Fluor Corp Earnings
Fluor Corporation (NYSE:FLR) has reported its financial results for the third quarter ending September 30, 2025. Despite facing a substantial legal setback, the company demonstrated a commitment to delivering shareholder value through disciplined project execution and strategic financial decisions. Jim Breuer, the company's CEO, acknowledged the challenges but emphasized the global engineering and construction leader's robust operational framework and clear capital allocation strategy.
Fluor Corp Results
Below is a summary of Fluor Corp's key financial metrics for Q3 2025:
| Metric | Q3 2025 | Q3 2024 | Year-over-Year Change |
|---|---|---|---|
| Revenue | $3.4 billion | $4.15 billion | -18% |
| GAAP Net Loss | $697 million | - | - |
| Adjusted EBITDA | $161 million | $125 million | +29% |
| EPS | ($4.30) | - | - |
| Adjusted EPS | $0.68 | $0.51 | +33% |
| Operating Cash Flow | $286 million | $330 million | -13% |
The revenue decline is primarily attributed to a one-time $653 million charge related to a legal ruling against Fluor. On an adjusted basis, the financial metrics indicate significant improvements, illustrating the company's capacity to mitigate some turbulence.
Revenue Breakdown
The table below outlines revenue performance across Fluor's major business segments:
| Segment Name | Q3 2025 Revenue | Q3 2024 Revenue | Segment Profit/Loss |
|---|---|---|---|
| Urban Solutions | $2.3 billion | $1.9 billion | $61 million |
| Energy Solutions | $262 million | $1.4 billion | -$533 million |
| Mission Solutions | $761 million | $635 million | $34 million |
In-depth Analysis:
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Urban Solutions : Reported a profit of $61 million, down from $68 million in Q3 2024, due mainly to a $25 million adjustment for project delays. However, the segment achieved 21% growth in revenues from the previous year, reflecting its resilience and effectiveness in ramping up recently awarded life sciences and mining projects.
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Energy Solutions : Faced a substantial loss of $533 million due to a $653 million charge related to the Santos project ruling. Although this significantly impacted the segment, the company is appealing the decision and anticipates payment in the fourth quarter.
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Mission Solutions : Despite recognizing reserves for questioned costs, the segment reported a profit of $34 million, down from $45 million in 2024. Revenue increased to $761 million, driven by new awards, including a significant six-year contract for the Portsmouth project.
Key Developments
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New Awards and Backlog : Fluor secured new awards totaling $3.3 billion in Q3 2025, an increase of 21% year-over-year, with a 99% reimbursable portfolio. The backlog stands at $28.2 billion, predominantly reimbursable, ensuring steady future revenues.
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NuScale Power Investment : Fluor announced an agreement to monetize its NuScale investment fully by the end of Q2 2026, converting its stake to Class A shares and receiving net proceeds of $605 million for shares converted so far.
Comments from Company Officers
Jim Breuer, Fluor's CEO, emphasized the company's unwavering commitment to disciplined project delivery, citing its unmatched expertise and execution as key strengths. He also highlighted the upcoming realization of significant value from the NuScale investment, underscoring its strategic capital allocation approach.
Dividends and Share Repurchases
Fluor repurchased shares worth $70 million in Q3 and aims to repurchase an additional $800 million worth by February 2026. This action reflects the company's proactive strategy in managing capital and enhances shareholder value.
Fluor Corp Stock Forecast
Based on Fluor's latest financial performance, significant strategic initiatives, and market conditions, a stock price forecast suggests:
- High Projection : $45, assuming continued operational improvements and successful litigation outcomes.
- Low Projection : $35, reflecting potential challenges in execution and macroeconomic conditions.
Fluor Corp's resilient performance amidst legal challenges and strategic focus on reimbursable projects underpin these projections. The company's ongoing initiatives, such as the NuScale monetization and significant backlog, are crucial components for future growth.
In conclusion, Fluor's Q3 2025 results reflect a company adept at navigating challenges while strategically leveraging its strengths to deliver value to shareholders. Despite setbacks, the company's robust operational framework and forward-looking strategies position it well for sustainable growth.
