Aecom shares plunged 17.9% to a 52-week low of $60.35 this week after the engineering and consulting giant reported a $377 million pre-tax loss on a single construction project. The company posted a net loss of $0.65 per share for its third quarter of fiscal 2026, versus earnings of $1.32 per share a year earlier, as subcontractors fell behind schedule and costs exceeded estimates on a project signed in 2019 under terms that would not meet current risk policies. Revenue slipped 14% year over year, and management slashed full-year adjusted EPS guidance to $3.95 to $4.15 per share and free cash flow to only $300 million, down from a prior forecast of $5.90 to $6.10 per share and $400 million. Despite the setback, Aecom's backlog jumped 13% to a record $27.8 billion with a book-to-burn ratio of 1.6, indicating strong demand, but investors remain concerned about potential further losses before the project completes in mid-2027 and the company's heavy reliance on government contracts.
Aecom Technology CorporationReports $377M pre-tax loss on a project, net loss per share, and slashes full-year guidance.
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