SNC-Lavalin Group Inc. is reporting a net loss of $52.9 million in its fourth quarter after it was battered by the COVID-19 pandemic, supply chain disruptions and inflation.
The loss, which came despite a $93-million win in an arbitration decision, compared with a net loss $702.7 million in the same period a year earlier.
The engineering firm says revenue totalled $1.94 billion in the quarter ended Dec. 31, up from nearly $1.70 billion the year before.
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On an adjusted basis, the company’s net loss from professional services and project management, which represent the vast majority of SNC-Lavalin’s activities, came in at 15 cents per diluted share compared with a loss of $1.53 per diluted share in the fourth quarter of 2020.
SNC-Lavalin CEO Ian Edwards says the pandemic fallout stalled progress on multiple fixed-price projects late last year, with employee absentee rates nearing 50 per cent on some work sites at times.
Despite supply chain problems and rising costs due to inflation, the Montreal-based company is forecasting organic revenue growth in its services segment of four to six per cent this year, in line with with its 2022-2024 targets.