By Sarfaraz A. Khan. Research Asst. Adnan Mushtaq
On Wednesday, Oilfield products company Forum Energy Technologies (NYSE:FET) announced its fourth quarter results in which it failed to meet analysts' estimates. Moreover, the Houston, Texas-based company faces a tough road ahead, thanks to the soft oil prices. Analysts have predicted 18% drop in the company's revenues in 2015, as per consensus estimate from Thomson Reuters. There is, however, a silver lining.
During the fourth quarter, Forum reported 11% increase in revenues from the same quarter last year to $438.7 million on the back of 6.4% growth in drilling & subsea and 21.3% increase in production and infrastructure segments. The company's net income increased from $35 million last year to $46 million, led by growth in the smaller production & infrastructure segment. This translated into adjusted earnings of $0.48 a share. However, the company failed to meet the market's revenues and earnings estimates by $26.2 million and $0.01 a share respectively.