FMC Technologies (FTI), a provider of technology solutions, has recorded a 2.15 times surge in profit for the quarter ended Jun. 30, 2014. The company earned $226.30 million or $0.95 a share in the second-quarter compared with $105.20 million or $0.44 a share a year ago. Analysts on average had predicted net income of $0.62 a share.
Revenue during the second-quarter rose 16.24 percent to $1985.30 million from $1707.90 million in the last year period.
The company posted operating income of $343.70 million, compared with operating loss of $156.70 million in the previous year period.
"Subsea Technologies produced strong sales and margins largely resulting from improved execution of backlog," said John Gremp, chairman, president and CEO of FMC Technologies. "We are pleased with the results from our focus on improving execution and have increased confidence of delivering mid-teen margins in our subsea business in the second half of the year."
The company has raised guidance range for 2014 diluted earnings per share to $2.70 to $2.80.
Cash Flow
Fmc Technologies has generated cash of $235.80 million from operating activities during the first half, down 13.18 percent or $35.80 million when compared with the last year period.
The company has spent $70.80 million cash to meet investing activities during the first half, as against cash outgo of $154 million in the last year period. It has made net capital expenditure of $180 million during the first half, which was higher by 14.87 percent or $23.30 million, from a year ago.
The company's free cash flow accounted for 23.66 percent of operating cash flow for the first half, compared with 42.30 percent in the last year period.
The company has spent $182.30 million cash to meet financing activities during the first half, as against cash outgo of $189.20 million in the last year period. It has made net repayment of $67 million debt during the first half.
As on Jun. 30, 2014, the company's cash balance stood at $382.20 million, up 42.83 percent or $114.60 million from Jun. 30, 2013.
Working Capital
FMC Technologies has witnessed an increase in the working capital over the last one year. The company's working capital stood at $1597.50 million as at Jun. 30, 2014, up $128.50 million or 8.75 percent from $1,469 million on Jun. 30, 2013. It registered a decrease in current ratio to 1.64 as at Jun. 30, 2014 from 1.67 on Jun. 30, 2013.
Debt Position
FMC Technologies has witnessed a decline in the total debt over the last one year. As on Jun. 30, 2014, total debt stood at $1309.80 million, down 14.58 percent or $223.50 million, from Jun. 30, 2013. The company's total debt was 19.39 percent of total assets as on Jun. 30, 2014, compared with 25.07 percent on Jun. 30, 2013.
Shares of FMC Technologies gained $0.40 or 0.66 percent to settle at $61.30 on Tuesday.
