Switzerland: Foster Wheeler 1Q Net Income Down

Foster Wheeler reported net income for the first quarter of 2013 of $13.0 million, or $0.12 per diluted share, compared with $40.6 million, or $0.38 per diluted share, in the first quarter of 2012.

Net income in both quarterly periods was impacted by net asbestos-related provisions. Excluding such items from both quarterly periods, adjusted net income in the first quarter of 2013 was $15.0 million, or $0.14 per diluted share, compared with $42.6 million, or $0.40 per diluted share, in the year-ago quarter.

As previously announced, the first quarter of 2013 included the unfavorable impact of two factors that, in aggregate, amounted to $0.11 per diluted share: 1) mark-to-market losses on currency transactions amounting to approximately $0.07 per diluted share, and 2) a non-cash impairment charge relating to the Camden, New Jersey, waste-to-energy facility amounting to about $0.04 per diluted share.

Foster Wheeler’s Chief Executive Officer, Kent Masters, said, “Our net income was below the average quarter of 2012 due in part to the unfavorable impact of the mark-to-market losses and the impairment charge cited above. Further, as expected, both of our business groups generated lower EBITDA in the first quarter of 2013 than in the average quarter of 2012. However, we do not view first-quarter 2013 earnings per share or EBITDA as a run rate for the remainder of the year.”

[mappress]
LNG World News Staff, May 2, 2013