ENGlobal Awarded Two Fuel Systems Upgrade Projects Totaling $6 Million-Plus
December 20 2019 - 9:37AM
ENGlobal (NASDAQ: ENG), a leading provider of engineered modular
solutions, today announced that its wholly-owned subsidiary,
ENGlobal Government Services, Inc. (EGS), has won two task orders
from the Defense Logistics Agency (DLA). These assignments, which
are expected to produce more than $6 million in revenue, arise from
ENGlobal’s position as one of three prime contractors under the
DLA’s $124 million, five-year Automated Fuel Handling Equipment
(AFHE) multiple-award contract.
EGS’ work on these task orders, which will be
carried out over the next year, will include technology upgrades
and refreshes of existing AFHE systems at two U.S. military bases.
Today’s announcement follows one made by ENGlobal on November 25,
2019 detailing the company’s receipt of an $11.5 million contract
from the DLA for the maintenance of the military’s Automated Fuel
Handling Equipment worldwide.
Including today’s award, ENGlobal's total
backlog, which represents an estimate of booked projects that the
company has not completed, is approximately double the $29.2
million backlog the company started calendar 2019 with.
"We are honored to have won the first two task
orders to be awarded by the DLA under its $124 million multiple
award contract, which we received last June,” said EGS Senior VP
John Kratzert. “Our Company is very proud to further its 15-year
history of providing critical fueling solutions to the U.S.
Military, leveraging the experience and expertise in our Denver and
Tulsa offices.”
William A. Coskey, P.E., ENGlobal’s Chairman and
CEO stated, “We have been refocusing the Company on projects with
larger scopes of work and while this has taken some time and is
still incomplete, we are beginning to see the result in our
backlog. Going into next year, the significantly increased backlog
combined with increased profit margins in certain of our operations
should result in an increased run rate of revenue and should allow
our Company to begin producing profitable results.”
About ENGlobal
ENGlobal (Nasdaq: ENG) is a provider of
engineering and automation services primarily to the energy sector
throughout the United States and internationally. ENGlobal operates
through two business segments: Automation and Engineering.
ENGlobal's Automation segment provides services related to the
design, fabrication and implementation of distributed control,
instrumentation and process analytical systems. The Engineering
segment provides consulting services for the development,
management and execution of projects requiring professional
engineering, construction management, and related support services.
Within ENGlobal's Engineering segment, ENGlobal Government
Services, Inc. provides engineering, design, installation,
operations, and maintenance of various government, public sector,
and international facilities, specializing in turnkey automation
and instrumentation systems for the U.S. Defense industry
worldwide. Further information about the Company and its businesses
is available at www.ENGlobal.com.
Safe Harbor for Forward-Looking Statements
The statements above regarding the Company's
expectations, its operations and certain other matters discussed in
this press release may constitute forward-looking statements within
the meaning of the federal securities laws and are subject to risks
and uncertainties For a discussion of risks and uncertainties,
which could cause actual results to differ from those contained in
the forward-looking statements, see ENGlobal's filings with the
Securities and Exchange Commission, including the Company's most
recent reports on Form 10-K and 10-Q, and other SEC
filings.
Click here to join our email
list: http://www.b2i.us/irpass.asp?BzID=702&to=ea&s=0.
CONTACT: Mark A. Hess
Phone: (281) 878-1000
E-mail: ir@ENGlobal.com
Market Makers - Investor Relations
Jimmy Caplan 512-329-9505
Email: jimmycaplan@me.com
Market Makers - Media Relations Rick
Eisenberg 212-496-6828
Email: eiscom@msn.com
ENGlobal (NASDAQ:ENG)
Historical Stock Chart
From Mar 2024 to Apr 2024
ENGlobal (NASDAQ:ENG)
Historical Stock Chart
From Apr 2023 to Apr 2024