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S&P 500 (NYSE:SPY) component FMC Technologies Inc. (NYSE:FTI) reported higher profit for the second quarter as revenue showed growth. FMC Technologies is a global provider of technologically sophisticated systems and products for the energy industry.
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FMC Technologies Inc. Earnings Cheat Sheet
Results: Net income for the oil field machines and equipment rose to $111.9 million (46 cents per share) vs. $94.3 million (39 cents per share) in the same quarter a year earlier. This marks a rise of 18.7% from the year-earlier quarter.
Revenue: Rose 22% to $1.5 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: FMC Technologies Inc. fell short of the mean analyst estimate of 48 cents per share. Analysts were expecting revenue of $1.48 billion.
Quoting Management: “We saw improvement in Subsea Technologies’ margin this quarter and are confident we will continue to see margins increase during the remainder of 2012,” said John Gremp, Chairman, President and CEO of FMC Technologies. “The robust outlook for subsea continues as customers move forward with developing their significant offshore portfolios. Our Surface Technologies segment had another record earnings quarter on the strength of our growing international surface wellhead business and the execution of our backlog in our fluid control business.”
The company has seen double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 28.5%, with the biggest boost coming in the fourth quarter of the last fiscal year when revenue rose 36.1% from the year earlier quarter.
The company has now fallen short of analyst estimates for the last three quarters. It missed the mark by 4 cents in the first quarter and by 10 cents in the fourth quarter of the last fiscal year.
Net income has increased 16.4% year-over-year on average across the last five quarters. The biggest gain came in the third quarter of the last fiscal year, when income climbed 49.5% from the year-earlier quarter.
Looking Forward: Expectations for the company’s next-quarter performance are higher than they were ninety days ago. Over the past three months, the average estimate for the third quarter has risen to 58 cents per share from 57 cents. At $2.10 per share, the average estimate for the fiscal year has fallen from $2.18 ninety days ago.
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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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