FLUOR - Fourth Quarter 2023 Highlights

FLUOR, a global firm ranked #3 in the ENR 2023 Top 500 Design Firms, reported a 13% year-over-year revenue increase to $15.5 billion, with growth across Energy, Urban, and Mission Solutions.

New awards reached $19.5 billion, with a notable rise in Urban Solutions and a global project backlog, emphasizing a shift towards reimbursable contracts and diversified business lines. The company focuses on energy transition, intelligence services, and benefits from CHIPS Act funding, indicating a strategic pivot towards lower carbon energy sources and advanced technologies.

Revenue:

• Total revenue for the year reached $15.5 billion, marking a 13% increase from 2022.

Revenue Sources:

• Energy Solutions: Grew by 7.4% from 2022 and 27.2% from 2021.

• Urban Solutions: Increased by 20.3% from 2022 and 8.9% from 2021.

• Mission Solutions: Rose by 15.9% from 2022 but decreased by 13.3% from 2021.

Backlog:

• New awards totaled $19.5 billion in 2023. Urban Solutions notably surged by 46% from 2022.

  • Energy Solutions: Backlog up by 6.4%.

  • Urban Solutions: Increased by 44.6%, attributed to ramped-up execution on several projects.

  • Mission Solutions: Decreased by 30.3%.

• 62% of the backlog is for projects outside the U.S.

Growth

• Intelligence services market – these projects represent over $75 billion in total installed cost with a good number of opportunities based in the United States

• Energy Transition – a driving force behind a shift from transitional energy to lower carbon energy sources.   Pursuing opportunities in clean power and energy storage, the battery value chain, carbon reduction, hydrogen, and renewable fuels. 

• CHIPS Act funding is starting to flow.  Approximately 170 companies have applied for grants.

https://investor.fluor.com/files/doc_financials/2023/q4/2023-10K.pdf