Acquisition Costs Hurt Aecom Earnings

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Downtown Los Angeles engineering and construction firm Aecom Technology Corp. on Tuesday reported a larger-than-expected loss for the fiscal first quarter of 2015.

The company reported a net loss for the period ended Dec.31 of $103.5 million ( 73 cents a share), compared to a net gain of $56.4 million in the same period a year earlier. Revenue rose 114 percent, to $4.19 billion. Analysts believed the Aecom would report a loss of 10 cents a share on revenue of $4.59 billion.

The company reported acquisition and integration expenses of $138 million related to its October purchase of San Francisco competitor URS Corp. Backing out those costs, Aecom reported adjusted net income of $102 million (71 cents a share.)

Shares of Aecom fell 42 cents, or 1.52 percent, on Tuesday to close at $27.15.

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