Stantec announces good results; continues march into U.S.

Stantec of Edmonton announced positive results for the second quarter of 2014, and continues to acquire companies in the United States. On August 7 the company announced that gross revenue had increased 11.8% to $633.8 million compared to the same quarter of 2013. Net income had increased 22.4% to $44.3 million compared to the same quarter last year.

Diluted earnings per share increased 20.5% to $0.94 and a quarterly dividend of $0.185 per share was declared.

The company said its positive performance is partly a result of sustained activity in energy and resources, and infrastructure. For the first half of the year, Stantec’s gross revenue grew organically by 4.7%.

The company says it is continuing its “disciplined acquisition strategy,” and acquired four companies in the second quarter: JBR Environmental Consultants, Group Affiliates (SHW), Wiley Engineering, and USKH. Together they amount to 580 employees added to the roster.

Listed on the Toronto and New York stock exchanges, Stantec now has 8,400 staff in Canada, and 6,500 in the U.S. as of July 31. The acquisition of another U.S. firm, ADD of Boston and Miami, with 210 employees was announced on August 13.

Bob Gomes, Stantec president and chief executive officer, said: “As we move into the second half of the year, Stantec’s performance continues to meet expectations and deliver solid results. For this, we recognize our hardworking employees who continue to provide creative solutions that build strong, local communities.”

The announcement of the financial results mentioned two specific projects: an inspection and secondary packaging area for a drug manufacturer in the San Francisco Bay area, and the City of Atlanta’s Raw Water Delivery System project which includes one of the largest design-build tunnels ever designed in North America.

To read the Stantec announcement, click here.