Forum Energy Technologies, Inc. (NYSE:FET) announced today that, based on currently available information, the company now expects full year 2012 earnings per diluted share of $1.72 to $1.74. This is below the company’s previous guidance range of $1.83 to $1.88. The company indicated the reduction in the expected range for full year 2012 earnings per diluted share is primarily the result of:
- Significantly lower fourth quarter 2012 customer spending on capital equipment and consumable products than previously anticipated, especially in the company’s Drilling product line.
- Customer deferrals in accepting delivery of higher margin capital equipment orders from existing backlog.
- Under absorption of manufacturing costs.
- Acquisition transaction expenses, severance, weather related inefficiencies, and other transitory costs.
Cris Gaut, Chairman and Chief Executive Officer of Forum, remarked, “We are disappointed with our performance during the fourth quarter 2012. However, we believe the lower customer demand experienced at year end and our reduced profit margins are transitory in nature and mostly relate to issues specific to the fourth quarter.”
Forum also announced today that it scheduled a conference call to discuss its Fourth Quarter 2012 financial results on February 15, 2013 at 9:00 AM CST. Financial results are expected to be released before the market opens.
To participate, please call 888-680-0890 within North America, or 617-213-4857 outside of North America. The access code is 36484946. The call will also be broadcast through the Investor Relations link on Forum’s website at www.f-e-t.com. Participants are encouraged to log in to the webcast or dial in to the conference call approximately ten minutes prior to the start time. A replay of the call will be available for 30 days and may be accessed by dialing 888-286-8010 within North America, or 617-801-6888 outside of North America. The access code is 17205120.Forum Energy Technologies, Inc., headquartered in Houston, TX, is a global provider of manufactured technologies and applied products to the energy industry. Forum's over 3,400 employees provide the products and technologies essential to solving the increasingly complex challenges of the energy industry. For more information, please visit www.f-e-t.com. Forward Looking Statements and Other Legal Disclosure Because the fourth quarter of 2012 has recently ended, the unaudited financial information presented above for 2012 reflects estimates based only upon preliminary information available to the Company as of the date hereof, is not a comprehensive statement of the Company’s financial results or position as of or for the year ended December 31, 2012, and has not been audited or reviewed by the Company’s independent registered public accounting firm. The Company’s consolidated financial statements and operating data as of and for the year ended December 31, 2012 may vary from the preliminary financial information provided herein due to the completion of the Company’s financial closing procedures, final adjustments and other developments that may arise between now and the time the financial results for full year 2012 are finalized. Such variation may be material; accordingly, investors should not place undue reliance on these preliminary estimates.