By Abdul Rawuf
Hill International swings to loss after reporting $2.2m of delayed payments in region
Hill International has posted a net loss of $1.1 million for the fourth quarter, as the US project manager reported delayed payments in the Middle East.
The firm said that it had $2.2 million of “increased bad debt expense primarily related to certain accounts receivable in the Middle East” in the final quarter of last year.
The quarterly figure, however, tightened from a $4 million net loss in the same period in 2014.
Hill said that total revenues rose by 11.3 percent year on year to $189.8 million.
For the year as a whole, the firm recorded a net profit of $6.9 million, compared to a net loss of $6.1 million in 2014. Revenue rose by 12.3 percent to $720.6 million.
“Although challenges in the Middle East are likely to persist due to current low oil prices, we are still targeting a modest level of overall revenue growth this year,” said Hill’s president and CEO David Richter, in a press statement.
The project manager earns a significant percentage of its fees from the Middle East region, where it is working on new metro projects in Doha and Riyadh, as well as the Muscat and Salalah airport development programmes in Muscat.