Fluor's Q2 New Orders Surge to $6.1 Billion, Nuclear Fuel Enrichment Projects Boost Backlog to $26.9 Billion

U.S. engineering and construction giant Fluor demonstrated a clear acceleration in order intake in the second quarter of 2026, with new project awards reaching $6.1 billion, significantly higher than the $1.8 billion recorded in the same period last year. Among these, nuclear fuel enrichment projects emerged as a key highlight, driving the company's ending backlog to $26.9 billion. The rapid expansion in order volume indicates that customer demand for its engineering, procurement, and construction capabilities is recovering, and also reflects the tangible results of converting earlier front-end design and project development work.

In terms of contract structure, 89% of Fluor's new orders this quarter were reimbursable contracts, while reimbursable contracts also accounted for 85% of total backlog, up from 80% in the same period last year. These contracts are typically compensated based on project costs plus an agreed-upon fee, which reduces the company's exposure to cost overruns and execution risks compared to lump-sum turnkey contracts. Meanwhile, the company's backlog from legacy projects has declined to $119 million, indicating that the uncertainties that previously weighed on performance and risk management are further narrowing.

By business segment, Mission Solutions became one of the key drivers of order growth, with new awards increasing from $363 million in the same period last year to $2.2 billion, including a reimbursable engineering, procurement, and construction contract for the Centrus nuclear fuel enrichment facility. The segment generated quarterly revenue of $716 million and segment profit of $44 million, up from $35 million in the same period last year, primarily benefiting from improved incentive fee performance on U.S. Department of Energy-related projects.

Urban Solutions also delivered strong results, with new orders reaching $3.2 billion, up from $856 million in the same period last year, covering a Canadian fertilizer project, incremental contracts for U.S. life sciences projects, and European infrastructure projects. Segment revenue increased from $2.1 billion to $2.9 billion. Energy Solutions secured $704 million in new orders, including a natural gas compression project on the U.S. West Coast and a limited notice to proceed for the LNG Canada Phase 2 expansion project.

Company-wide second-quarter revenue grew 9% year-over-year to $4.3 billion, with GAAP net income of $114 million, adjusted EBITDA of $149 million, and adjusted earnings per share of $0.91. Total cash and marketable securities at period-end stood at $3.0 billion. Fluor also returned $300 million to shareholders through share repurchases in the second quarter and continues to target $1.4 billion in share buybacks for full-year 2026, demonstrating a strong capital return commitment alongside its order expansion.