February 17, 2017: Fluor Corp reports Q4 EPS of $0.82 versus the $0.80 estimate. Revenue also beat coming in at $4.99 billion versus the $4.83 billion estimate.
David Thomas Seaton, CEO of Fluor, said, “In 2016 we set the foundation to expand our presence in the markets we serve. This includes our acquisition of Stork, our investment in a fabrication facility in China and the submission of NuScale’s small modular reactor application to the NRC. We were also pleased with the improved slate of opportunities in infrastructure and mining.”
February 6, 2017: Fluor Corporation announced today that Guinea Alumina Corporation S.A. (GAC) has awarded Fluor an engineering and program management consultancy contract for a major bauxite mine in the Boké region of Guinea, Africa. Fluor booked the approximately $700 million contract value into backlog in the fourth quarter of 2016.
Working alongside GAC, Fluor will manage the development of a 12 million-tonne-per-annum bauxite mine, a dedicated export terminal in Port Kamsar and rail and other infrastructure upgrades. The mine, which is scheduled to begin production in 2018, will supply high-quality raw materials for alumina production facilities globally. Fluor successfully completed the feasibility study for GAC in the second quarter of 2016.
January 19, 2017: Fluor Corp wins Project Zuidasdok along with Heijmans and Hochtief joint venture. Zuidasdok project has been preliminarily awarded to Zuidplus, the joint venture with Fluor, Heijmans and Hochtief. The contract includes widening and partial underground installation of the A10 South motorway and expansion of the Amsterdam Zuid station in the Netherlands.
Design and construction contract is worth approximately $1 billion (€990 million) of which Fluor has a 42.5% share, Heijmans 15% and Hochtief 42.5%. The contract also includes seven years of maintenance for the tunnels. Zuidasdok is a joint project by the City of Amsterdam, ProRail and the Directorate-General for Public Works and Water Management of the Netherlands (Rijkswaterstaat).
Award of the final contract is expected to be in mid-February when the project will then be further defined. It is expected that construction will commence mid-2019 and be due for completion in 2028.
January 4, 2017: Fluor announced today that it was awarded a contract by Empresa Nacional del Petrleo (ENAP) for the engineering, procurement, and construction of a new process unit at its Biobo refinery in Chile. Fluor booked the undisclosed contract value in the fourth quarter of 2016.
Fluor will perform the engineering, procurement and construction services to install a new flue gas steam generator, a wet gas scrubber, and purge treatment unit to treat residual gas generated in the refinery’s fluid catalytic cracker that will reduce air emissions. Fluor is also responsible for interconnections between the new and existing unit, which will occur during a schedule-driven 2017 turnaround.
December 20, 2016: Fluor Corporation was awarded a massive engineering, procurement, construction and construction management contract by Novo Nordisk for its new $2 billion diabetes Active Pharmaceutical Ingredient (API) manufacturing facility in Clayton, North Carolina.
Fluor has been providing basic design services since Novo Nordisk announced plans for the new facility in August 2015 and now will be executing the full scope of work. Fluor booked its $1.2 billion value of the investment in the fourth quarter of 2016.
The new facility will measure more than 830,000 square feet, the equivalent of nearly seven football fields, and will produce life-saving medicines for use by patients around the world.
Fluor Exec said, “Fluor is honored to have the opportunity to assist Novo Nordisk in building this world-class facility in North Carolina to provide modern treatments to diabetes patients. This project is the single largest life sciences facility investment in North Carolinas history, which fits well with Fluor’s legacy of building many important life sciences and manufacturing projects in the southeastern United States”.
As a Trump Administration brings manufacturer back to America, we could see a huge surge in orders for industrial and heavy construction services like the kind that Fluor provides.
December 20, 2016: Fluor’s price target was raised to $65 from $55 at Keybanc/ Pacific Crest. Keybanc reiterates their Overweight rating on Fluor.
December 9, 2016: CitiGroup raised Fluor to a Buy rating, from Neutral.
Fluor Corporation Stock Chart
Fluor Corporation is a global engineering, procurement, fabrication, construction, and maintenance company that designs, builds and maintains capital-efficient facilities for its clients on six continents.