Skip to main content HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. Investor Presentation | Shale Experts
Loading...
Pm

HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc.

Forum Energy Technologies, Inc. · Mar 24, 2015 · 27 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 1
    2015 Investor Presentation
  2. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 2
    2015 Objectives Generating free cash flow Focused acquisition strategy Developing new products Protecting margins Improving operational performance Confidential 3
  3. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 3
    Free Cash Flow History Cumulative Free Cash Flow - 616 million and Net Income - 592 million 700 600 500 400 Net Income 300 FCF 200 100 - 2009 2010 2011 2012 2013 2014 Note: Free Cash Flow is a non-GAAP…
  4. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 4
    Free Cash Flow to Net Income Ratio 2009 2014 Cumulative Free Cash Flow* to Cumulative Net Income Ratio 1.2 1 0.8 0.6 0.4 0.2 0 FET Average Large Equipment Average Large Service (NOV, FMC, CAM) (SLB, HAL, BHI)…
  5. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 5
    Free Cash Flow 2015 Focus Working capital reduction Lower capital expenditures Focused M&A and share repurchases ( millions) 2014 2013 Free cash flow, before acquisitions Net income 174 129 Depreciation and amortization 65 61…
  6. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 6
    Deployment of Cash Seventeen acquisitions since the 2010 combination 150 million share repurchase program Repurchased 4.4 million shares in Q4 2014 for 100 million 50 million remaining under existing program New product…
  7. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 7
    Flow Equipment Power Ends & Pumps Manifolds & Treating Iron Fluid Ends, Valves, Fittings J-Mac Tool - 2015 Wood Flowline - 2011 Phoinix Global - 2011 Refurbishment & Recertification The full suite of pumps, replacement power and…
  8. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 8
    Well Intervention Wireline Cable Coiled Tubing Pressure Control Quality Wireline - 2014 Global Tubing JV - 2013 Vanoil 2008 Building a well intervention product offering for the service companies Critical consumable products…
  9. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 9
    New Products AMP 1250 Elevator XLX C ROV Coiled Tubing Products New customized pipe size ranges Perry XL series reliability Coiled Tubing Pipeline Lighter, increased speed Highly versatile - tooling to IRM Offshore pipelines…
  10. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 10
    4th Quarter 2014 Results (Unaudited) Quarterly Revenue (millions) and Adjusted EBITDA Margin % 25% 475 469 24% 450 439 23% 428 425 22% 404 400 394 21% 20% 375 20.2% 19.4% 19% 19.2% 19.4% 19.1% 350 18% 325 17%…
  11. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 11
    Capitalization and Credit Statistics Strong balance sheet ( millions) 12/31/14 12/31/13 Capitalization 6.25% Senior unsecured notes due October 2021 403 403 Senior secured revolving credit facility (600mm) 25 108 Other debt 1 2…
  12. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 12
    Protecting Margins Scalable organization Variable Fixed Overhead Direct labor & overhead costs Labor Overhead 10% 4% SG&A costs Related 14% Minimal sustaining CAPEX requirements Scalable capital spending with Material…
  13. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 13
    Manufacturing & Distribution Facilities Westhill Campus - Aberdeen Distribution & Aftermarket Services Manufacturing Flow Equipment - Multiple basins Flow Equipment - TX Downhole - Houston Drilling - LA & TX Multi-Product Line -…
  14. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 14
    Improving Operational Performance Manufacturing excellence Develop and leverage centers of excellence On time delivery Shorten manufacturing lead times Supply chain efficiencies Supply base rationalization Sourcing technology…
  15. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 15
    Summary Large cap capabilities, small cap opportunities Strong financial position Free cash flow generation for enhanced shareholder value Focused and disciplined M&A New product development Stock repurchases Balanced and diverse…
  16. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 16
    QUESTIONS Confidential 17
  17. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 17
    Markets & Customers Full Well Cycle Exposure Well Construction Stimulation & Subsea Construction Production Drilling Infrastructure & Completion Intervention & Development Business Drivers Well Count and Well Construction Rig…
  18. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 18
    Focused Acquisition Strategy Global oilfield, manufactured products Leveraged to attractive secular growth trends Strong brand and market position Activity-based, consumable products High Growth International…
  19. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 19
    Sources of Revenue As a percent of 2014 sales Geography Purchase Cycle Latin America Middle East 4% 4% Canada 6% Asia Pacific 9% Capital Equipment Consumable United 48% Products Europe States 50% Africa 60% 17% Other…
  20. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 20
    Drilling & Subsea Segment Drilling Technologies Mission Critical Drilling Capital Equipment Drilling Consumable Product Suite Mousehole tool XL Backsaver 1,000 ton hydraulic elevator Wrangler Catwalk Casing slip Blohm +…
  21. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 21
    Drilling & Subsea Segment Subsea Technologies Largest range of ROVs in industry Perry and Sub-Atlantic VMax Simulation Systems Hot Stabs Tether Trenchers Management Systems ROV Components PIG launchers…
  22. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 22
    Production & Infrastructure Segment Flow Equipment Confidential 23
  23. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 23
    Drilling & Subsea Segment Downhole Technologies Trusted Name in a Consolidated Market1 Others 22% Varel Weatherford 3% 39% Top-Co 8% Forum (Davis- Lynch) Halliburton 11% 17% Davis-Lynch Casing & Cementing…
  24. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 24
    Production & Infrastructure Segment Production Equipment Heater Treater Tanks Separators Well Manifold Confidential 25
  25. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 25
    Production & Infrastructure Segment Valve Solutions Two piece trunnion valves for the shale markets Specified ball valve of choice for the US Strategic Petroleum Reserve Confidential Preferred valve supplier to leading…
  26. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 26
    Reconciliation of Non-GAAP Measures (Unaudited) Actual ( millions) Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 EBITDA Reconciliation Net Income attributable to common stockholders 35 36 40 52 46 Interest expense 8 8 8 8 7…
  27. HOWARD WEIL CONFERENCE – Forum Energy Technologies, Inc. – slide 27
    Reconciliation of Non-GAAP Measures (Unaudited) ( millions) 2014 2013 2012 2011 2010 2009 Free cash flow, before acquisitions Net income 174 129 152 94 24 19 Depreciation and amortization 65 61 52 41 33 38 Other, primarily working…

From the store

Browse maps, data & reports in the Shale Experts store