Stonegate Capital Partners Updates Coverage on Forum Energy Technologies, Inc. (FET) Q1 25

Rhea-AI Summary

Forum Energy Technologies (NYSE: FET) reported its Q1 2025 financial results with revenue of $193.3M, slightly below consensus estimates of $196.5M. The company's adjusted EBITDA came in at $20.1M with margins of 10.4%, falling short of expectations of $23.0M. Adjusted net income was $0.5M, significantly below consensus estimates of $3.3M.

Notable achievements include the seventh consecutive quarter of positive free cash flow, generating $7.0M in Q1. The company's Drilling and Completions segment showed growth with revenue increasing 4% sequentially to $116.0M. Management has initiated cost-reduction measures aimed at eliminating approximately $10M in annualized costs.

Positive

• Seventh consecutive quarter of positive free cash flow, generating $7.0M
• Drilling and Completions segment revenue grew 4% sequentially to $116.0M
• Implementation of cost reduction initiatives targeting $10M in annual savings

Negative

• Revenue of $193.3M missed consensus estimates of $196.5M
• Adjusted EBITDA of $20.1M fell short of expected $23.0M
• Adjusted net income of $0.5M significantly below consensus of $3.3M
• EBITDA margins declined to 10.4%, below expectations

News Market Reaction – FET

-8.17%

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-8.17% News Effect

On the day this news was published, FET declined 8.17%, reflecting a notable negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Dallas, Texas--(Newsfile Corp. - May 5, 2025) - Forum Energy Technologies, Inc. (NYSE: FET) Stonegate Capital Partners updates their coverage on Forum Energy Technologies, Inc. (NYSE: FET). FET reported revenue, adj EBITDA, and adj net income of $193.3M, $20.1M, and $0.5M, respectively. This compares to our/consensus estimates of $196.3M/$196.5M, $22.9M/$23.0M, and $4.4M/$3.3M. It is noted that revenues were in-line with our expectations while GPM was slightly below expectations. Adj. EBITDA margins were also slightly below expectations at 10.4%. Adj. NI fell short of our expectations.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• In 1Q25, FET generated ~$7.0M of FCF, marking the seventh consecutive quarter of positive results.
• FET initiated actions to eliminate ~$10M of annualized costs.
• Drilling and Completions revenue increased by ~4% sequentially to $116.0M.

Click image above to view full announcement.

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About Stonegate

Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking, equity research and capital raising for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250796

FAQ

What were Forum Energy Technologies (FET) Q1 2025 earnings results?

FET reported Q1 2025 revenue of $193.3M, adjusted EBITDA of $20.1M, and adjusted net income of $0.5M, all falling below consensus estimates.

How much free cash flow did FET generate in Q1 2025?

FET generated $7.0M in free cash flow during Q1 2025, marking their seventh consecutive quarter of positive free cash flow.

What cost reduction measures is FET implementing in 2025?

FET has initiated actions to eliminate approximately $10M in annualized costs.

How did FET's Drilling and Completions segment perform in Q1 2025?

FET's Drilling and Completions segment revenue increased by 4% sequentially to $116.0M in Q1 2025.

What were FET's EBITDA margins in Q1 2025?

FET reported adjusted EBITDA margins of 10.4% in Q1 2025, which was below expectations.