FMC Technologies’ Q2 driven by subsea division

FMC Technologies, Inc. has reported second quarter 2014 revenue of $2.0 billion, up 16 percent from the prior-year quarter. Diluted earnings per share were $0.95 compared to $0.44 in the prior-year quarter.

The quarterly earnings included a pre-tax $86 million gain, or $0.23 per diluted share, related to the sale of our Material Handling Products business.

Total inbound orders were $1.5 billion and included $850 million in Subsea Technologies orders. Subsea Technologies backlog was $6.3 billion.

“Subsea Technologies produced strong sales and margins largely resulting from improved execution of backlog,” said John Gremp, Chairman, President and CEO of FMC Technologies.

“We are pleased with the results from our focus on improving execution and have increased confidence of delivering mid-teen margins in our subsea business in the second half of the year.”

“In Surface Technologies, we are more optimistic with regard to the North American market, as we delivered another strong quarter of operating results in our fluid control business. Based on this improved outlook, we are increasing our diluted earnings per share guidance to $2.70 to $2.80.”

Subsea Technologies second quarter revenue was $1.3 billion, up 18 percent from the prior-year quarter.

Operating profit was up 61 percent from the prior-year quarter to $194 million primarily as a result of better execution on a more favorable backlog.