Ecology & Environment recorded a fourth-quarter loss of $3.8 million, up sharply from a $945,000 loss a year earlier and concluding a down year for the company.
The Lancaster-based environmental services firm’s revenues fell 19 percent from a year ago, to $29.8 million. It recorded a net loss per share of 90 cents, compared to a net loss per share of 23 cents a year ago.
E&E has gone through tumultuous times this year, marked by a shake-up of its top management. But the leadership changes occurred after the fiscal fourth quarter, which ended July 31. In August, E&E removed its chairman from his role and demoted its chief executive officer.
For the full 2013 fiscal year, E&E reported a $2.1 million loss and a 13 percent decline in revenue, to $135 million. By comparison, in fiscal 2012, it recorded a $774,000 profit on revenues of $155 million.
E&E’s domestic revenues declined 7 percent in its 2013 fiscal year. The company said a “stagnant U.S. economy” in both 2012 and 2013 inhibited its ability to grow or replace projects in traditionally integral sectors, such as energy transmission, mining and governments.
Its foreign revenues declined 24 percent in its 2013 fiscal year, and E&E cited its struggles with an expansion into China. E&E said it recorded $6.3 million of contract adjustments as a reduction of revenue, of which $4.8 million was recorded in the fourth quarter.
E&E also recorded a software impairment charge of $800,000 related to software that is “not effectively used today or expected to be useful in the long term.” The company in October said it was delaying the filing of its annual results because it needed more time to finish assessing the software-impairment charge.
E&E during its 2013 fiscal year said it reduced staff and its use of contracted services, resulting in “significant” cost savings. The company expects to see reductions in direct and indirect operating expenses in its 2014 fiscal year.