Strong order growth in the middle ...

Revenue: 193 million US dollars for the first quarter.
EBITDA: 20 million US dollars for the first quarter.
Orders: Rose by 6% to $ 201 million, with a book-to-bill ratio of 104%.
Free Cashflow: 7 million US dollars in the first quarter, three times compared to the previous year in the first year.
Full year EBITDA outlook: Probably around 85 million US dollars.
Light -yearly Free Cashflow Guidance: 40 to 60 million US dollars.
Nettos: 146 million US dollars at the end of the first quarter.
Ratio of net income: 1.56 times at the end of the first quarter.
Liquidity: 108 million US dollars without debt periods by 2028.
Share buyback: About 1% of the outstanding stocks bought back 2 million US dollars in the first quarter.

Appearance date: May 02, 2025

You can find the complete copy of the earnings call in the complete earnings call.

Forum Energy Technology Inc (NYSE: FET) recorded an increase in orders by 6% and reached $ 201 million with a book-to-billio ratio of 104%, which indicates a strong demand.
The company received a significant deficit in the subsea product line, which reflects the strength on the offshore market, which supports sales in the upcoming quarters.
The focus of FET on cost and inventory management led to the generation of 7 million US dollars in Free Cashflow in the first quarter and marked the seventh quarter as a result of the positive free cashflow.
The company has a strong record with liquidity of USD 108 million and no debt times by 2028, which offers financial stability.
The strategic investments of FET in global facilities such as those in Saudi Arabia and Canada help to reduce the effects on the tariff and optimize the efficiency of the supply chain.

The company is exposed to economic uncertainty on the basis of the US trade and tariff policy, which have subdued the prospects for the demand for raw materials.
Oil prices have declined dramatically and floats almost four -year -olds, which could lead to a decline in sales from the third quarter if the prices are not recovered.
The artificial buoyancy and downhole segment of FET recorded a decline in income due to an unfavorable product mix and a softer demand for VARIPERM products.
The product line of the Valve Solutions is confronted with a buyer attack due to tariffs for Chinese imports, whereby the orders are significantly reduced and deliveries are delayed.
Beyond the second quarter, there is only limited visibility, and if the raw material prices remain low, a reduction in the global re -count is expected in the second half of the year.

Q: Can you respond to the latest strength in underwater bookings despite the slowdown of the RIG contracts? A: Neal Lux, President and CEO, explained that the sub -Sea segment in offshore oil and gas, offshore wind and defense sectors will find a strong demand. The company offers remote vehicles as well as start and restoration systems with a significant market share. The latest product innovations such as the Unity software system have driven increased orders, with eight other systems have been sold since the beginning of the year.

Q: What drives the increase in orders for stimulation devices despite the counts of the crew crew for stimulations? A: Neal Lux found that the industry ended with lean stocks last year and that the current level of activity became too normal. FRAC pumps and wire products have a higher need due to increased usage rates, which leads to faster replacement cycles.

Q: How does the company plan to manage requirements for the requirements for the insurance quota? A: Lyle Williams, CFO, said that the company measures net debt within 30 days of buying stocks and enabled flexibility to buy stocks back if the leverage conditions allow this. The company plans to continue using the market conditions to buy shares back in the second and third quarter.

Q: Can you provide further details on the annualized cost reduction efforts of 10 million US dollars? A: Lyle Williams explained that the cost reduction efforts aimed at the fixed costs that do not vary with the income, including the efficiency gains and changes in SG&A. Some advantages were already seen in the first quarter, with more expected in the second and third quarter.

Q: What are the potential effects of tariffs on request, especially in the product line of the valves? A: Neal Lux mentioned that tariffs led to a buyer strike in the product line of the valves, since customers delay the purchases due to price uncertainty. The company examines alternative sourcing strategies for reducing the tariff effects and improving competitiveness.

Q: How does the company use its geographical diversification to reduce market challenges? A: Neal Lux emphasized the strength in the underwater business, especially in the eastern hemisphere and in South America. The company also extends its downhill shop in the Middle East and uses international institutions to avoid tariff effects.

Q: What is the company's approach to management of cash and capital allocation in the current environment? A: Neal Lux emphasized a focus on the production of the free cash flow and maintaining a high bar for capital investments. The company aims to efficiently manage the operating capital and prioritize investments in companies with a high return.

Q: How does the company plan to fix potential buyer attacks and fluctuations in demand due to tariffs? A: Neal Lux explained that the company, although a certain demand can be postponed, expects maintenance and inventory distribution to finally promote a back rim. The company does not expect significant reduction in tariffs and focuses on alternative procurement strategies.

You can find the complete copy of the earnings call in the complete earnings call.

This article first appeared on Gurufocus.

Strong order growth in the middle …

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