The publication of March 10 by the Secretary of State Marco Ruco on X that 83% of the United States International Development Consulting Contracts have been canceled, raises doubts about the status of up to $ 290 million in combined agency revenue planned by 2025 for consultants, Tetra Tech Inc. and ICF International.
The contracts canceled, said Rubio, “spending tens of billions of dollars in ways that do not (and in some cases even hurt) the Basic National Interest of the United States.”
Rubio said that 5,200 contracts were eliminated and that 1,000 contracts were continued by the United States Department of State.
Exactly how much Tetra Tech (Nasdaq: Ttek) They may lose revenue is still unclear.
The company announced on January 29 that it was stopping some government work in the United States, “particularly USAID”, while helping customers to review programs at various agencies.
In a results conference, on January 30, Tetra Tech executives said that the California, the California, had already performed in the first quarter of the 2025 $ 200 million $ 400 million at the USAID work that he provided throughout the year. CEO Dan L. Batrack told the analysts that the firm estimated that he would perform the remaining $ 200 million for the rest of the year.
For the first quarter ending on December 29, Tetra Tech reported tight operational income of $ 137 million in $ 1.4 billion in net income, compared to $ 111 million of $ 1.2 billion a year. The net firm’s net revenue for the quarter was substantially reduced to $ 747,000, compared to $ 74.9 million the previous year.
Tetra Tech had also reserved $ 115 million in legal contingencies.
Four days after the financial report and the results conference, Elon Musk, head of the Government Efficiency Department, proclaimed in an X publication that “we spent the weekend feeding usaid in the Woodchipper”.
Tetra Tech has not yet announced which of its contracts survived the administration’s review. In May, USAID He awarded the company a five -year contract of $ 439 million to provide technical and hiring strategic assistance to improve the “Ukraine’s” resilience, reliability, affordability and security ” Electrical, natural gas and district heating sectors.
More recently, ICF International said he had lost $ 90 million in the 2025 scheduled income of USAID consulting contracts.
