NYSE$FET

Forum Energy Technologies Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Reported a decrease in revenue and net loss compared to the previous quarter, but free cash flow remained strong.

Forum Energy Technologies reported Q4 2019 revenue of $200 million, a net loss of $12 million, and free cash flow of $26 million. Revenue decreased by $40 million compared to Q3 2019. The company reduced net debt by $29 million during the quarter.

  • Revenue was $200 million.
  • Net loss was $12 million, or $(0.11) per diluted share.
  • Adjusted EBITDA was $11 million.
  • Free cash flow was $26 million.

Headline financials

Total Revenue

$200M

Previous: $273M-26.8%
EPS (adj)

-$1.80

Previous: $1.60-212.5%
Capital Expenditures

$2.5M

Previous: $4.19M-40.4%
Free Cash Flow

$26M

Previous: $22.6M+15.2%
Net Income

-$12M

Previous: -$384M+96.9%
Operating Income

-$7.8M

Previous: -$381M+98.0%
Gross Profit

$48.9M

Previous: $41.9M+16.8%
Cash & Equivalents

$57.9M

Previous: $47.2M+22.6%
Total Assets

$1.16B

Previous: $1.83B-36.6%
Stock-Based Comp

$3.92M

Previous: $2.75M+42.4%

Revenue & EPS history

Forum · Revenue · Quarterly

$200M

Q4 2019-26.8%vs Q4 2018
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Forum · $209M total across 2 segments · Q1 2026

  • Drilling and Completions
    $127M
  • Artificial Lift and Downhole
    $82.1M

Forward guidance

The company expects oilfield activity to start slowly in 2020 due to low oil and natural gas prices and constrained spending budgets. Subject to uncertainties, the company expects EBITDA for 2020 to be within a range of $60 million to $70 million and free cash flow conversion to remain very high.

Tailwinds

  • Activity is expected to increase over the course of the year.
  • EBITDA for 2020 is expected to be within a range of $60 million to $70 million.
  • Free cash flow conversion is expected to remain very high.
  • Generating free cash flow remains a top priority.
  • Managing for cost efficiency remains a top priority.

Headwinds

  • Oilfield activity is off to a slow start in 2020.
  • Oil and natural gas prices are low.
  • Spending budgets are constrained.
  • There is uncertainty about the demand for oil due to concerns about the coronavirus.
  • The coronavirus has a potential impact on the Chinese and global economy.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+0.4%

Avg return

Earnings day

+1.5%

Avg return

5 days after

-0.5%

Avg return

30 days after

52%

32 / 61 earnings

Positive

+22.0%

Q1 2020

Best reaction

-22.2%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-10.5%+3.4%-8.6%
Q4 2025+9.3%+11.3%+6.1%
Q3 2025-10.4%-9.9%-2.5%
Q1 2025-1.5%-9.2%-2.6%
Q4 2024-3.7%-2.8%+8.1%
Q3 2024-0.4%+7.5%+8.8%
Q2 2024-10.2%-13.2%-6.0%
Q1 2024+0.2%+3.6%-1.3%
Q4 2023-1.2%+6.0%+5.9%
Q3 2023+8.5%+2.7%+3.4%
Q2 2023-7.4%-9.7%-9.3%
Q1 2023+5.2%+6.9%+16.3%
Q4 2022-7.4%-5.8%-27.4%
Q3 2022+3.1%+9.1%+7.7%
Q2 2022+14.0%+21.7%+31.2%
Q1 2022-5.0%-12.5%+11.7%
Q4 2021-1.7%+7.5%+20.0%
Q3 2021-2.5%-6.5%-27.5%
Q2 2021+0.7%+4.4%+1.1%
Q1 2021+13.6%+12.1%+31.9%
Q4 2020+6.0%+13.1%+2.0%
Q3 2020-5.2%-2.8%+48.9%
Q2 2020-15.4%-13.2%-1.9%
Q1 2020+22.0%+23.7%+36.8%
Q4 2019+10.7%-1.0%-58.3%
Q3 2019+4.2%+16.1%-3.4%
Q2 2019-2.1%+7.8%-34.6%
Q1 2019+11.1%+8.3%-21.2%
Q4 2018+11.2%+29.3%-4.2%
Q3 2018+2.2%+2.1%-16.5%
Q2 2018+13.4%+1.7%+4.7%
Q1 2018+6.7%+10.3%+12.3%
Q4 2017-22.2%-24.5%-20.5%
Q3 2017+8.3%+4.8%+4.9%
Q2 2017-13.4%-14.1%-31.0%
Q1 2017-11.7%-18.3%-13.8%
Q4 2016-6.6%-9.8%-17.4%
Q3 2016-6.8%-8.3%+5.3%
Q2 2016+2.4%+6.0%+20.1%
Q1 2016+9.3%
Q4 2015+1.4%
Q3 2015+6.2%
Q2 2015-17.5%
Q1 2015+6.6%
Q4 2014+12.9%
Q3 2014+0.8%
Q2 2014-3.6%
Q1 2014+1.6%
Q4 2013+2.3%
Q3 2013-3.3%
Q2 2013-4.2%
Q1 2013-3.0%
Q4 2010-0.3%
Q4 2012+4.0%
Q3 2011-3.8%
Q3 2012+1.9%
Q2 2011+1.1%
Q2 2012+4.7%
Q1 2011-1.5%
Q4 2011-1.5%
Q1 2012+4.2%
Q3 2010

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