Forum Energy Technologies, Inc. (NYSE: FET) announced today that fourth quarter 2013 adjusted earnings per share (a non-GAAP financial measure) are estimated to be between $0.36 and $0.38. This is below the company’s previous guidance range of $0.42 to $0.46. The company indicated the lower fourth quarter 2013 adjusted earnings per share is primarily the result of three factors, each of which had a $0.02 to $0.03 impact on adjusted earnings per share:
- Severe winter storms affected production at seven Forum manufacturing facilities in North Texas and Oklahoma, and the delivery of product and equipment to customers in the United States.
- Delays in the delivery of several remotely operated vehicles (ROVs) and major components until the first quarter of 2014 reduced the revenue expected to be recognized in the fourth quarter. Also, a large order for new ROVs was received later in the fourth quarter than expected, reducing the amount of revenue recognized in the quarter.
- Cost overruns and low margins were incurred on the initial orders for certain newly designed, large drilling capital equipment items for international markets due to incremental engineering and start-up manufacturing costs.
Forum will discuss the final results of the fourth quarter 2013 and the outlook for 2014 during its fourth quarter earnings conference call at 9:00 AM CST on Friday, February 7, 2014. Forum will issue a press release regarding its fourth quarter 2013 earnings prior to the conference call.
To participate in the earnings conference call, please call 888-679-8035 within North America, or 617-213-4848 outside of North America. The access code is 27495979. 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 after the call and may be accessed by dialing 888-286-8010 within North America, or 617-801-6888 outside of North America. The access code is 71468268.
Forum Energy Technologies is a global oilfield products company, serving the subsea, drilling, completion, production and infrastructure sectors of the oil and natural gas industry. The Company’s products include highly engineered capital equipment as well as products that are consumed in the drilling, well construction, production and transportation of oil and natural gas. With over 3,500 employees, Forum is headquartered in Houston, TX with manufacturing and distribution facilities strategically located around the globe. For more information, please visit www.f-e-t.com .Forward Looking Statements and Other Legal Disclosure Because the fourth quarter of 2013 has recently ended, the unaudited financial information presented above for 2013 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, 2013, 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, 2013 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 2013 are finalized. Such variation may be material; accordingly, investors should not place undue reliance on these preliminary estimates.