The following historical selected financial data has been derived from our consolidated financial statements. See Note 4 of the Notes to Consolidated Financial Statements in Item 8. Financial Statements and Supplementary Data for information regarding certain acquisitions and the related impact on our results of operations as these acquisitions may affect the comparability of such results. Additionally, on August 4, 2015, we sold our fiber optic licensing operations. We have presented the results of operations, financial position and cash flows of such fiber optic licensing subsidiaries as discontinued operations for all applicable periods presented in this Annual Report. The historical selected financial data should be read in conjunction with our consolidated financial statements and related notes thereto included in Item 8. Financial Statements and Supplementary Data and Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations (in thousands, except share information).
Year Ended December 31,
2019
2018
2017
2016
2015
Consolidated Statements of Operations Data:
Revenues
$
12,112,153
$
11,171,423
$
9,466,478
$
7,651,319
$
7,572,436
Cost of services (including depreciation)
10,511,901
9,691,459
8,224,618
6,637,519
6,648,771
Gross profit
1,600,252
1,479,964
1,241,860
1,013,800
923,665
Selling, general and administrative expenses
955,991
857,574
777,920
653,338
592,863
Amortization of intangible assets
62,091
43,994
32,205
31,685
34,848
Asset impairment charges (a)
13,892
49,375
58,057
7,964
58,451
Change in fair value of contingent consideration liabilities
13,404
(11,248
)
(5,171
)
—
—
Operating income
554,874
540,269
378,849
320,813
237,503
Interest expense
(66,890
)
(36,945
)
(20,946
)
(14,887
)
(8,024
)
Interest income
927
1,555
832
2,423
1,493
Other income (expense), net (b)
83,376
(47,213
)
(4,978
)
(663
)
(2,297
)
Income from continuing operations before income taxes
572,287
457,666
353,757
307,686
228,675
Provision for income taxes (c)
165,472
161,659
35,532
107,246
97,472
Net income from continuing operations
406,815
296,007
318,225
200,440
131,203
Net income (loss) from discontinued operations
—
—
—
(342
)
190,621
Net income
406,815
296,007
318,225
200,098
321,824
Less: Net income attributable to non-controlling interests
4,771
2,661
3,247
1,715
10,917
Net income attributable to common stock
$
402,044
$
293,346
$
314,978
$
198,383
$
310,907
Amounts attributable to common stock:
Net income from continuing operations
$
402,044
$
293,346
$
314,978
$
198,725
$
120,286
Net income (loss) from discontinued operations
—
—
—
(342
)
190,621
Net income attributable to common stock
$
402,044
$
293,346
$
314,978
$
198,383
$
310,907
Basic earnings per share attributable to common stock from continuing operations
$
2.76
$
1.92
$
2.02
$
1.26
$
0.62
Diluted earnings per share attributable to common stock from continuing operations
$
2.73
$
1.90
$
2.00
$
1.26
$
0.62
Cash dividends declared per share
$
0.17
$
0.04
$
—
$
—
$
—
(a)
In 2019, 2018, 2017, 2016 and 2015, we recorded asset impairment charges of $13.9 million ($10.5 million net of tax), $49.4 million ($36.5 million net of tax), $58.1 million ($36.6 million net of tax), $8.0 million ($7.1 million net of tax) and $58.5 million ($44.6 million net of tax). The charges recorded in 2019 related to the winding down and exit of certain oil-influenced operations and assets, the replacement of an internally-developed software application and the planned sale of certain foreign operations and assets. The charges recorded in 2018 primarily related to the winding down of certain oil-influenced operations and assets. The charges recorded in 2017 related to goodwill and intangible assets, including a $57.0 million goodwill impairment and a $1.1 million impairment of a customer relationship intangible asset. The goodwill impairment was associated with two reporting units within our Pipeline and Industrial Infrastructure Services Division. The charges recorded in 2016 primarily related to a pending disposition of certain international renewable energy services operations, which was completed in 2017. The charges recorded in 2015 related to goodwill, intangible
assets and property and equipment, including a $39.8 million goodwill impairment and a $12.1 million impairment to customer relationship, trade name and non-compete agreement intangible assets.
(b)
In 2019, we recognized $60.3 million of earnings that were previously deferred in prior periods related to our equity investment in a large electric transmission project in Canada that was substantially completed and placed into commercial operation during the three months ended March 31, 2019. The majority of these deferred profits were attributable to profit earned and deferred in the years ended December 31, 2018 and 2017. We also recognized a gain of $13.0 million from the sale of this equity investment during the three months ended December 31, 2019.
(c)
The effective tax rates in 2019, 2018 and 2017 were impacted by the enactment of the Tax Cuts and Jobs Act of 2017 (Tax Act), which, among other things, lowered the U.S. federal corporate tax rate from 35% to 21% as of January 1, 2018. For more information regarding the Tax Act, refer to Note 10 of the Notes to Consolidated Financial Statements in Item 8. Financial Statements and Supplementary Data. For information on additional items that impacted the effective tax rates in 2019 and 2018, refer to Results of Operations — Consolidated Results — Provision for income taxes included in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations. The effective tax rate in 2016 was impacted by a $20.5 million tax benefit related to decreases in reserves for uncertain tax positions, which resulted from the expiration of certain federal and state statute of limitations periods.
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