CB&I Reports Strong 2013 Third Quarter Results

                CB&I Reports Strong 2013 Third Quarter Results

PR Newswire

THE WOODLANDS, Texas, Oct. 29, 2013

THE WOODLANDS, Texas, Oct. 29, 2013 /PRNewswire/ --CB&I (NYSE: CBI) today
reported net income for the third quarter of $117.7 million, or $1.08 per
diluted share, including the after tax impact of acquisition-related costs of
$3.7 million, or $0.04 per diluted share. Revenue for the third quarter was
$3.0 billion with new awards of $2.5 billion, resulting in a backlog of $24.5
billion.

"CB&I had another successful quarter and continued to deliver growth in
revenue and income from operations. Revenue was up 107% from $1.4 billion in
the third quarter 2012, and adjusted income from operations was $207.4
million, up 57% from the comparable period last year. The company earned
adjusted earnings per share of $1.12," said Philip K. Asherman, President and
CEO. "We are confident in our ability to convert major prospects into new
backlog in the fourth quarter of 2013 and in 2014, while sustaining the
margins in the end markets we serve."

Earnings Conference Call

CB&I will host a webcast on October 29 at 4:00 p.m. CDT (5:00 p.m. EDT) to
discuss financial and operating results, and answer questions from investors.
The webcast will be available on the Investor Relations page of www.CBI.com.

About CB&I

CB&I (NYSE: CBI) is the most complete energy infrastructure focused company in
the world and a major provider of government services. Drawing upon more than
a century of experience and the expertise of approximately 50,000 employees,
CB&I provides reliable solutions while maintaining a relentless focus on
safety and an uncompromising standard of quality. For more information, visit
www.CBI.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements regarding CB&I and
represents our expectations and beliefs concerning future events. These
forward-looking statements are intended to be covered by the safe harbor for
forward-looking statements provided by the Private Securities Litigation
Reform Act of 1995. Forward-looking statements involve known and unknown risks
and uncertainties. When considering any statements that are predictive in
nature, depend upon or refer to future events or conditions, or use or contain
words, terms, phrases or expressions such as "achieve," "forecast," "plan,"
"propose," "strategy," "envision," "hope," "will," "continue," "potential,"
"expect," "believe," "anticipate," "project," "estimate," "predict," "intend,"
"should," "could," "may," "might" or similar forward-looking statements, we
refer you to the cautionary statements concerning risk factors and
"Forward-Looking Statements" described under "Risk Factors" in Item 1A of our
Annual Report filed on Form 10-K filed with the SEC for the year ended
December 31, 2012, and any updates to those risk factors or "Forward-Looking
Statements" included in our subsequent Quarterly Reports on Form 10-Q filed
with the SEC, which cautionary statements are incorporated herein by
reference.



Chicago Bridge & Iron Company N.V.
Consolidated Statements of Operations
(in thousands, except per share data)
                         Three Months                Nine Months
                         Ended September 30,         Ended September 30,
                         2013          2012          2013          2012
Revenue                  $ 2,992,050  $ 1,446,942  $ 8,094,270  $ 
                                                                   3,947,738
Cost of revenue          2,675,481     1,258,052     7,234,466     3,446,699
   Gross profit          316,569       188,890       859,804       501,039
   % of Revenue          10.6%         13.1%         10.6%         12.7%
Selling and              93,699        52,860        280,564       168,484
administrative expense
   % of Revenue          3.1%          3.7%          3.5%          4.3%
Intangibles amortization 17,411        5,996         42,682        18,125
Equity earnings          (5,734)       (705)         (16,137)      (6,515)
Other operating expense  3,800         (946)         2,136         (1,184)
(income), net
Acquisition-related      5,257         3,500         76,477        5,000
costs
   Income from           202,136       128,185       474,082       317,129
   operations
   % of Revenue          6.8%          8.9%          5.9%          8.0%
Interest expense         (22,569)      (6,826)       (66,072)      (11,769)
Interest income         1,340         1,962         5,209         6,437
   Income before taxes   180,907       123,321       413,219       311,797
Income tax expense      (47,944)      (37,068)      (117,684)     (91,726)
   Net income            132,963       86,253        295,535       220,071
Less: Net income
attributable to          (15,275)      (6,022)       (38,196)      (8,033)
noncontrolling interests
   Net income            $           $           $           $  
   attributable to CB&I  117,688       80,231       257,339       212,038
Net income attributable
to CB&I per share:
   Basic                 $         $         $         $    
                         1.10         0.83         2.44          2.19
   Diluted               $         $         $         $    
                         1.08         0.82         2.41          2.16
Weighted average shares
outstanding:
   Basic                 107,277       96,399        105,398       96,684
   Diluted               108,665       97,814        106,874       98,231
Cash dividends on
shares:
   Amount                $          $          $           $   
                         5,370        4,836        16,078       14,553
   Per Share             $         $         $         $    
                         0.05         0.05         0.15          0.15
Non-GAAP Supplemental Information
(amounts adjusted to exclude Shaw acquisition-related transaction costs) ^(1)
   Adjusted income from  $           $           $           $  
   operations            207,393       131,685       550,559       322,129
   Adjusted % of Revenue 6.9%          9.1%          6.8%          8.2%
   Adjusted net income   $           $           $           $  
   attributable to CB&I  121,344       82,506       318,521       215,281
   Adjusted net income   $        $         $        $    
   attributable to CB&I  1.12          0.84         2.98           2.19
   per share (diluted)

      The exclusion of Shaw acquisition-related transaction costs is a
 ^(1) non-GAAP financial measure, which we believe provides users a better
      indication of our operating performance. See Reconciliation of Non-GAAP
      Supplemental Information table.







Chicago Bridge & Iron Company N.V.
Segment Information
(in thousands)
                    Three Months Ended September 30,            Nine Months Ended September 30,
                    2013                  2012                  2013                  2012
                               % of                % of                % of                % of
NEW AWARDS ^(1)                Total               Total               Total               Total
Engineering,                             $ 
Construction and    $1,366,659 55%        350,812    38%        $3,893,123 56%        $2,856,308 64%
Maintenance
Fabrication        681,068    27%        437,366    47%        1,882,205  27%        1,016,456  23%
Services
Technology        139,764    6%         141,934    15%        399,906    6%         582,470    13%
Government         310,695    12%        -          0%         782,688    11%        -          0%
Solutions
 Total         $2,498,186            $                    $6,957,922            $4,455,234
                                          930,112
                               % of                % of                % of                % of
REVENUE                        Total               Total               Total               Total
Engineering,                             $ 
Construction and    $1,750,659 58%        871,084    60%        $4,841,773 60%        $2,340,682 59%
Maintenance
Fabrication        707,026    24%        425,360    29%        1,877,545  23%        1,267,855  32%
Services
Technology        155,941    5%         150,498    11%        468,723    6%         339,201    9%
Government         378,424    13%        -          0%         906,229    11%        -          0%
Solutions
 Total         $2,992,050            $1,446,942            $8,094,270            $3,947,738
                               % of                % of                % of                % of
INCOME FROM                    Revenue             Revenue             Revenue             Revenue
OPERATIONS
Engineering,       $                   $                   $                    $ 
Construction and    74,659     4.3%       45,400     5.2%       219,344    4.5%       108,855    4.7%
Maintenance
Fabrication        72,184     10.2%      45,208     10.6%      184,103    9.8%       127,382    10.0%
Services
Technology        44,804     28.7%      41,077     27.3%      116,710    24.9%      85,892     25.3%
Government         15,746     4.2%       -          0.0%       30,402     3.4%       -          0.0%
Solutions
Total operating    $         6.9%       $         9.1%       $         6.8%       $         8.2%
groups             207,393               131,685               550,559               322,129

Acquisition-related (5,257)               (3,500)               (76,477)              (5,000)
costs
 Total          $         6.8%       $         8.9%       $         5.9%       $         8.0%
                    202,136               128,185               474,082               317,129

(1) New awards represents the value of new project commitments received by
    the Company during a given period.







Chicago Bridge & Iron Company N.V.
Condensed Consolidated Balance Sheets
(in thousands)
                                    September 30,          December 31,
                                    2013                   2012
ASSETS
Current assets                      $              $       
                                    3,724,173              2,721,555
Equity investments                  86,936                 97,267
Property and equipment, net         769,441                285,871
Goodwill and other intangibles, net 4,351,996              1,093,019
Other non-current assets            204,989                131,963
     Total assets                   $              $       
                                    9,137,535              4,329,675
LIABILITIES AND SHAREHOLDERS'
EQUITY
Current maturities of long-term     $             $         
debt and revolver borrowings        337,750                   -
Other current liabilities           4,368,020              1,772,522
Long-term debt                     1,650,000              800,000
Other non-current liabilities       543,303                360,843
Shareholders' equity                2,238,462              1,396,310
     Total liabilities and          $              $       
     shareholders' equity           9,137,535              4,329,675
Chicago Bridge & Iron Company N.V.
Condensed Consolidated Statements of Cash Flows and Other Financial Data
(in thousands)
                                    Nine Months
                                    Ended September 30,
                                    2013                   2012
CASH FLOWS
Cash flows from operating           $              $        
activities                          (193,979)             138,212
Cash flows from investing           (1,797,258)            (46,087)
activities
Cash flows from financing           1,901,483              (115,693)
activities
Effect of exchange rate changes on  (10,678)               6,511
cash and cash equivalents
Decrease in cash and cash           (100,432)              (17,057)
equivalents
Cash and cash equivalents,          643,395                671,811
beginning of the year
Cash and cash equivalents, end of   $             $        
the period                          542,963                654,754
OTHER FINANCIAL DATA
Increase in receivables, net        $              $        
                                    (242,507)             (211,427)
Change in contracts in progress,    (385,098)              (133,930)
net
Increase in inventory               (11,985)               (915)
(Decrease) increase in accounts     (98,338)               105,958
payable
     Change in contract capital     $              $        
                                    (737,928)             (240,314)
Depreciation and amortization      $             $         
                                    130,685                50,511
Capital expenditures                $            $         
                                    60,524                 50,996
                                    September 30, 2013     December 31, 2012
Backlog ^(1)                        $               $      
                                    24,452,723             10,928,818

^(1) Backlog includes the value of new award commitments until work is
     performed and revenue is recognized or until cancellation.
     Backlog may also fluctuate with currency movements.





Chicago Bridge & Iron Company N.V.
Reconciliation of Non-GAAP Supplemental Information
(in thousands, except per share data)
                                Three Months            Nine Months
                                Ended September 30,     Ended September 30,
                                2013        2012        2013        2012
Adjusted income from
operations
 Income from operations         $202,136    $128,185    $474,082    $317,129
 Acquisition-related costs      5,257       3,500       76,477      5,000
 Adjusted income from           $207,393    $131,685    $550,559    $322,129
 operations
 Adjusted % of Revenue          6.9%        9.1%        6.8%        8.2%
Adjusted net income
attributable to CB&I
 Net income attributable to     $117,688    $ 80,231   $257,339    $212,038
 CB&I
 Acquisition-related
 transaction costs, net of tax  3,656       2,275       61,182      3,243
 ^(1)
 Adjusted net income            $121,344    $ 82,506   $318,521    $215,281
 attributable to CB&I
Adjusted net income
attributable to CB&I per share
 Net income attributable to     $   1.08  $   0.82  $   2.41  $   2.16
 CB&I
 Acquisition-related
 transaction costs, net of tax  0.04        0.02        0.57        0.03
 ^(1)
 Adjusted net income            $   1.12  $   0.84  $   2.98  $   2.19
 attributable to CB&I

     The three and nine month periods ended September 30, 2013 include $5,257
     and $76,477 of acquisition-related costs, respectively, and the nine
^(1) month period ended September 30, 2013 includes $10,517 of
     acquisition-related pre-closing financing costs and one-time financial
     commitments (both included in interest expense and recorded in Q1). These
     costs total $5,257 and $86,994, less the tax impact of $1,601 and
     $25,812, respectively. The per share amounts for the three and nine month
     periods are based upon diluted weighted average shares of 108,665 and
     106,874, respectively.
     The three and nine month periods ended September 30, 2012 include $3,500
     and $5,000 of acquisition-related costs, respectively, less the tax
     impacts of $1,225 and $1,757, respectively. The per share amounts for the
     three and nine month periods are based upon diluted weighted average
     shares of 97,814 and 98,231, respectively.

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SOURCE CB&I

Website: http://www.cbi.com
Contact: Media: www.CBI.com, Investors: Christi Thoms, +1 832 513 1200
 
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