Topic: How To Invest

The Successful Investor Hotline – Friday, February 22, 2019

Article Excerpt

SNC-LAVALIN GROUP INC., $34.76, Toronto symbol SNC, is a leading Canadian engineering and construction company that specializes in large-scale infrastructure projects such as roads, bridges, transit systems and water-treatment plants. In the three months ended December 31, 2018, the company lost $1.6 billion, or $9.11 a share. That’s mainly due to a $1.2 billion writedown of its U.K.-based Kentz Corp., which provides engineering and construction services to oil and gas firms. SNC bought Kentz for $2.1 billion in 2014. If you exclude all unusual items, the loss was $229.7 million, or $1.31 a share. That’s worse than the consensus forecast of a $1.20 loss. A year earlier, the company earned $172.7 million, or $0.98 a share. SNC’s revenue in the quarter fell 12.2%, to $2.56 billion from $2.92 billion. That’s due to declines at its oil and gas and mining businesses. The company ended the quarter with cash of $634.1 million. Its total debt was $2.3 billion, or 36% of its $6.4 billion market…