ENERGYSOLUTIONS POSTS 1Q 2013 FINANCIAL LOSS

In what is set to be its final publicly available earnings report, EnergySolutions late last week reported a significant financial loss for the first quarter of 2013. EnergySolutions reported a loss of approximately $8.2 million, compared to a loss of $665,000 for the same quarter last year, according to a May 10 filing with the Securities and Exchange Commission. The company did see an overall increase in revenue, though, for the first quarter of this year—approximately $520 million compared to $491 million in the first quarter of 2012. Of the company’s main business units, EnergySolutions’ Government Group saw a slight drop in revenue for the first quarter of this year—$43.5 million compared to $43.7 million for the same period last year. EnergySolutions attributed the drop to “primarily to the completion of major projects during 2012 as well as a decrease in government funding,” adding, “The overall reduction of federal government spending is expected to continue to negatively impact the financial results of our Government Group for the remainder of the year.”  EnergySolutions also said in its filing, “Notwithstanding the decline in our Government Group operations, our Global Commercial Group operations remain strong. We continue to extend our business development efforts into Europe, Asia and Canada, and have won new contracts in Japan, Korea, Canada, Germany, and elsewhere.  Most notably we have been selected by Toshiba Corporation as the technology provider for the clean-up of a large volume of radioactively contaminated water at the damaged Fukushima Dai-ichi Nuclear Power Plant.”

EnergySolutions’ logistics, processing and disposal unit also reported a drop in revenue for the first quarter of this year—$40.9 million compared to $39.5 million for the same period last year. The drop was due “primarily to lower waste disposal volumes processed at our Clive, Utah facility driven primarily by decreased government stimulus funding,” EnergySolutions’ filing says. The company did see an increase in revenue in its international segment—approximately $398.3 million compared to $363.1 million in the first quarter of 2012. The boost was due “primarily to higher reimbursable cost base from our operations in the U.K., continued progress of fabrication activities in China and Japan and increased waste processing activities in Canada,” EnergySolutions said. EnergySolutions’ commercial operations also saw a slight increase in revenue for the first quarter of this year—$40.9 million compared to $39.5 million for the same quarter last year. EnergySolutions attributed the result to “increased scheduled procurement activities at Zion Station, offset in part by decreased revenues from our technology products commercial projects groups.” A full version of the company’s latest earnings report can be found here.