(State or other jurisdiction of incorporation or organization) | (SEC File No.) | (IRS Employer identification number) | ||||||||||||
(Address of principal executive offices) | (Zip Code) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | |||||||||
$1 par value |
Emerging growth company |
☐ | If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. |
Item 2.02 | Results of Operations and Financial Condition |
Item 9.01 | Financial Statements and Exhibits |
99.1 | |||||
104 | Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document |
JACOBS SOLUTIONS INC. | |||||
By: | /s/ Kevin C. Berryman | ||||
Kevin C. Berryman | |||||
President | |||||
and Chief Financial Officer | |||||
(Principal Financial Officer) |
1999 Bryan Street, Suite 1200 | |||||
Dallas, Texas 75201 | |||||
1.214.583.8500 |
FOR IMMEDIATE RELEASE | November 21, 2022 |
Fiscal Q4 2022 | Fiscal Q4 2021 | Change | |||||||||
Revenue | $3.9 billion | $3.6 billion | $0.3 billion | ||||||||
Net Revenue | $3.2 billion | $3.0 billion | $0.2 billion | ||||||||
GAAP Net Earnings from Continuing Operations | $225 million | $45 million | $180 million | ||||||||
GAAP Earnings Per Diluted Share (EPS) from Continuing Operations | $1.75 | $0.34 | $1.41 | ||||||||
Adjusted Net Earnings from Continuing Operations | $231 million | $207 million | $24 million | ||||||||
Adjusted EPS from Continuing Operations | $1.80 | $1.58 | $0.22 |
Fiscal Q4 2022 | Fiscal Q4 2021 | |||||||
GAAP Net Earnings from Continuing Operations and Diluted Earnings Per Share (EPS) | $225 million ($1.75 per share) | $45 million ($0.34 per share) | ||||||
Adjustments for Restructuring, transaction costs and other (recoveries) charges on an after-tax basis ($(14.9) million and $4.3 million for the fiscal 2022 and 2021 periods, respectively, before income taxes). | $(42) million ($(0.33) per diluted share) | $49 million ($0.37 per diluted share) | ||||||
Other adjustments include: (a) add-back of amortization of intangible assets of $51.7 million and $46.5 million in the 2022 and 2021 periods, respectively, (b) the removal of $67.5 million in fair value gains and (losses) related to our investment in Worley stock (net of Worley stock dividend) and certain foreign currency revaluations relating to ECR sale in the 2021 period, (c) the exclusion of impacts on the Company's effective tax rates associated with revised estimates on U.S. taxation of certain foreign earnings and certain tax return filing adjustments, (d) the removal of $(1.7) million in additional income tax expense attributable to tax rate increases in the UK during in 2021, (e) applicable redeemable noncontrolling interests impacts for the above adjustment items and (f) income tax expense adjustments for the above pre-tax adjustment items. | $49 million ($0.38 per diluted share) | $114 million ($0.86 per diluted share) | ||||||
Adjusted Net Earnings from Continuing Operations and Adjusted EPS from Continuing Operations | $231 million ($1.80 per diluted share) | $207 million ($1.58 per diluted share) |
Fiscal 2022 | Fiscal 2021 | Change | |||||||||
Revenue | $14.9 billion | $14.1 billion | $0.8 billion | ||||||||
Net Revenue | $12.6 billion | $11.7 billion | $0.9 billion | ||||||||
GAAP Net Earnings from Continuing Operations | $644 million | $467 million | $177 million | ||||||||
GAAP Earnings Per Diluted Share (EPS) from Continuing Operations | $4.98 | $3.12 | $1.86 | ||||||||
Adjusted Net Earnings from Continuing Operations | $897 million | $826 million | $71 million | ||||||||
Adjusted EPS from Continuing Operations | $6.93 | $6.29 | $0.64 |
Fiscal 2022 | Fiscal 2021 | |||||||
GAAP Net Earnings from Continuing Operations and Diluted Earnings Per Share (EPS) | $644 million ($4.98 per share) | $467 million ($3.12 per share) | ||||||
Adjustments for after-tax Restructuring, transaction costs and other charges ($185.4 million and $392.9 million for the fiscal 2022 and 2021 periods, respectively, before income taxes), comprised mainly of (i) a pre-tax $91.3 million charge related to the final settlement related to the Legacy CH2M Matter, net of previously recorded reserves and approximately $27 million in third party recoveries was recorded as receivables reducing SG&A, (ii) $78.3 for the Company's real estate impairment in the fiscal 2022 period and (iii) PA Consulting one time deal related charges, including $261 million in pre-tax compensation costs associated with the transaction and $(57.3) million, or $(0.44) per share, in EPS numerator adjustments relating to PA preference shares redemption value, which does not affect net earnings in the fiscal 2021 period. | $118 million ($0.91 per diluted share) | $304 million ($2.76 per diluted share) | ||||||
Other adjustments include: (a) add-back of amortization of intangible assets of $198.6 million and $149.8 million in the 2022 and 2021 periods, respectively, (b) the removal of $34.7 million in fair value gains and (losses) related to our investment in Worley stock (net of Worley stock dividend) and certain foreign currency revaluations relating to ECR sale in the 2021 period, (c) the removal of the fair value gains and (losses) for the Company's investment in C3.ai, Inc. ("C3") of $49.6 million in the 2021 period, (d) the removal of $29.1 million in additional income tax expense attributable to tax rate increases in the UK during in 2021, (e) applicable noncontrolling interests impacts for the above adjustment items and (f) associated income tax expense adjustments for the above pre-tax adjustment items. | $135 million ($1.04 per diluted share) | $54 million ($0.41 per diluted share) | ||||||
Adjusted Net Earnings from Continuing Operations and Adjusted EPS from Continuing Operations | $897 million ($6.93 per diluted share) | $826 million ($6.29 per diluted share) |
For the Three Months Ended | For the Years Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Revenues | $ | 3,881,048 | $ | 3,586,487 | $ | 14,922,825 | $ | 14,092,632 | |||||||||||||||
Direct cost of contracts | (3,045,367) | (2,758,723) | (11,595,785) | (11,048,860) | |||||||||||||||||||
Gross profit | 835,681 | 827,764 | 3,327,040 | 3,043,772 | |||||||||||||||||||
Selling, general and administrative expenses | (527,141) | (576,248) | (2,409,190) | (2,355,683) | |||||||||||||||||||
Operating Profit | 308,540 | 251,516 | 917,850 | 688,089 | |||||||||||||||||||
Other (Expense) Income: | |||||||||||||||||||||||
Interest income | 1,565 | 770 | 4,489 | 3,503 | |||||||||||||||||||
Interest expense | (32,695) | (19,926) | (100,246) | (72,714) | |||||||||||||||||||
Miscellaneous income (expense), net | 2,452 | (61,981) | 54,254 | 76,724 | |||||||||||||||||||
Total other (expense) income, net | (28,678) | (81,137) | (41,503) | 7,513 | |||||||||||||||||||
Earnings From Continuing Operations Before Taxes | 279,862 | 170,379 | 876,347 | 695,602 | |||||||||||||||||||
Income Tax Expense from Continuing Operations | (39,358) | (99,344) | (160,903) | (274,781) | |||||||||||||||||||
Net Earnings of the Group from Continuing Operations | 240,504 | 71,035 | 715,444 | 420,821 | |||||||||||||||||||
Net Earnings (Loss) of the Group from Discontinued Operations | 544 | (1,682) | (32) | 10,008 | |||||||||||||||||||
Net Earnings of the Group | 241,048 | 69,353 | 715,412 | 430,829 | |||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (8,502) | (9,847) | (36,788) | (39,213) | |||||||||||||||||||
Net (Earnings) Loss Attributable to Redeemable Noncontrolling interests | (7,339) | (16,362) | (34,585) | 85,414 | |||||||||||||||||||
Net Earnings Attributable to Jacobs from Continuing Operations | 224,663 | 44,826 | 644,071 | 467,022 | |||||||||||||||||||
Net Earnings Attributable to Jacobs | $ | 225,207 | $ | 43,144 | $ | 644,039 | $ | 477,030 | |||||||||||||||
Net Earnings Per Share: | |||||||||||||||||||||||
Basic Net Earnings from Continuing Operations Per Share | $ | 1.76 | $ | 0.34 | $ | 5.01 | $ | 3.15 | |||||||||||||||
Basic Net (Loss) Earnings from Discontinued Operations Per Share | $ | — | $ | (0.01) | $ | — | $ | 0.08 | |||||||||||||||
Basic Earnings Per Share | $ | 1.76 | $ | 0.33 | $ | 5.01 | $ | 3.22 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 1.75 | $ | 0.34 | $ | 4.98 | $ | 3.12 | |||||||||||||||
Diluted Net (Loss) Earnings from Discontinued Operations Per Share | $ | — | $ | (0.01) | $ | — | $ | 0.08 | |||||||||||||||
Diluted Earnings Per Share | $ | 1.75 | $ | 0.33 | $ | 4.98 | $ | 3.20 |
For the Three Months Ended | For the Years Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Revenues from External Customers: | |||||||||||||||||||||||
Critical Mission Solutions | $ | 1,387,702 | $ | 1,264,102 | $ | 5,233,629 | $ | 5,087,052 | |||||||||||||||
People & Places Solutions | 2,238,994 | 2,049,091 | 8,569,900 | 8,378,179 | |||||||||||||||||||
Pass Through Revenue | (647,265) | (544,435) | (2,318,732) | (2,381,785) | |||||||||||||||||||
People & Places Solutions Net Revenue | $ | 1,591,729 | $ | 1,504,656 | $ | 6,251,168 | $ | 5,996,394 | |||||||||||||||
PA Consulting | $ | 254,352 | $ | 273,294 | $ | 1,119,296 | $ | 627,401 | |||||||||||||||
Total Revenue | $ | 3,881,048 | $ | 3,586,487 | $ | 14,922,825 | $ | 14,092,632 | |||||||||||||||
Net Revenue | $ | 3,233,783 | $ | 3,042,052 | $ | 12,604,093 | $ | 11,710,847 |
For the Three Months Ended | For the Years Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Segment Operating Profit: | |||||||||||||||||||||||
Critical Mission Solutions | $ | 95,343 | $ | 115,028 | $ | 424,385 | $ | 447,161 | |||||||||||||||
People & Places Solutions (1) | 230,681 | 176,726 | 823,564 | 780,380 | |||||||||||||||||||
PA Consulting | 49,375 | 66,363 | 232,225 | 151,071 | |||||||||||||||||||
Total Segment Operating Profit | 375,399 | 358,117 | 1,480,174 | 1,378,612 | |||||||||||||||||||
Other Corporate Expenses (2) | (79,961) | (101,932) | (364,440) | (340,129) | |||||||||||||||||||
Restructuring, Other and Recoveries (Charges) (3) | 13,102 | (4,669) | (197,884) | (350,394) | |||||||||||||||||||
Total U.S. GAAP Operating Profit | 308,540 | 251,516 | 917,850 | 688,089 | |||||||||||||||||||
Total Other (Expense) Income, Net (4) | (28,678) | (81,137) | (41,503) | 7,513 | |||||||||||||||||||
Earnings from Continuing Operations Before Taxes | $ | 279,862 | $ | 170,379 | $ | 876,347 | $ | 695,602 |
September 30, 2022 | October 1, 2021 | ||||||||||
ASSETS | |||||||||||
Current Assets: | |||||||||||
Cash and cash equivalents | $ | 1,140,479 | $ | 1,014,249 | |||||||
Receivables and contract assets | 3,405,381 | 3,101,418 | |||||||||
Prepaid expenses and other | 176,134 | 176,228 | |||||||||
Total current assets | 4,721,994 | 4,291,895 | |||||||||
Property, Equipment and Improvements, net | 346,676 | 353,117 | |||||||||
Other Noncurrent Assets: | |||||||||||
Goodwill | 7,184,658 | 7,197,000 | |||||||||
Intangibles, net | 1,394,052 | 1,565,758 | |||||||||
Deferred income tax assets | 31,480 | 103,193 | |||||||||
Operating lease right-of-use assets | 476,913 | 650,097 | |||||||||
Miscellaneous | 504,646 | 471,549 | |||||||||
Total other noncurrent assets | 9,591,749 | 9,987,597 | |||||||||
$ | 14,660,419 | $ | 14,632,609 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
Current Liabilities: | |||||||||||
Current maturities of long-term debt | $ | 50,415 | $ | 53,456 | |||||||
Accounts payable | 966,792 | 908,441 | |||||||||
Accrued liabilities | 1,441,762 | 1,533,559 | |||||||||
Operating lease liability | 150,171 | 172,414 | |||||||||
Contract liabilities | 641,705 | 542,054 | |||||||||
Total current liabilities | 3,250,845 | 3,209,924 | |||||||||
Long-term debt | 3,357,256 | 2,839,933 | |||||||||
Liabilities relating to defined benefit pension and retirement plans | 271,332 | 418,080 | |||||||||
Deferred income tax liabilities | 269,077 | 214,380 | |||||||||
Long-term operating lease liability | 607,447 | 758,358 | |||||||||
Other deferred liabilities | 167,548 | 559,375 | |||||||||
Commitments and Contingencies | |||||||||||
Redeemable Noncontrolling Interests | 632,522 | 657,722 | |||||||||
Stockholders’ Equity: | |||||||||||
Capital stock: | |||||||||||
Preferred stock, $1 par value, authorized - 1,000,000 shares; issued and outstanding - none | — | — | |||||||||
Common stock, $1 par value, authorized - 240,000,000 shares; issued and outstanding - 127,393,378 shares and 128,892,540 shares as of September 30, 2022 and October 1, 2021, respectively | 127,393 | 128,893 | |||||||||
Additional paid-in capital | 2,682,009 | 2,590,012 | |||||||||
Retained earnings | 4,225,784 | 4,015,578 | |||||||||
Accumulated other comprehensive loss | (975,130) | (794,442) | |||||||||
Total Jacobs stockholders’ equity | 6,060,056 | 5,940,041 | |||||||||
Noncontrolling interests | 44,336 | 34,796 | |||||||||
Total Group stockholders’ equity | 6,104,392 | 5,974,837 | |||||||||
$ | 14,660,419 | $ | 14,632,609 |
For the Three Months Ended | For the Years Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Cash Flows from Operating Activities: | |||||||||||||||||||||||
Net earnings attributable to the Group | $ | 241,048 | $ | 69,353 | $ | 715,412 | $ | 430,829 | |||||||||||||||
Adjustments to reconcile net earnings to net cash flows provided by operations: | |||||||||||||||||||||||
Depreciation and amortization: | |||||||||||||||||||||||
Property, equipment and improvements | 24,533 | 26,540 | 102,454 | 101,024 | |||||||||||||||||||
Intangible assets | 51,713 | 46,468 | 198,602 | 149,776 | |||||||||||||||||||
Gain on sale of ECR business | — | — | — | (15,608) | |||||||||||||||||||
Loss (Gain) on investment in equity securities | — | 80,820 | (13,862) | (71,325) | |||||||||||||||||||
Stock based compensation | 11,678 | 14,702 | 53,383 | 56,221 | |||||||||||||||||||
Equity in earnings of operating ventures, net of return on capital distributions | 4,069 | 7,680 | 18,291 | 10,941 | |||||||||||||||||||
(Gain) loss on disposals of assets, net | 82 | 254 | (4,680) | 1,003 | |||||||||||||||||||
Impairment of equity method investment and other long term assets | 3,707 | 502 | 78,292 | 40,640 | |||||||||||||||||||
Loss on pension and retiree medical plan changes | 123 | 2,783 | 123 | 2,783 | |||||||||||||||||||
Deferred income taxes | 49,702 | 75,204 | 111,846 | 113,623 | |||||||||||||||||||
Changes in assets and liabilities, excluding the effects of businesses acquired: | |||||||||||||||||||||||
Receivables and contract assets, net of contract liabilities | (153,340) | 10,162 | (267,947) | 242,154 | |||||||||||||||||||
Prepaid expenses and other current assets | (28,957) | (40,402) | 6 | 6,800 | |||||||||||||||||||
Miscellaneous other assets | (5,388) | 8,186 | 113,850 | 116,097 | |||||||||||||||||||
Accounts payable | 32,980 | (14,766) | 87,402 | (165,502) | |||||||||||||||||||
Income taxes payable | 4,428 | (40,100) | (70,258) | 20,961 | |||||||||||||||||||
Accrued liabilities | 41,146 | (32,472) | (552,036) | (252,305) | |||||||||||||||||||
Other deferred liabilities | 862 | (18,930) | (73,697) | (63,915) | |||||||||||||||||||
Other, net | (846) | 6,720 | (22,472) | 2,079 | |||||||||||||||||||
Net cash provided by operating activities | 277,540 | 202,704 | 474,709 | 726,276 | |||||||||||||||||||
Cash Flows from Investing Activities: | |||||||||||||||||||||||
Additions to property and equipment | (47,562) | (27,144) | (127,615) | (92,814) | |||||||||||||||||||
Disposals of property and equipment and other assets | 106 | 6 | 9,392 | 474 | |||||||||||||||||||
Capital contributions to equity investees, net of return of capital distributions | 269 | (823) | 3,025 | (5,016) | |||||||||||||||||||
Acquisitions of businesses, net of cash acquired | — | — | (437,083) | (1,741,062) | |||||||||||||||||||
Disposals of investment in equity securities | — | 369,294 | 13,862 | 421,315 | |||||||||||||||||||
Payments related to sales of businesses | — | — | — | 36,360 | |||||||||||||||||||
Net cash (used for) provided by investing activities | (47,187) | 341,333 | (538,419) | (1,380,743) | |||||||||||||||||||
Cash Flows from Financing Activities: | |||||||||||||||||||||||
Net (repayments of) proceeds from borrowings | (80,176) | (203,414) | 718,975 | 1,220,440 | |||||||||||||||||||
Debt issuance costs | — | — | — | (2,747) | |||||||||||||||||||
Proceeds from issuances of common stock | 10,047 | 8,362 | 51,034 | 38,077 | |||||||||||||||||||
Common stock repurchases | (31,217) | (249,999) | (281,926) | (274,948) | |||||||||||||||||||
Taxes paid on vested restricted stock | (13) | (71) | (28,587) | (25,867) | |||||||||||||||||||
Cash dividends to shareholders | (29,360) | (27,387) | (115,948) | (107,188) | |||||||||||||||||||
Net dividends associated with noncontrolling interests | (10,879) | (8,701) | (26,982) | (48,784) | |||||||||||||||||||
Repurchase of redeemable noncontrolling interests | — | — | (46,074) | — | |||||||||||||||||||
Proceeds from issuances of redeemable noncontrolling interests | 4 | — | 49,742 | — | |||||||||||||||||||
Net cash (used for) provided by financing activities | (141,594) | (481,210) | 320,234 | 798,983 | |||||||||||||||||||
Effect of Exchange Rate Changes | (48,973) | (14,983) | (128,892) | 19,635 | |||||||||||||||||||
Net Increase in Cash and Cash Equivalents and Restricted Cash | 39,786 | 47,844 | 127,632 | 164,151 | |||||||||||||||||||
Cash and Cash Equivalents, including Restricted Cash, at the Beginning of the Period | 1,114,421 | 978,731 | 1,026,575 | 862,424 | |||||||||||||||||||
Cash and Cash Equivalents, including Restricted Cash, at the End of the Period | $ | 1,154,207 | $ | 1,026,575 | $ | 1,154,207 | $ | 1,026,575 |
Unaudited | September 30, 2022 | October 1, 2021 | |||||||||
Critical Mission Solutions | $ | 10,561 | $ | 10,589 | |||||||
People & Places Solutions | 17,032 | 15,738 | |||||||||
PA Consulting | 269 | 304 | |||||||||
Total | $ | 27,862 | $ | 26,631 |
Three Months Ended | |||||||||||||||||||||||
September 30, 2022 | |||||||||||||||||||||||
Unaudited | U.S. GAAP | Effects of Restructuring, Transaction and Other Charges (1) | Other Adjustments (2) | Adjusted | |||||||||||||||||||
Revenues | $ | 3,881,048 | $ | — | $ | — | $ | 3,881,048 | |||||||||||||||
Pass through revenue | — | — | (647,265) | (647,265) | |||||||||||||||||||
Net revenue | 3,881,048 | — | (647,265) | 3,233,783 | |||||||||||||||||||
Direct cost of contracts | (3,045,367) | 1,630 | 647,265 | (2,396,472) | |||||||||||||||||||
Gross profit | 835,681 | 1,630 | — | 837,311 | |||||||||||||||||||
Selling, general and administrative expenses | (527,141) | (14,732) | 51,713 | (490,160) | |||||||||||||||||||
Operating Profit | 308,540 | (13,102) | 51,713 | 347,151 | |||||||||||||||||||
Total other expense, net | (28,678) | (1,810) | — | (30,488) | |||||||||||||||||||
Earnings from Continuing Operations Before Taxes | 279,862 | (14,912) | 51,713 | 316,663 | |||||||||||||||||||
Income Tax (Expense) Benefit for Continuing Operations | (39,358) | (26,347) | 2,251 | (63,454) | |||||||||||||||||||
Net Earnings of the Group from Continuing Operations | 240,504 | (41,259) | 53,964 | 253,209 | |||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (8,502) | — | — | (8,502) | |||||||||||||||||||
Net (Earnings) Loss Attributable to Redeemable Noncontrolling interests | (7,339) | (1,087) | (5,221) | (13,647) | |||||||||||||||||||
Net Earnings attributable to Jacobs from Continuing Operations | 224,663 | (42,346) | 48,743 | 231,060 | |||||||||||||||||||
Net Earnings attributable to Discontinued Operations | 544 | — | — | 544 | |||||||||||||||||||
Net Earnings attributable to Jacobs | $ | 225,207 | $ | (42,346) | $ | 48,743 | $ | 231,604 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 1.75 | $ | (0.33) | $ | 0.38 | $ | 1.80 | |||||||||||||||
Diluted Net (Loss) Earnings from Discontinued Operations Per Share | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
Diluted Earnings Per Share | $ | 1.75 | $ | (0.33) | $ | 0.38 | $ | 1.80 | |||||||||||||||
Operating Profit Margin | 7.9% | 10.7% |
Three Months Ended | |||||||||||||||||||||||
October 1, 2021 | |||||||||||||||||||||||
Unaudited | U.S. GAAP | Effects of Restructuring, Transaction and Other Charges (1) | Other Adjustments (2) | Adjusted | |||||||||||||||||||
Revenues | $ | 3,586,487 | $ | — | $ | — | $ | 3,586,487 | |||||||||||||||
Pass through revenue | — | — | (544,435) | (544,435) | |||||||||||||||||||
Net revenue | 3,586,487 | — | (544,435) | 3,042,052 | |||||||||||||||||||
Direct cost of contracts | (2,758,723) | (274) | 544,435 | (2,214,562) | |||||||||||||||||||
Gross profit | 827,764 | (274) | — | 827,490 | |||||||||||||||||||
Selling, general and administrative expenses | (576,248) | 4,943 | 46,467 | (524,838) | |||||||||||||||||||
Operating Profit | 251,516 | 4,669 | 46,467 | 302,652 | |||||||||||||||||||
Total other (expense) income, net | (81,137) | (323) | 67,515 | (13,945) | |||||||||||||||||||
Earnings from Continuing Operations Before Taxes | 170,379 | 4,346 | 113,982 | 288,707 | |||||||||||||||||||
Income Tax Expense for Continuing Operations | (99,344) | 36,127 | 5,958 | (57,259) | |||||||||||||||||||
Net Earnings of the Group from Continuing Operations | 71,035 | 40,473 | 119,940 | 231,448 | |||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (9,847) | — | — | (9,847) | |||||||||||||||||||
Net (Earnings) Loss Attributable to Redeemable Noncontrolling Interests | (16,362) | 8,234 | (6,326) | (14,454) | |||||||||||||||||||
Net Earnings from Continuing Operations attributable to Jacobs | 44,826 | 48,707 | 113,614 | 207,147 | |||||||||||||||||||
Net Loss attributable to Discontinued Operations | (1,682) | — | — | (1,682) | |||||||||||||||||||
Net Earnings attributable to Jacobs | $ | 43,144 | $ | 48,707 | $ | 113,614 | $ | 205,465 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 0.34 | $ | 0.37 | $ | 0.86 | $ | 1.58 | |||||||||||||||
Diluted Net Earnings from Discontinued Operations Per Share | $ | (0.01) | $ | — | $ | — | $ | (0.01) | |||||||||||||||
Diluted Earnings Per Share | $ | 0.33 | $ | 0.37 | $ | 0.86 | $ | 1.56 | |||||||||||||||
Operating Profit Margin | 7.0% | 9.9% |
For the Year Ended | |||||||||||||||||||||||
September 30, 2022 | |||||||||||||||||||||||
Unaudited | U.S. GAAP | Effects of Restructuring, Transaction and Other Charges (1) | Other Adjustments (2) | Adjusted | |||||||||||||||||||
Revenues | $ | 14,922,825 | $ | — | $ | — | $ | 14,922,825 | |||||||||||||||
Pass through revenue | — | — | (2,318,732) | (2,318,732) | |||||||||||||||||||
Net revenue | 14,922,825 | — | (2,318,732) | 12,604,093 | |||||||||||||||||||
Direct cost of contracts | (11,595,785) | 1,633 | 2,318,732 | (9,275,420) | |||||||||||||||||||
Gross profit | 3,327,040 | 1,633 | — | 3,328,673 | |||||||||||||||||||
Selling, general and administrative expenses | (2,409,190) | 196,251 | 198,602 | (2,014,337) | |||||||||||||||||||
Operating Profit | 917,850 | 197,884 | 198,602 | 1,314,336 | |||||||||||||||||||
Total other (expense) income, net | (41,503) | (12,492) | 5 | (53,990) | |||||||||||||||||||
Earnings from Continuing Operations Before Taxes | 876,347 | 185,392 | 198,607 | 1,260,346 | |||||||||||||||||||
Income Tax Expense for Continuing Operations | (160,903) | (65,888) | (41,442) | (268,233) | |||||||||||||||||||
Net Earnings of the Group from Continuing Operations | 715,444 | 119,504 | 157,165 | 992,113 | |||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (36,788) | — | — | (36,788) | |||||||||||||||||||
Net Earnings Attributable to Redeemable Noncontrolling interests | (34,585) | (1,511) | (22,065) | (58,161) | |||||||||||||||||||
Net Earnings attributable to Jacobs from Continuing Operations | 644,071 | 117,993 | 135,100 | 897,164 | |||||||||||||||||||
Net Loss attributable to Discontinued Operations | (32) | — | — | (32) | |||||||||||||||||||
Net Earnings attributable to Jacobs | $ | 644,039 | $ | 117,993 | $ | 135,100 | $ | 897,132 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 4.98 | $ | 0.91 | $ | 1.04 | $ | 6.93 | |||||||||||||||
Diluted Net Earnings from Discontinued Operations Per Share | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
Diluted Earnings Per Share | $ | 4.98 | $ | 0.91 | $ | 1.04 | $ | 6.93 | |||||||||||||||
Operating Profit Margin | 6.2% | 10.4% |
For the Year Ended | |||||||||||||||||||||||
October 1, 2021 | |||||||||||||||||||||||
Unaudited | U.S. GAAP | Effects of Restructuring, Transaction and Other Charges (1) | Other Adjustments (2) | Adjusted | |||||||||||||||||||
Revenues | $ | 14,092,632 | $ | — | $ | — | $ | 14,092,632 | |||||||||||||||
Pass through revenue | — | — | (2,381,785) | (2,381,785) | |||||||||||||||||||
Net revenue | 14,092,632 | — | (2,381,785) | 11,710,847 | |||||||||||||||||||
Direct cost of contracts | (11,048,860) | 9 | 2,381,785 | (8,667,066) | |||||||||||||||||||
Gross profit | 3,043,772 | 9 | — | 3,043,781 | |||||||||||||||||||
Selling, general and administrative expenses | (2,355,683) | 350,385 | 149,749 | (1,855,549) | |||||||||||||||||||
Operating Profit | 688,089 | 350,394 | 149,749 | 1,188,232 | |||||||||||||||||||
Total other expense, net | 7,513 | 42,549 | (84,477) | (34,415) | |||||||||||||||||||
Earnings from Continuing Operations Before Taxes | 695,602 | 392,943 | 65,272 | 1,153,817 | |||||||||||||||||||
Income Tax Expense for Continuing Operations | (274,781) | 6,729 | 16,144 | (251,908) | |||||||||||||||||||
Net Earnings of the Group from Continuing Operations | 420,821 | 399,672 | 81,416 | 901,909 | |||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interests from Continuing Operations | (39,213) | — | — | (39,213) | |||||||||||||||||||
Net Loss (Earnings) Attributable to Redeemable Noncontrolling Interests | 85,414 | (95,246) | (27,307) | (37,139) | |||||||||||||||||||
Net Earnings attributable to Jacobs from Continuing Operations | 467,022 | 304,426 | 54,109 | 825,557 | |||||||||||||||||||
Net Earnings attributable to Discontinued Operations | 10,008 | — | 10,008 | ||||||||||||||||||||
Net Earnings attributable to Jacobs | $ | 477,030 | $ | 304,426 | $ | 54,109 | $ | 835,565 | |||||||||||||||
Preferred Redeemable Noncontrolling interests redemption value adjustment | (57,307) | 57,307 | $ | — | — | ||||||||||||||||||
Net earnings from continuing operations allocated to common stock for EPS calculation | $ | 409,715 | $ | 361,733 | $ | 54,109 | $ | 825,557 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 3.12 | $ | 2.76 | $ | 0.41 | $ | 6.29 | |||||||||||||||
Diluted Net Earnings from Discontinued Operations Per Share | $ | 0.08 | $ | — | $ | — | $ | 0.08 | |||||||||||||||
Diluted Earnings Per Share | $ | 3.20 | $ | 2.76 | $ | 0.41 | $ | 6.37 | |||||||||||||||
Operating Profit Margin | 4.9% | 10.1% |
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Adj Net earnings from Continuing Operations | $ | 231,060 | $ | 207,147 | $ | 897,164 | $ | 825,557 | |||||||||||||||
Adj. Income Tax Expense for Continuing Operations | (63,454) | (57,259) | (268,233) | (251,908) | |||||||||||||||||||
Adj. Net earnings from Continuing Operations attributable to Jacobs before income taxes | 294,514 | 264,406 | 1,165,397 | 1,077,465 | |||||||||||||||||||
Depreciation expense | 24,533 | 26,540 | 102,454 | 101,024 | |||||||||||||||||||
Interest income | (1,565) | (770) | (4,489) | (3,503) | |||||||||||||||||||
Adj. Interest expense (1) | 32,695 | 19,926 | 100,246 | 68,714 | |||||||||||||||||||
Adjusted EBITDA | $ | 350,177 | $ | 310,102 | $ | 1,363,608 | $ | 1,243,700 | |||||||||||||||
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Net cash provided by operating activities | $ | 277,540 | $ | 202,704 | $ | 474,709 | $ | 726,276 | |||||||||||||||
Additions to property and equipment | (47,562) | (27,144) | (127,615) | (92,814) | |||||||||||||||||||
Free cash flow | $ | 229,978 | $ | 175,560 | $ | 347,094 | $ | 633,462 |
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||||||||||
(in thousands) | September 30, 2022 | October 1, 2021 | % Change | September 30, 2022 | October 1, 2021 | % Change | |||||||||||||||||||||||||||||
Total Net Revenue | |||||||||||||||||||||||||||||||||||
Net Revenue | $ | 3,233,783 | $ | 3,042,052 | 6.3 | % | $ | 12,604,093 | $ | 11,710,847 | 7.6 | % | |||||||||||||||||||||||
Exchange rate effect | 143,931 | 292,727 | |||||||||||||||||||||||||||||||||
Constant currency Net Revenue | $ | 3,377,714 | 11.0 | % | $ | 12,896,820 | 10.1 | % |
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | % Change | September 30, 2022 | October 1, 2021 | % Change | ||||||||||||||||||||||||||||||
Total Adjusted EPS from Continuing Operations (1) | |||||||||||||||||||||||||||||||||||
Adjusted EPS from Continuing Operations | $ | 1.80 | $ | 1.58 | 13.9 | % | $ | 6.93 | $ | 6.29 | 10.2 | % | |||||||||||||||||||||||
Exchange rate effect | 0.07 | 0.19 | |||||||||||||||||||||||||||||||||
Constant currency Adjusted EPS from Continuing Operations | $ | 1.87 | 18.4 | % | $ | 7.12 | 13.2 | % |
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||||||||||
(in thousands) | September 30, 2022 | October 1, 2021 | % Change | September 30, 2022 | October 1, 2021 | % Change | |||||||||||||||||||||||||||||
Total Adjusted EBITDA | |||||||||||||||||||||||||||||||||||
Adjusted EBITDA | $ | 350,177 | $ | 310,102 | 12.9 | % | $ | 1,363,608 | $ | 1,243,700 | 9.6 | % | |||||||||||||||||||||||
Exchange rate effect | 11,627 | 30,357 | |||||||||||||||||||||||||||||||||
Constant currency Adjusted EBITDA | $ | 361,804 | 16.7 | % | $ | 1,393,965 | 12.1 | % |
(in thousands) | September 30, 2022 | October 1, 2021 | % Change | ||||||||||||||
Total Backlog | |||||||||||||||||
Backlog | $ | 27,862,061 | $ | 26,629,753 | 4.6 | % | |||||||||||
Exchange rate effect | (720,006) | ||||||||||||||||
Constant currency Backlog | $ | 25,909,747 | 7.5 | % |
For the Three Months Ended | For the Years Ended | ||||||||||||||||||||||
September 30, 2022 | October 1, 2021 | September 30, 2022 | October 1, 2021 | ||||||||||||||||||||
Numerator for Basic and Diluted EPS: | |||||||||||||||||||||||
Net earnings attributable to Jacobs from continuing operations | $ | 224,663 | $ | 44,826 | $ | 644,071 | $ | 467,022 | |||||||||||||||
Preferred Redeemable Noncontrolling interests redemption value adjustment | — | — | — | (57,307) | |||||||||||||||||||
Net earnings from continuing operations allocated to common stock for EPS calculation | $ | 224,663 | $ | 44,826 | $ | 644,071 | $ | 409,715 | |||||||||||||||
Net earnings (loss) from discontinued operations allocated to common stock for EPS calculation | $ | 544 | $ | (1,682) | $ | (32) | $ | 10,008 | |||||||||||||||
Net earnings allocated to common stock for EPS calculation | $ | 225,207 | $ | 43,144 | $ | 644,039 | $ | 419,723 | |||||||||||||||
Denominator for Basic and Diluted EPS: | |||||||||||||||||||||||
Weighted average basic shares | 127,759 | 130,162 | 128,665 | 130,194 | |||||||||||||||||||
Shares allocated to participating securities | — | — | — | — | |||||||||||||||||||
Shares used for calculating basic EPS attributable to common stock | 127,759 | 130,162 | 128,665 | 130,194 | |||||||||||||||||||
Effect of dilutive securities: | |||||||||||||||||||||||
Stock compensation plans | 818 | 1,200 | 780 | 1,080 | |||||||||||||||||||
Shares used for calculating diluted EPS attributable to common stock | 128,577 | 131,362 | 129,445 | 131,274 | |||||||||||||||||||
Net Earnings Per Share: | |||||||||||||||||||||||
Basic Net Earnings from Continuing Operations Per Share | $ | 1.76 | $ | 0.34 | $ | 5.01 | $ | 3.15 | |||||||||||||||
Basic Net Earnings from Discontinued Operations Per Share | $ | — | $ | (0.01) | $ | — | $ | 0.08 | |||||||||||||||
Basic Earnings Per Share: | $ | 1.76 | $ | 0.33 | $ | 5.01 | $ | 3.22 | |||||||||||||||
Diluted Net Earnings from Continuing Operations Per Share | $ | 1.75 | $ | 0.34 | $ | 4.98 | $ | 3.12 | |||||||||||||||
Diluted Net Earnings from Discontinued Operations Per Share | $ | — | $ | (0.01) | $ | — | $ | 0.08 | |||||||||||||||
Diluted Earnings Per Share: | $ | 1.75 | $ | 0.33 | $ | 4.98 | $ | 3.20 |
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