Forum Energy Technologies Cuts Q4 Adj. EPS Outlook Below Street View

(RTTNews) - Forum Energy Technologies Inc. (FET) announced that it now expects fourth quarter 2013 adjusted earnings per share to be between $0.36 and $0.38. This is below the company's previous guidance range of $0.42 to $0.46 per share. Analysts polled by Thomson Reuters expect the company to report earnings of $0.43 per share for the fourth-quarter. Analysts' estimates typically exclude special items.

The company indicated the lower fourth quarter 2013 adjusted earnings per share was primarily the result of three factors, each of which had a $0.02 to $0.03 impact on adjusted earnings per share.

The company said that 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.

The company also noted that the lower fourth quarter adjusted earnings per share was primarily the result of delays in the delivery of several remotely operated vehicles or 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 noted that it 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. It will issue a press release regarding its fourth quarter 2013 earnings prior to the conference call.