That follows news earlier this month that a Tetra Tech-led joint venture has won a spot on a three-year $110 million architecture and engineering services contract for the Army Corps of Engineers’ Sacramento District. The joint venture will bid on projects to manage risks to dams and levees throughout the Western United States.
On the earnings front, Tetra Tech reported record revenue of $3.21 billion for the fiscal year ending Oct. 3, up from $2.99 billion in 2020 and $3.12 billion in 2019. The more important figure for Tetra Tech, though, is net revenue, which subtracts out money that is passed through to subcontractors. Here again, Tetra Tech reported record net revenue of $2.55 billion for fiscal 2021, up from $2.35 billion in 2020 and $2.41 billion in 2019.
Another key metric for Tetra Tech is projects in the pipeline that the company has not yet begun working on, also known as backlog, and here again Tetra Tech reported record figures. As of the end of its 2021 fiscal year on Oct. 3, the company reported a backlog of $3.48 billion, up from $3.24 billion at the end of fiscal 2020 and $3.09 billion at the end of fiscal 2019.
Most relevant to shareholders, Tetra Tech reported record net income of $233 million for fiscal 2021, up from $174 million in 2020 and $159 million in 2019.
“Tetra Tech finished a record fiscal year 2021 with fourth quarter net revenue growth of 20% while generating significantly higher operating income and cash flow compared to last year,” Dan Batrack, Tetra Tech’s chief executive, said in the earnings announcement. “We continue to see increasing demand for our differentiated high-end critical water and environmental consulting services augmented by technology and advanced data analytics, which drove increases in net revenue across all four of our client sectors.”
Meanwhile, on the contract front, a joint venture between Tetra Tech and Overland Park, Kan.-based Black & Veatch has won a spot on a standing contract of up to $110 million to provide architectural and engineering services for three years for the Army Corps of Engineers’ Sacramento division with an option to extend the contract for two more years.
The Tetra Tech-led joint venture will have to compete with three other teams for dam and levee system management projects as they come up during that time period. As a result, there’s no guarantee on how much of that contract work Tetra Tech will receive and when that work will be performed.
