Foster Wheeler Net Income Down (Switzerland)

February 23, 2012

Foster Wheeler AG today reported net income for the fourth quarter of 2011 of $39.2 million, compared with $32.8 million in the fourth quarter of 2010.

Net income in both quarterly periods was impacted by asbestos-related provisions.

Excluding such items from both quarterly periods, net income in the fourth quarter of 2011 was $44.8 million, compared with $38.3 million, in the year-ago quarter.

For the full-year 2011, net income was $162.4 million, compared with $215.4 million, for the full-year 2010.

Foster Wheeler’s Chief Executive Officer, Kent Masters, said, “Net income for the fourth quarter of 2011 was down relative to the average quarter of 2010, due primarily to lower EBITDA in the company’s Global Engineering and Construction Group.”

In commenting on the outlook, Masters said, “We expect both our Global E&C Group and our Global Power Group to generate increased scope revenues in 2012 as compared to 2011. We expect E&C to generate a full-year EBITDA margin on scope revenues within a range of 12% to 14%. We expect GPG to generate a full-year EBITDA margin on scope revenues within a range of 16% to 18%.”

Masters said, “Comparing 2012 to 2011, we expect that higher volume combined with the positive impact of a reduced share count will result in a material increase in the company’s earnings per share in 2012.”

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LNG World News Staff, February 23, 2012