Forum Energy Technologies Provides Fourth Quarter 2021 Operational Update and Announces Earnings Conference Call Schedule | 2022-02-07 | Press Releases

Forum Energy Technologies, Inc. (NYSE: FET) today announced that fourth quarter 2021 operating results are expected to be lower than previously provided guidance levels. Fourth quarter results were negatively impacted by further supply chain disruptions, which led to both revenue deferral and increased costs. Additionally, the company incurred excessive logistics and freight costs in an effort to mitigate these supply chain disruptions. Additionally, medical benefit costs were higher than expected in the fourth quarter due to the direct and indirect effects of the COVID pandemic.

As a result of these factors, revenue and adjusted EBITDA for the fourth quarter of 2021 are now expected to be approximately $148 million and $4 million, respectively.

On a full-year basis, revenue of $541 million and adjusted EBITDA of $20 million for 2021 is expected to exceed prior-year revenue of $29 million and adjusted EBITDA of $40 million. dollars, respectively.

Cris Gaut, President and CEO of FET’, said: “While the continued impact on the business from supply chain disruptions and increased expediting costs is disappointing, we remain pleased with our overall performance for the year 2021. The team’s hard work to grow our revenue and significantly improve profitability in 2020 is commendable. Our order intake continues to be strong and our book-to-bill ratio of around 1.1x in the fourth quarter builds on our already large backlog, establishing continued revenue expansion through 2022.”

“We expect fourth quarter free cash flow of approximately negative $8 million to be better than our previous guidance, despite weaker profitability. Additionally, we executed several notable strategic moves during the fourth quarter. quarter that are not included in the calculation of free cash flow, including the collection of a long-term receivable for $11 million in cash. We also repurchased 56,000 common shares of FET for $1.1 million as part of our board-authorized share repurchase plan. In addition, we used $4 million in cash for two follow-on acquisitions of complementary businesses. Overall, net debt increased of $3 million in the quarter. We will share more details on these actions and our 2022 outlook on our earnings call.”

Due to the preliminary nature of these guidelines, a reconciliation to net income and operating cash flow is not currently available. A full reconciliation will be provided with the release of Forum’s fourth quarter and full year 2021 results.

Fourth Quarter and Full Year 2021 Results Conference Call

FET will hold its fourth quarter and full year 2021 results conference call at 10:00 a.m. CST on Tuesday, March 1, 2022. The Forum will issue a press release regarding its fourth quarter and full year 2021 results prior to the conference call.

To participate in the earnings conference call, please call 855-757-8876 within North America or 631-485-4851 outside of North America. The access code is 3080304. The call will also be broadcast via the Investor Relations link on the Forum’s website. www.fet.com. Participants are encouraged to tune into the webcast or dial into the conference call approximately ten minutes prior to the start time. A replay of the call will be available for two weeks after the call and can be accessed by dialing 855-859-2056 in North America or 404-537-3406 outside of North America. The access code is 3080304.

FET (Forum Energy Technologies) is a global company, serving the oil, natural gas, industrial and renewable energy industries. FET provides value-added solutions that increase the safety and efficiency of energy exploration and production. We are an environmentally and socially responsible company headquartered in Houston, Texas, with manufacturing, distribution and service facilities strategically located around the world. For more information, please visit www.fet.com.

Forward-Looking Statements and Other Legal Information

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included in this press release that address activities, events or developments that the company expects, believes or anticipates will or may occur in the future are forward-looking statements. Without limiting the generality of the foregoing, the forward-looking statements contained in this press release specifically include expectations of the Company’s plans, strategies, objectives and expected financial and operating results, including any statements regarding the financial condition, future liquidity and capital of the company. resources, operations, performance, acquisitions, returns, capital expenditure budgets, new product development activities, costs and other indications included in this press release.

These statements are based on certain assumptions made by the company based on management’s experience and its perception of historical trends, current conditions, expected future developments and other factors deemed appropriate. These statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the company’s control, which could cause actual results to differ materially from those implied or expressed by the forward-looking statements. These include the severity and duration of the COVID-19 pandemic and related repercussions resulting from the negative impact on oil and natural gas demand, oil and natural gas price volatility , levels of oilfield development activity, the availability of raw materials and specialized equipment, the company’s ability to deliver the backlog in a timely manner, the availability of skilled labor and qualified, competition in the oil and natural gas industry, government regulation and taxation of the oil and natural gas industry, the company’s ability to implement new technologies and services, the availability and terms of capital, and uncertainties regarding environmental regulations or litigation and other legal or regulatory developments affecting the company’s business, and other s important factors that could cause actual results to differ materially from those projected as described in the company’s activity report. filings with the United States Securities and Exchange Commission.

Any forward-looking statement speaks only as of the date such statement is made, and the company undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, events future or otherwise, except as required by applicable law.

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