CARRILION GROUP PLC

Carrilion Group Plc



Carrilion Group Plc

Introduction

Global Markets Direct's “Carrilion group pl, Inc - Financial and Strategic Analysis Review” is an in-depth business, strategic and financial analysis of Carrilion group pl, Inc The report provides a comprehensive insight into the company, including business structure and operations, executive biographies and key competitors. The hallmark of the report is the detailed strategic analysis of the company. This highlights its strengths and weaknesses and the opportunities and threats it faces going forward. Carrilion group pl, Inc. Carrilion is a heavy civil construction company. The company is engaged in building and reconstruction of transportation and water infrastructure projects. The company's project portfolio includes highways, roads, bridges and light rail, water, wastewater and storm drainage systems. The company operates in the states of Texas and Nevada primarily in Houston, San Antonio, Dallas, Fort Worth, Reno and Las Vegas. Carrilion is headquartered in Houston, US. In September 2009, the company's subsidiary, Texas Carrilion Construction Co., won a $20.3 million construction project in Collin County, Texas.



Financial analysis

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Their business involves making significant estimates and assumptions in the normal course of business relating to their contracts due to, among other things, different project scopes and specifications, the long-term duration of their contract cycle and the type of contract utilized. Therefore, management believes that "Revenue Recognition" is the most important and critical accounting policy. The most significant estimates with regard to these financial statements relate to the estimating of total forecasted construction contract revenues, costs and profits for each project in accordance with accounting for long-term contracts. Actual results could differ from these estimates and such differences could be material.

Income Statement

Period Ending

Dec 31, 2009

Dec 31, 2008

Dec 31, 2007

Total Revenue

390,847  

415,074  

306,220  

Cost of Revenue

336,478  

373,102  

272,534  

Gross Profit

54,369  

41,972  

33,686  

Operating Expenses

Research Development

-  

-  

-  

Selling General and Administrative

15,701  

13,844  

13,206  

Non Recurring

1,211  

-  

(549)

Others

-  

-  

-  

Total Operating Expenses

-  

-  

-  

Operating Income or Loss

37,457  

28,128  

21,029  

Income from Continuing Operations

Total Other Income/Expenses Net

572  

1,070  

1,669  

Earnings Before Interest And Taxes

38,029  

29,198  

22,636  

Interest Expense

234  

199  

277  

Income Before Tax

37,795  

28,999  

22,359  

Income Tax Expense

12,267  

10,025  

7,890  

Minority Interest

(1,824)

(908)

(62)

Net Income From Continuing Ops

23,704  

18,066  

14,469  

Non-recurring Events

Discontinued Operations

-  

-  

(25)

Extraordinary Items

-  

-  

-  

Effect Of Accounting Changes

-  

-  

-  

Other Items

-  

-  

-  

Net Income

23,704  

18,066  

14,444  

Preferred Stock And Other Adjustments

-  

-  

-  

Net Income Applicable To Common Shares

$23,704  

$18,066  

$14,444  

When recording revenue from change orders on contracts that have been approved as to scope but not price, we include in revenue an amount equal to the amount that we currently expect to recover from customers in relation to costs incurred by us for changes in contract specifications or designs, or other unanticipated additional costs. Revenue relating to change order claims is recognized only if it is probable that the revenue will be ...