SNC-Lavalin Group reports $292.9-million Q4 loss due to fraud settlement

MONTREAL — SNC-Lavalin Group Inc. reported a fourth-quarter loss of $292.9 million as the company recorded a charge related to a $280-million fine it agreed to pay after its construction division pleaded guilty to fraud for actions taken in Libya between 2001 and 2011.

The engineering company has been working to set a new strategic direction for the company in recent months including the addition of several new senior executives and changes on its board of directors.

In reporting its results Friday, SNC says a special committee established in December 2018 to explore a range of alternatives has completed its work and been disbanded.

The company says the loss amounted to $1.67 per diluted share for the quarter compared with a loss of $1.6 billion or $9.11 per diluted share in the same quarter a year earlier when it recorded a $1.2-billion goodwill impairment charge.

Revenue totalled $2.44 billion, down from $2.56 billion in the fourth quarter of 2018.

SNC says its adjusted earnings per share amounted to 56 cents per share for the fourth quarter including 45 cents from its engineering and construction business. The result compared with an adjusted loss of $1.31 per diluted share in the last three months of 2018 when the engineering and construction business had an adjusted loss of $1.62 per diluted share.

This report by The Canadian Press was first published Feb. 28, 2020.

Companies in this story: (TSX:SNC)

 

 

The Canadian Press