WASHINGTON - Parsons (NYSE:PSN) Corporation has been selected to participate in the US Army Corps of Engineers (USACE) Savannah District's extensive $5 billion contract aimed at stabilizing Puerto Rico's power system, which has suffered from storm and earthquake damage since 2017. The company is set to play a critical role in providing temporary power solutions to support the ongoing repair work at power generation facilities across the island.
The contract, announced Today, positions Parsons to compete for orders that will facilitate the delivery of temporary power generation necessary due to the compromised state of Puerto Rico's power grid following multiple natural disasters post-2017. This initiative is part of a broader effort by the US government to aid in the recovery of Puerto Rican residents and ensure the continuity of electrical service.
Jon Moretta, president of Parsons' Engineered Systems division, emphasized the importance of this project within their energy solutions portfolio. He stated that power delivery projects are vital to the company's strategy and reaffirmed Parsons' commitment to leveraging its expertise to stabilize Puerto Rico's power infrastructure. Moretta highlighted that their involvement in this project is not just about immediate relief but also encompasses a comprehensive approach that includes project management, engineering design, construction management, environmental licensing, and permitting services.
The need for temporary power stems from significant damages sustained by Puerto Rico's power system as a result of several storms and an earthquake. As restoration efforts proceed, Parsons' extensive experience over six decades in providing energy-related solutions, including alternative and renewable energy sources, will be instrumental in meeting the needs of customers during this critical period.
InvestingPro Insights
The recent contract win by Parsons Corporation has a positive outlook on the company's financial performance. According to InvestingPro data, Parsons Corporation has a market capitalization of 6570M USD and a P/E ratio of 45.4, indicating that the company is trading at a high earnings multiple. The company has also shown impressive revenue growth, with a 24.95% increase in the last twelve months as of Q3 2023.
InvestingPro Tips reveal that Parsons Corporation has high earnings quality, with free cash flow exceeding net income, and revenue growth has been accelerating. Moreover, the company has been consistently increasing earnings per share, suggesting strong financial health. It's also important to note that seven analysts have revised their earnings upwards for the upcoming period, indicating a positive forecast for the company's future performance.
To further enhance your investment decisions, InvestingPro offers a plethora of additional tips. These insights are designed to provide a comprehensive understanding of the company's financial position and potential growth prospects.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.