TechnipFMC (NYSE:FTI) Posts Quarterly Earnings Results, Beats Estimates By $0.17 EPS

Key Points

• TechnipFMC beat quarterly estimates: EPS came in at $1.05 versus the $0.88 consensus, while revenue rose 9.4% year over year to $2.90 billion, above expectations.
• Management raised its full-year outlook for Subsea revenue, free cash flow and adjusted EBITDA, citing strong execution, a record 23.5% Subsea EBITDA margin and $470 million in quarterly free cash flow.
• The long-term Subsea outlook remains strong, with at least $14.5 billion in expected orders over the next five quarters; however, seasonal weakness and potential delays to major awards pose near-term timing risks.

TechnipFMC (NYSE:FTI - Get Free Report) posted its quarterly earnings results on Thursday. The oil and gas company reported $1.05 EPS for the quarter, beating the consensus estimate of $0.88 by $0.17, FiscalAI reports. TechnipFMC had a return on equity of 36.54% and a net margin of 11.28%. The firm had revenue of $2.90 billion during the quarter, compared to analysts' expectations of $2.79 billion. During the same quarter last year, the firm earned $0.75 earnings per share. The business's revenue for the quarter was up 9.4% on a year-over-year basis.

Here are the key takeaways from TechnipFMC's conference call:

• Third-quarter execution was strong, with $2.9 billion in revenue, $636 million in adjusted EBITDA, a 22% margin excluding foreign exchange, and $470 million in free cash flow. Subsea adjusted EBITDA margin reached a record 23.5%.
• TechnipFMC raised its full-year outlook, including Subsea revenue to $9.6–$9.8 billion, free cash flow to $1.45–$1.55 billion, and adjusted EBITDA to approximately $2.22 billion; it also lowered its effective tax-rate range to 25%–27%.
• Management expects at least $14.5 billion in Subsea orders over the next five quarters and projects 2027 Subsea revenue of $10.0–$10.4 billion with a 22.5%–24% adjusted EBITDA margin. Executives said the market recovery is structural and could extend beyond the end of the decade.
• The company highlighted expanding strategic relationships with PETRONAS and bp, continued adoption of Subsea 2.0 and iEPCI, and a growing opportunity list that reached $32 billion. New inbound work is reportedly margin-accretive, while iEPCI 2.0 could provide additional upside beyond the current outlook.
• Fourth-quarter Subsea revenue is expected to decline by mid- to high-single digits sequentially, with adjusted EBITDA margin falling to about 21% due mainly to normal seasonal activity reductions and vessel maintenance. Management also noted that two or three large awards could slip from 2026 into 2027, creating timing risk around the approximately $10 billion 2026 order target.

TechnipFMC Stock Performance

Shares of NYSE FTI traded up $1.30 during trading hours on Friday, reaching $68.25. The stock had a trading volume of 2,238,943 shares, compared to its average volume of 3,857,790. The firm has a 50-day moving average of $72.50 and a 200-day moving average of $68.90. The firm has a market cap of $26.76 billion, a price-to-earnings ratio of 23.62, a PEG ratio of 1.14 and a beta of 0.83. The company has a current ratio of 1.08, a quick ratio of 0.85 and a debt-to-equity ratio of 0.10. TechnipFMC has a fifty-two week low of $41.06 and a fifty-two week high of $80.70.

TechnipFMC Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 2nd. Stockholders of record on Tuesday, November 17th will be issued a $0.05 dividend. This represents a $0.20 annualized dividend and a dividend yield of 0.3%. The ex-dividend date of this dividend is Tuesday, November 17th. TechnipFMC's payout ratio is presently 6.94%.

Analysts Set New Price Targets

Several equities analysts have recently commented on the company. Weiss Ratings raised TechnipFMC from a "buy (b+)" rating to a "buy (a-)" rating in a research note on Friday, October 16th. Zacks Research raised shares of TechnipFMC from a "hold" rating to a "strong-buy" rating in a research report on Monday, October 5th. UBS Group began coverage on TechnipFMC in a research note on Monday, October 12th. They set a "buy" rating and a $89.00 price target on the stock. Barclays dropped their target price on TechnipFMC from $87.00 to $86.00 and set an "overweight" rating for the company in a research report on Thursday, October 15th. Finally, Citigroup upped their price target on TechnipFMC from $80.00 to $85.00 and gave the stock a "buy" rating in a report on Tuesday, September 15th. Three analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Buy" and a consensus target price of $74.83.

Insiders Place Their Bets

In other TechnipFMC news, Director Eric Mullins purchased 6,365 shares of the firm's stock in a transaction that occurred on Friday, August 14th. The stock was purchased at an average price of $78.55 per share, for a total transaction of $499,970.75. Following the purchase, the director directly owned 8,070 shares in the company, valued at approximately $633,898.50. This trade represents a 373.31% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Thierry Conti sold 6,000 shares of TechnipFMC stock in a transaction on Monday, September 21st. The shares were sold at an average price of $71.85, for a total transaction of $431,100.00. Following the completion of the transaction, the insider owned 85,813 shares in the company, valued at approximately $6,165,664.05. This represents a 6.54% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.40% of the company's stock.

Key TechnipFMC News

Here are the key news stories impacting TechnipFMC this week:

• Positive Sentiment: Earnings and revenue beat estimates: TechnipFMC reported adjusted earnings of $1.05 per share, ahead of the $0.88 consensus estimate, while revenue rose 9.4% year over year to $2.90 billion, exceeding the $2.79 billion forecast. Earnings also improved from $0.75 per share in the prior-year quarter. TechnipFMC tops third-quarter earnings and revenue estimates
• Positive Sentiment: Strong operating performance: The quarter produced an 11.28% net margin and 36.54% return on equity, supporting the view that TechnipFMC is converting higher activity levels into improved profitability. TechnipFMC third-quarter and nine-month earnings results
• Positive Sentiment: Favorable industry outlook: Management’s earnings presentation and commentary pointed to a sustained, long deepwater cycle, which could support future project awards, backlog growth and revenue visibility for TechnipFMC’s subsea business. TechnipFMC beats third-quarter estimates and signals a long deepwater cycle
• Neutral Sentiment: Valuation remains a consideration: Analysts highlighted FTI as a growth-at-a-reasonable-price candidate, but the stock trades at approximately 23.6 times earnings. Its price remains below the 50-day moving average, suggesting investors may still be assessing whether the earnings strength justifies the valuation. Is TechnipFMC undervalued after third-quarter earnings?

About TechnipFMC

TechnipFMC plc NYSE: FTI is an energy technology and services company that designs, manufactures and delivers equipment and integrated solutions for the exploration, development and production of oil and natural gas resources. The company serves energy operators, engineering and construction firms, and other participants across the global energy industry.

TechnipFMC operates through two principal areas: Subsea and Surface Technologies. Its subsea business provides subsea production systems, subsea services, installation solutions and related technologies used to develop offshore fields.

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