KBR, Inc. (NYSE:KBR) Q3 2023 Earnings Call Transcript

Mark Sopp: Yeah, I’ll just add, because I know this has been a pretty complex story, but the last remaining piece, after yesterday are the warrants and at today’s open, the value of those warrants is roughly $200 million, give or take. And that does vary with the stock price, roughly $10 of value per $1 of movement. And so, that gives you some sensitivity to that will go into our thinking. And so, we’ll evaluate what the market bears. There are counterparty to those instruments, and that is a negotiation, and we’ll undertake that, and we’ll see where it goes, and we’ll advise accordingly.

Sahil Manocha: Very helpful. Thank you very much.

Operator: Thank you. We have no further questions in the queue, so I’ll turn the call back to Stuart Bradie for any final remarks.

Stuart Bradie: Thank you. Thanks again. Thanks for taking the time to listen this morning, and thank you for your questions. I think you can ascertain where we’ve got control over our destiny. We’re feeling really good about the Company, the bookings, the performance, the margins. We look ahead into 2024 with bookings very strong in Q3, and obviously some very strong prospects we discussed in Q4, feeling really good about continued momentum. Obviously, we’ll be very clear and very truthful about not trying to pull any punches about uncertainty on HomeSafe, on Ramp. We’re feeling very good about the program in general, so please take that as we’ve said it, but we don’t know what the Ramp’s going to look like. We will start in 2024, and it will ramp up over time, but until we get clarity, it’s difficult to give you any more than that.

There is a path to get to full ramp by 2025, but again, that path is unclear and uncertain, so again, apologies that we can’t give more than this opaqueness at this time. That’s probably a good place to leave it, and I’m sure we’ll be talking to you one-on-one and others as we progress, but thank you for your interest in KBR, and we look forward to a strong finish to 2023 and upwards and onwards to 2024. Thank you.

Operator: This concludes today’s call. Thank you for joining. You may now disconnect your line.