Tetra Tech beats the street in third quarter, share price surges
Engineering and consulting firm Tetra Tech, a major player in the U.S. water management industry, reported record quarterly results last week that beat the Street and sent its share price up. The results, which broke records for revenue, net revenue, and earnings per share, also convinced it to raise its guidance for the remainder of the year – yet more good news from investors’ perspectives.
Tetra Tech’s share price soared on the back of strong results last week
SOURCE: Yahoo Finance
Tetra Tech reported a new high in quarterly revenue, which came in at $765 million. That’s a 12% rise against the third quarter of 2017. It also set a new record on Net revenue at $569 million, logging a 14% increase, year on year. The company fared just as well on earnings, setting a high point of $0.71 per share – that’s a 34% increase against the previous year. The company also said it had a $2.4 billion backlog at the end of the quarter – which bodes well for the rest of the year.
Tetra Tech’s chairman and CEO, Dan Batrack, made the following comment over the results:
“Tetra Tech generated record third quarter results, exceeding the high end of our guidance range for both net revenue and earnings. We continue to see momentum in our broad-based growth, led by work for U.S. state and local clients, which has increased organically at a double-digit rate for eight consecutive quarters, including 26% growth in the third quarter. Our other key end-markets, including U.S. Federal, Commercial, and International, grew 10% or more. Given the strength of our results and outlook, we are increasing our guidance for both EPS and net revenue for fiscal 2018.”
Dominion holds Tetra Tech in its Global Trends Managed Fund.
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