- SNC-Lavalin (OTCPK:SNCAF) sinks as much as 6% in Toronto trading after cutting its FY 2016 adjusted profit forecast for its engineering and construction business because of cost overruns on two oil and gas projects in the Middle East.
- The company says it expects full-year adjusted EPS for the core business at C$1.30-C$1.60, lower than its previous forecast of C$1.50-C$1.70, and Q3 results will include unspecified "unfavorable cost and revenue re-forecasts” on the two projects.
- The engineering and construction business contributed two-thirds of SNC’s adjusted Q2 profit.