Jacobs Engineering Cuts Profit Outlook

Jacobs Engineering Group Inc., the second-largest U.S. engineering-services company, said profit in the third quarter and full year will be below expectations because of a canceled project and suspended work.

Jacobs Engineering expects to earn 50 cents to 54 cents a share in the quarter ending June 30, the Pasadena-based company said. For the full year, Jacobs Engineering expects profit to be $2.20 to $2.30 a share, less than previous guidance of $2.44 to $2.50 a share.

One of Jacobs Engineering’s major customers cut its capital expenditures, which resulted in a canceled project and suspended work. The company also cited delays in its government contracts, especially in its buildings and facilities business.

The company had been expected on average to earn 63 cents a share for the quarter and $2.48 for the year, according to a Thomson First Call poll.

Shares of Jacobs Engineering, which have slipped 3.3% this year, rose 21 cents to $46.43 on the NYSE.