Forum Energy Technologies Stock Earnings Reports

Forum Energy Technologies (FET) reported a strong start to 2026 with Q1 revenue of $209M, adjusted EBITDA of $23M, and adjusted net income of $6M. Year-over-year: revenue +8%, EBITDA +14%, and net income +300%. Orders were up 10% with a book-to-bill of 106% and backlog at an 11-year high (backlog +44% vs. Q1 2025). Management completed structural cost savings totaling $15M in annualized savings and continued a share repurchase program (repurchased ~93k shares for $5M). The company extended its credit facility maturity to Feb 2031, improving liquidity and letters-of-credit capacity; net debt ended the quarter at $121M (net leverage <1.4x) with liquidity of $91M. Segment highlights: Subsea revenue +20% (ROVs, rescue sub), Stimulation & Intervention up 7%, Artificial Lift & Downhole revenue +9%; coiled tubing down 17% due to customer pushouts into Q2. Management raised the midpoint of full‑year EBITDA guidance to $103M (up 20% vs. 2025) and Q2 guidance: revenue $202M–$225M, EBITDA $24M–$30M (midpoint +32% YoY). FET reiterated free cash flow guidance of $55M–$75M and expects to convert ~65% of EBITDA into FCF. Key commercial/technology updates: traction for new products (DuraCoil 95 for sour service, Unity remote ROV operating system with units in backlog, DuraLine manifold systems sold into Argentina, FR-120 rig-floor automation software, and a new stationary data-center cooling solution). Management noted limited near-term impact from the Middle East conflict (Middle East ~10% of revenue) but expects medium- to long-term tailwinds to energy investment. Capital allocation priorities remain reducing leverage, selective M&A (targets with differentiated products and accretive returns), and opportunistic buybacks (capacity ~ $30M conditional on leverage).