Forum Estimates Q3 Revenue at $200M After Harvey Effect
Houston-based oilfield products company Forum Energy Technologies has said it expects third quarter revenue of approximately $200 million and a net loss of approximately $0.20 per diluted share in the third quarter 2017.
Excluding approximately $0.10 per share of special items for taxes, restructuring charges, transaction expenses and foreign exchange loss, the adjusted net loss is expected to be approximately $0.10 per diluted share.
To remind, Forum recognized net loss in the third-quarter 2016 of $18 million, or $0.20 per diluted share, on revenue of $138 million.
The company said that its third quarter results were adversely affected by Hurricane Harvey’s widespread damage in Texas and Louisiana.
Forum was impacted by temporarily idled facilities and operations directly related to Harvey, which resulted in foregone revenue and under-absorption of manufacturing costs. The company also experienced the indirect effect of customer, supplier and logistical delays.
Prady Iyyanki, Forum’s CEO, said: “We were fortunate that none of our facilities received significant damage, and all were fully operational by the end of the third quarter. We are also pleased that customer demand remains strong, as orders in the third quarter were up from the prior quarter.”