Engility Holdings, Inc. [EGL] on Tuesday provided its fiscal guidance for 2015, saying sales are expected to be between $2 billion and $2.3 billion, which factors in about 10 months of revenue from the former government services company TASC in February.
The company expects net income this year to range between a small loss and a profit. The earnings guidance, which includes impacts related to the TASC acquisition, is between 5 cents per share loss and 45 cents per share profit.
“Our 2015 guidance reflects our positive book-to-bill momentum in the second half of 2104 but is tempered by the continuing federal budget uncertainty facing our industry,” Tony Smeraglinolo, president and CEO of Engility, said in a statement. “We have laid a solid foundation for success with more than $2.5 billion in submitted proposals but recognize that industry headwinds continue to exist.”
Smeraglinolo also stated that the integration of TASC and related synergies is going well.
Early in March, Engility reported its 2014 results, with sales down nearly 3 percent to just under $1.4 billion. Net income tumbled 28 percent to $35.4 million, $1.97 earnings per share, due to acquisition and integrations expenses associated with the acquisitions of TASC and Dynamics Research Corp., additional amortization of intangible asset expenses associated with the DRC deal, and some restructuring and legal settlement costs.
Operating cash flow in 2015 is expected to be between $50 million and $60 million.