Forum Energy (FET) Earnings Call Transcript

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Fri, February 20, 2026 astatine 11:41 AM CST 39 min read

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Friday, Feb. 20, 2026 astatine 11 a.m. ET

• President and Chief Executive Officer — Neal A. Lux

• Chief Financial Officer — David Lyle Williams

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Neal A. Lux, our President and Chief Executive Officer, and David Lyle Williams, our Chief Financial Officer. Yesterday, we issued our net release, which is disposable connected our website. We are relying connected national harmless harbor protections for forward-looking statements. Listeners are cautioned that our remarks contiguous volition incorporate accusation different than humanities information. These remarks should beryllium considered successful the discourse of each factors that impact our business, including those disclosed successful Forum Energy Technologies, Inc.'s Form 10-Ks and different SEC filings. Finally, management's statements whitethorn see non-GAAP fiscal measures. For reconciliations of these measures, delight notation to our net merchandise and website. During today's call, each statements related to EBITDA notation to adjusted EBITDA.

And unless different noted, each comparisons are 4th fourth 2025 to 3rd 4th 2025. I volition present crook the telephone implicit to Neal A. Lux. Thank you, Rob, and bully morning, everyone. Our 4th fourth and afloat twelvemonth results erstwhile again show wherefore Forum Energy Technologies, Inc. is simply a large concern and a compelling semipermanent investment. Despite a challenging backdrop, including little planetary drilling activity, tariffs and geopolitical uncertainty. Our teams executed with subject and focus. I americium highly arrogant of what we achieved successful 2025. And we are connected the close way to recognize our strategical imaginativeness FET 2030. Let maine sermon immoderate of the highlights from past year, starting with marketplace stock gains.

We continued to execute our bushed the marketplace strategy. Through lawsuit engagement, merchandise innovation, and geographic expansion. Since the strategy's inception successful 2022, gross per planetary rig has grown 20%. In 2025, we accrued it again contempt a sizable diminution successful planetary rig count. These gains bespeak disciplined commercialized execution, a merchandise portfolio that continues to resonate with customers and the benefits of our planetary footprint. Our commercialized teams delivered a afloat twelvemonth publication to measure of 113%, with orders good diversified crossed products, extremity markets, and geographies. The Subsea merchandise enactment performed exceptionally well, with a astir 190% publication to bill, supported by awards successful the vigor and defence markets.

Also, superior instrumentality orders for drilling products accrued internationally portion we saw continued spot successful wireline, coil tubing, and soil and travel power products. As a result, we participate 2026 with our highest year-end backlog successful eleven years, up 46% since the commencement of 2025. Providing some visibility and resilience. A cardinal operator of our marketplace stock gains and backlog maturation is innovation. New merchandise improvement remains cardinal to our quality to bushed the marketplace and grow our addressable markets. During 2025, we commercialized 10 caller products by collaborating with our customers to code circumstantial operational challenges and amended their efficiencies.