Were it not for one pesky coal plant project, Shaw Group
For the engineering and construction company's fiscal second quarter, which ended in February, revenue was roughly flat versus last year. Largely on account of expected cost overruns at the aforementioned coal plant -- a combination of quality issues, late delivery from vendors, and a force majeure event -- margins and net income came in considerably lower. Without the $45 million after-tax hit from this problem project, management suggested that this would have been a record quarter for earnings.
A record was indeed notched in terms of order bookings and backlog, however. That goes a long way toward reassuring me that my thesis on Shaw Group remains intact. As mentioned last quarter, Progress Energy's
While Shaw Group lost Entergy's
Nuclear services, such as those offered by URS