corp. achieved a record backlog of contracts worth $8.7 billion during the second quarter, with higher-than-expected net income and lower revenue, the company announced Tuesday. The Sylmar construction company reported net income of $24.9 million (49 cents a share) for the quarter ended June 30, compared to net income of $30 million (59 cents) for the same quarter a year ago. Revenue fell 10 percent to $1.1 billion. Analysts expected net income of 31 cents a share on revenue of $1.21 billion, according to Thomson Financial. The company’s backlog as of June 30, 2018 totaled $8.7 billion, a record high that’s up 15 percent in the last year. Significant new awards included a $410 million Purple Line Extension Section 3 Tunnels project from Los Angeles County Metropolitan Transportation Authority, a $172 million Baruch Houses project in New York City and the $93 million Broadway Bridge Rehabilitation project in New York. The company explained the quarterly decline in revenue as caused by “certain building segment projects that are now complete and the timing of project execution activities on various civil segment projects in New York and California.” “Earnings for the second quarter exceeded our expectations largely due to better-than-anticipated margins in our civil and building segments,” Chief Executive Ron Tutor said in a statement. “We also achieved our fourth consecutive quarter of double-digit year-over-year backlog growth, reflecting our continued success in bidding and winning new projects.” Shares of Tutor Perini (TPC) closed Tuesday up 10 cents, or less than a percent, to $19.10 on the New York Stock Exchange.