Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 24, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | FORUM ENERGY TECHNOLOGIES, INC. | |
Entity Central Index Key | 1,401,257 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 90,282,646 |
Condensed consolidated statemen
Condensed consolidated statements of comprehensive income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Statement [Abstract] | ||||
Net sales | $ 284,415 | $ 428,279 | $ 632,511 | $ 832,217 |
Cost of sales | 199,532 | 290,286 | 438,502 | 566,286 |
Gross profit | 84,883 | 137,993 | 194,009 | 265,931 |
Operating expenses | ||||
Selling, general and administrative expenses | 66,225 | 77,731 | 139,785 | 148,771 |
Transaction expenses | 23 | 682 | 240 | 810 |
Loss (gain) on sale of assets and other | 37 | (284) | (275) | 405 |
Total operating expenses | 66,285 | 78,129 | 139,750 | 149,986 |
Earnings from equity investment | 3,840 | 5,940 | 8,411 | 11,248 |
Operating income | 22,438 | 65,804 | 62,670 | 127,193 |
Other expense (income) | ||||
Interest expense | 7,607 | 7,725 | 15,234 | 15,475 |
Foreign exchange (gains) losses and other, net | 4,055 | 3,129 | (2,601) | 4,606 |
Total other expense | 11,662 | 10,854 | 12,633 | 20,081 |
Income before income taxes | 10,776 | 54,950 | 50,037 | 107,112 |
Provision for income tax expense | 1,911 | 15,407 | 12,516 | 31,063 |
Net income | 8,865 | 39,543 | 37,521 | 76,049 |
Less: Income (loss) attributable to noncontrolling interest | (9) | 21 | (25) | (3) |
Net income attributable to common stockholders | $ 8,874 | $ 39,522 | $ 37,546 | $ 76,052 |
Weighted average shares outstanding | ||||
Basic (in shares) | 89,767 | 92,649 | 89,625 | 92,391 |
Diluted (in shares) | 91,884 | 95,695 | 91,597 | 95,363 |
Earnings per share | ||||
Basic (in dollars per share) | $ 0.10 | $ 0.43 | $ 0.42 | $ 0.82 |
Diluted (in dollars per share) | $ 0.10 | $ 0.41 | $ 0.41 | $ 0.80 |
Other comprehensive income, net of tax: | ||||
Net income | $ 8,865 | $ 39,543 | $ 37,521 | $ 76,049 |
Change in foreign currency translation, net of tax of $0 | 25,491 | 11,690 | (11,806) | 12,720 |
Gain (loss) on pension liability | (29) | 0 | 70 | 2 |
Comprehensive income | 34,327 | 51,233 | 25,785 | 88,771 |
Less: comprehensive loss (income) attributable to noncontrolling interests | 11 | (15) | 54 | 12 |
Comprehensive income attributable to common stockholders | $ 34,338 | $ 51,218 | $ 25,839 | $ 88,783 |
Condensed consolidated stateme3
Condensed consolidated statements of comprehensive income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Statement [Abstract] | ||||
Change in foreign currency translation, tax | $ 0 | $ 0 | $ 0 | $ 0 |
Condensed consolidated balance
Condensed consolidated balance sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets | ||
Cash and cash equivalents | $ 57,841 | $ 76,579 |
Accounts receivable—trade, net | 199,620 | 287,045 |
Inventories | 522,817 | 461,515 |
Prepaid expenses and other current assets | 41,458 | 32,985 |
Costs and estimated profits in excess of billings | 16,819 | 14,646 |
Deferred income taxes, net | 23,066 | 22,389 |
Total current assets | 861,621 | 895,159 |
Property and equipment, net of accumulated depreciation | 202,430 | 189,974 |
Deferred financing costs, net | 11,828 | 13,107 |
Intangibles | 265,811 | 271,739 |
Goodwill | 808,374 | 798,481 |
Investment in unconsolidated subsidiary | 55,308 | 49,675 |
Other long-term assets | 4,001 | 3,493 |
Total assets | 2,209,373 | 2,221,628 |
Current liabilities | ||
Current portion of long-term debt | 623 | 840 |
Accounts payable—trade | 114,948 | 127,757 |
Accrued liabilities | 82,176 | 126,890 |
Deferred revenue | 8,604 | 10,919 |
Billings in excess of costs and profits recognized | 9,811 | 15,785 |
Total current liabilities | 216,162 | 282,191 |
Long-term debt, net of current portion | 437,673 | 428,010 |
Deferred income taxes, net | 97,831 | 98,188 |
Other long-term liabilities | 22,396 | 17,318 |
Total liabilities | $ 774,062 | $ 825,707 |
Commitments and contingencies | ||
Equity | ||
Common stock, $0.01 par value, 296,000,000 shares authorized, 98,299,697 and 97,865,278 shares issued | $ 983 | $ 979 |
Additional paid-in capital | 878,508 | 864,313 |
Treasury stock at cost, 8,138,667 and 8,108,983 shares | (133,074) | (132,480) |
Retained earnings | 737,051 | 699,505 |
Accumulated other comprehensive income (loss) | (48,668) | (36,961) |
Total stockholders’ equity | 1,434,800 | 1,395,356 |
Noncontrolling interest in subsidiary | 511 | 565 |
Total equity | 1,435,311 | 1,395,921 |
Total liabilities and equity | $ 2,209,373 | $ 2,221,628 |
Condensed consolidated balance5
Condensed consolidated balance sheets (Parenthetical) - $ / shares | Jun. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Common Stock, par value | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 296,000,000 | 296,000,000 |
Common Stock, shares issued | 98,299,697 | 97,865,278 |
Treasury Stock, shares, at cost | 8,138,667 | 8,108,983 |
Condensed consolidated stateme6
Condensed consolidated statements of cash flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash flows from operating activities | ||
Net income | $ 37,521 | $ 76,049 |
Adjustments to reconcile net income to net cash provided by operating activities | ||
Depreciation expense | 18,996 | 18,650 |
Amortization of intangible assets | 13,671 | 13,678 |
Share-based compensation expense | 11,814 | 9,414 |
Deferred income taxes | 69 | 6,307 |
Earnings from equity investment, net of distributions | (5,633) | 2,171 |
Other | 2,588 | 2,337 |
Changes in operating assets and liabilities | ||
Accounts receivable—trade | 90,944 | (24,780) |
Inventories | (39,009) | (11,695) |
Prepaid expenses and other current assets | (4,729) | 10,971 |
Accounts payable, deferred revenue and other accrued liabilities | (62,388) | 11,924 |
Costs and estimated profits in excess of billings, net | (7,960) | (1,943) |
Net cash provided by operating activities | 55,884 | 113,083 |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | (60,836) | (37,682) |
Capital expenditures for property and equipment | (19,680) | (28,718) |
Proceeds from sale of business, property and equipment | 1,408 | 8,596 |
Net cash used in investing activities | (79,108) | (57,804) |
Cash flows from financing activities | ||
Borrowings under Credit Facility | 79,943 | 0 |
Repayment of long-term debt | (70,580) | (75,511) |
Excess tax benefits from stock based compensation | 106 | 5,179 |
Repurchases of stock | (6,194) | (881) |
Proceeds from stock issuance | 2,280 | 6,746 |
Deferred financing costs | 0 | (5) |
Net cash provided by (used in) financing activities | 5,555 | (64,472) |
Effect of exchange rate changes on cash | (1,069) | 2,253 |
Net decrease in cash and cash equivalents | (18,738) | (6,940) |
Cash and cash equivalents | ||
Beginning of period | 76,579 | 39,582 |
End of period | $ 57,841 | $ 32,642 |
Organization and basis of prese
Organization and basis of presentation | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and basis of presentation | Organization and basis of presentation Forum Energy Technologies, Inc. (the "Company"), a Delaware corporation, is a global oilfield products company, serving the subsea, drilling, completion, production and infrastructure sectors of the oil and natural gas industry. The Company designs, manufactures and distributes products and engages in aftermarket services, parts supply and related services that complement the Company’s product offering. Basis of presentation The accompanying unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its subsidiaries. All significant intercompany transactions have been eliminated in consolidation. The Company's investment in an operating entity where the Company has the ability to exert significant influence, but does not control operating and financial policies, is accounted for using the equity method. The Company's share of the net income of this entity is recorded as "Earnings from equity investment" in the condensed consolidated statements of comprehensive income. The investment in this entity is included in "Investment in unconsolidated subsidiary" in the condensed consolidated balance sheets. The Company reports its share of equity earnings within operating income as the investee's operations are integral to the operations of the Company. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for the fair statement of the Company's financial position, results of operations and cash flows have been included. Operating results for the six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015 or any other interim period. These interim financial statements are unaudited and have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America ("GAAP") for complete consolidated financial statements and should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2014 , which are included in the Company’s 2014 Annual Report on Form 10-K filed with the SEC on February 27, 2015 (the "Annual Report"). |
Recent accounting pronouncement
Recent accounting pronouncements | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Recent accounting pronouncements | Recent accounting pronouncements From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board ("FASB"), which are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s consolidated financial statements upon adoption. In July 2015, the FASB issued Accounting Standards Update ("ASU") No. 2015-11, Simplifying the Measurement of Inventory, the objective of which is to clearly articulate the requirements for the measurement and disclosure of inventory. The new standard will be effective for the Company for the fiscal year beginning after December 15, 2016, including interim periods within those fiscal years. The guidance is not expected to have a material impact on the consolidated financial statements. In April 2015, the FASB issued Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires deferred financing costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability. The new standard will be effective for the Company for the fiscal year beginning January 1, 2016 and interim periods thereafter. The guidance is not expected to have a material impact on the consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern. The new standard requires management to evaluate whether there are conditions and events that raise substantial doubt about an entity's ability to continue as a going concern for both annual and interim reporting periods. The guidance is effective for the Company for the fiscal year beginning January 1, 2016 and interim periods thereafter. The guidance is not expected to have a material impact on the consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). The comprehensive new standard will supersede existing revenue recognition guidance and require revenue to be recognized when promised goods or services are transferred to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods or services. Adoption of the new rules could affect the timing of revenue recognition for certain transactions. The guidance permits two implementation approaches, one requiring retrospective application of the new standard with restatement of prior years and one requiring prospective application of the new standard with disclosure of results under old standards. The new standard is to be effective December 15, 2017. Companies are able to early adopt the pronouncement, however not before December 15, 2016. The Company is currently evaluating the impacts of the adoption and the implementation approach to be used. |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions 2015 Acquisition Effective February 2, 2015, the Company completed the acquisition of J-Mac Tool, Inc. ("J-Mac") for consideration of $64.2 million . J-Mac is a Fort Worth, Texas based manufacturer of high quality hydraulic fracturing pumps, power ends, fluid ends and other pump accessories. J-Mac is included in the Production & Infrastructure segment. As the value of certain assets and liabilities are preliminary in nature, they are subject to adjustment as additional information is obtained about the facts and circumstances that existed at the acquisition date. When the valuation is final, any changes to the preliminary valuation of acquired assets and liabilities could result in adjustments to identified intangibles and goodwill. The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the date of the acquisition (in thousands): 2015 Acquisition Current assets, net of cash acquired $ 37,106 Property and equipment 11,659 Intangible assets (primarily customer relationships) 10,408 Tax-deductible goodwill 15,249 Current liabilities (10,209 ) Long-term liabilities (22 ) Net assets acquired $ 64,191 2014 Acquisition Effective May 1, 2014, the Company completed the acquisition of Quality Wireline & Cable, Inc. ("Quality") for consideration of $38.3 million . Quality is a Calgary, Alberta based manufacturer of high-performance cased-hole electro-mechanical wireline cables and specialty cables for the oil and gas industry. Quality is included in the Drilling & Subsea segment. The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of the acquisition (in thousands): 2014 Acquisition Current assets, net of cash acquired $ 7,596 Property and equipment 3,837 Intangible assets (primarily customer relationships) 11,527 Non-tax-deductible goodwill 20,573 Current liabilities (1,615 ) Deferred tax liabilities (3,629 ) Net assets acquired $ 38,289 Revenues and net income related to the acquisitions were not significant for the year ended December 31, 2014 or the six months ended June 30, 2015 . Pro forma results of operations for the 2015 and 2014 acquisitions have not been presented because the effects were not material to the consolidated financial statements on either an individual or aggregate basis. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories The Company's significant components of inventory at June 30, 2015 and December 31, 2014 were as follows (in thousands): June 30, December 31, Raw materials and parts $ 169,761 $ 153,768 Work in process 51,581 50,913 Finished goods 333,856 286,290 Gross inventories 555,198 490,971 Inventory reserve (32,381 ) (29,456 ) Inventories $ 522,817 $ 461,515 |
Goodwill and intangible assets
Goodwill and intangible assets | 6 Months Ended |
Jun. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangible assets | Goodwill and intangible assets Goodwill The changes in the carrying amount of goodwill from December 31, 2014 to June 30, 2015 , were as follows (in thousands): Drilling & Subsea Production & Infrastructure Total Goodwill Balance at December 31, 2014 net $ 719,860 $ 78,621 $ 798,481 Acquisitions — 15,249 15,249 Impact of non-U.S. local currency translation (5,107 ) (249 ) (5,356 ) Goodwill Balance at June 30, 2015 net $ 714,753 $ 93,621 $ 808,374 Intangible assets Intangible assets consisted of the following as of June 30, 2015 and December 31, 2014 , respectively (in thousands): June 30, 2015 Gross carrying amount Accumulated amortization Net amortizable intangibles Amortization period (in years) Customer relationships $ 292,973 $ (94,781 ) $ 198,192 4-15 Patents and technology 30,536 (9,373 ) 21,163 5-17 Non-compete agreements 7,029 (6,071 ) 958 3-6 Trade names 47,866 (16,580 ) 31,286 10-15 Distributor relationships 22,160 (13,178 ) 8,982 8-15 Trademark 5,230 — 5,230 Indefinite Intangible Assets Total $ 405,794 $ (139,983 ) $ 265,811 December 31, 2014 Gross carrying amount Accumulated amortization Net amortizable intangibles Amortization period (in years) Customer relationships $ 284,120 $ (84,947 ) $ 199,173 4-15 Patents and technology 31,069 (8,074 ) 22,995 5-17 Non-compete agreements 7,086 (5,761 ) 1,325 3-6 Trade names 48,149 (14,747 ) 33,402 10-15 Distributor relationships 22,160 (12,546 ) 9,614 8-15 Trademark 5,230 — 5,230 Indefinite Intangible Assets Total $ 397,814 $ (126,075 ) $ 271,739 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Debt Notes payable and lines of credit as of June 30, 2015 and December 31, 2014 consisted of the following (in thousands): June 30, December 31, 6.25% Senior Notes due October 2021 $ 402,600 $ 402,801 Senior secured revolving credit facility 35,000 25,000 Other debt 696 1,049 Total debt 438,296 428,850 Less: current maturities (623 ) (840 ) Long-term debt $ 437,673 $ 428,010 Senior Notes Due 2021 The Senior Notes bear interest at a rate of 6.250% per annum, payable on April 1 and October 1 of each year, and mature on October 1, 2021. The Senior Notes are senior unsecured obligations, and are guaranteed on a senior unsecured basis by the Company’s subsidiaries that guarantee the Credit Facility and rank junior to, among other indebtedness, the Credit Facility to the extent of the value of the collateral securing the Credit Facility. Credit Facility The Company has a Credit Facility with several financial institutions as lenders that provides for a $600.0 million credit facility with up to $75.0 million available for letters of credit and up to $25.0 million in swingline loans. Subject to terms of the Credit Facility, the Company has the ability to increase the Credit Facility by an additional $300.0 million . The Credit Facility matures in November 2018. Weighted average interest rates under the Credit Facility at June 30, 2015 and December 31, 2014 were 1.94% and 1.91% , respectively. As of June 30, 2015 , we had $35.0 million of borrowings outstanding under the Credit Facility, $12.2 million of outstanding letters of credit and the capacity to borrow an additional $552.8 million subject to certain limitations in the Credit Facility. There have been no changes to the financial covenants disclosed in Item 8 of the Annual Report and the Company was in compliance with all financial covenants at June 30, 2015 . |
Income taxes
Income taxes | 6 Months Ended |
Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income taxes The Company's effective tax rate was 25.0% for the six months ended June 30, 2015 and 29.0% for the six months ended June 30, 2014 . The tax provision is lower than the comparable period in 2014 primarily due to a higher proportion of our earnings being generated outside the United States in jurisdictions subject to lower tax rates. The effective tax rate can vary from period to period depending on the Company's relative mix of U.S. and non-U.S. earnings. The effective tax rate was 17.7% for the three months ended June 30, 2015 and 28.0% for the three months ended June 30, 2014 . The tax provision for the three months ended June 30, 2015 is lower than the comparable period in 2014 primarily due to a higher proportion of our earnings being generated outside the United States in jurisdictions subject to lower tax rates. |
Fair value measurements
Fair value measurements | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Fair value measurements At June 30, 2015 , the carrying value of the Credit Facility was $35.0 million . Substantially all of the debt incurs interest at a variable interest rate and, therefore, the carrying amount approximates fair value. The fair value of the debt is classified as a Level 2 measurement because interest rates charged are similar to other financial instruments with similar terms and maturities. The fair value of the Company’s Senior Notes is estimated using Level 2 inputs in the fair value hierarchy and is based on quoted prices for those or similar instruments. At June 30, 2015 , the fair value and the carrying value of the Company’s Senior Notes approximated $398.6 million and $402.6 million , respectively. At December 31, 2014 , the fair value and the carrying value of the Company’s Senior Notes approximated $378.1 million and $402.8 million , respectively. There were no outstanding financial assets as of June 30, 2015 and December 31, 2014 that required measuring the amounts at fair value. The Company did not change its valuation techniques associated with recurring fair value measurements from prior periods and there were no transfers between levels of the fair value hierarchy during the six months ended June 30, 2015 . |
Business segments
Business segments | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Business segments | Business segments The Company’s operations are divided into the following two operating segments, which are our reportable segments: Drilling & Subsea ("D&S") and Production & Infrastructure ("P&I"). The amounts indicated below as "Corporate" relate to costs and assets not allocated to the reportable segments. Summary financial data by segment follows (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 Revenue: Drilling & Subsea $ 169,662 $ 279,251 $ 384,777 $ 541,020 Production & Infrastructure 114,929 149,369 248,092 291,944 Intersegment eliminations (176 ) (341 ) (358 ) (747 ) Total Revenue $ 284,415 $ 428,279 $ 632,511 $ 832,217 Operating income: Drilling & Subsea $ 15,380 $ 50,336 $ 44,586 $ 97,401 Production & Infrastructure 15,201 26,562 34,393 50,444 Corporate (8,083 ) (10,696 ) (16,344 ) (19,437 ) Total segment operating income 22,498 66,202 62,635 128,408 Transaction expenses 23 682 240 810 Loss (gain) on sale of assets and other 37 (284 ) (275 ) 405 Income from operations $ 22,438 $ 65,804 $ 62,670 $ 127,193 A summary of consolidated assets by reportable segment is as follows (in thousands): June 30, December 31, Assets Drilling & Subsea $ 1,577,801 $ 1,674,934 Production & Infrastructure 558,770 488,225 Corporate 72,802 58,469 Total assets $ 2,209,373 $ 2,221,628 Corporate assets include, among other items, prepaid assets, cash and deferred loan costs. |
Earnings per share
Earnings per share | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share The calculation of basic and diluted earnings per share for each period presented was as follows (dollars and shares in thousands, except per share amounts): Three months ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net Income attributable to common stockholders $ 8,874 $ 39,522 $ 37,546 $ 76,052 Average shares outstanding (basic) 89,767 92,649 89,625 92,391 Common stock equivalents 2,117 3,046 1,972 2,972 Diluted shares 91,884 95,695 91,597 95,363 Earnings per share Basic earnings per share $ 0.10 $ 0.43 $ 0.42 $ 0.82 Diluted earnings per share $ 0.10 $ 0.41 $ 0.41 $ 0.80 The diluted earnings per share calculation excludes approximately 1.3 million and 0.4 million stock options for the three months ended June 30, 2015 and 2014 , respectively, and 1.7 million and 0.5 million stock options for the six months ended June 30, 2015 and 2014 , respectively, because they were anti-dilutive as the option exercise price was greater than the average market price of the common stock. |
Commitments and contingencies
Commitments and contingencies | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Commitments and contingencies In the ordinary course of business, the Company is, and in the future could be, involved in various pending or threatened legal actions that may or may not be covered by insurance. Management has reviewed such pending judicial and legal proceedings, the reasonably anticipated costs and expenses in connection with such proceedings, and the availability and limits of insurance coverage, and has established reserves that are believed to be appropriate in light of those outcomes that are considered to be probable and can be reasonably estimated. The reserves accrued at June 30, 2015 and December 31, 2014 , respectively, are immaterial. It is management's opinion that the Company's ultimate liability, if any, with respect to these actions is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows. |
Stockholders' equity
Stockholders' equity | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Stockholders' equity | Stockholders' equity Share-based compensation During the six months ended June 30, 2015 , the Company granted 458,250 options and 861,599 shares of restricted stock or restricted stock units, which includes 161,660 performance share awards with a market condition. The stock options were granted with an exercise price of $18.68 . Of the restricted stock or restricted stock units granted, 639,711 vest ratably over four years on each anniversary of the grant date. 60,228 shares of restricted stock or restricted stock units were granted to the non-employee members of the Board of Directors, which have a twelve month vesting period from the date of grant. The performance share awards granted may settle for between zero and two shares of the Company's common stock. The number of shares issued pursuant to the performance share awards will be determined based on the total shareholder return of the Company's common stock as compared to a group of peer companies, measured annually over a one year , two year and three -year performance period. |
Related party transactions
Related party transactions | 6 Months Ended |
Jun. 30, 2015 | |
Related Party Transactions [Abstract] | |
Related party transactions | Related party transactions The Company has sold and purchased equipment and services to and from various affiliates of certain directors. The dollar amounts related to these related party activities are not significant to the Company’s condensed consolidated financial statements. |
Condensed consolidating financi
Condensed consolidating financial statements | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Condensed consolidating financial statements | Condensed consolidating financial statements The Senior Notes are guaranteed by our domestic subsidiaries which are 100% owned, directly or indirectly, by the Company. The guarantees are full and unconditional, joint and several and on an unsecured basis. Condensed consolidating statements of comprehensive income Three months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 209,234 $ 102,363 $ (27,182 ) $ 284,415 Cost of sales — 155,127 71,771 (27,366 ) 199,532 Gross profit — 54,107 30,592 184 84,883 Operating expenses Selling, general and administrative expenses — 52,426 13,799 — 66,225 Transaction expenses — 23 — — 23 Loss (gain) on sale of assets and other — 53 (16 ) — 37 Total operating expenses — 52,502 13,783 — 66,285 Earnings from equity investment — 3,840 — — 3,840 Equity earnings from affiliate, net of tax 13,830 10,594 — (24,424 ) — Operating income 13,830 16,039 16,809 (24,240 ) 22,438 Other expense (income) Interest expense (income) 7,624 — (17 ) — 7,607 Foreign exchange (gains) losses and other, net — 31 4,024 — 4,055 Total other expense (income) 7,624 31 4,007 — 11,662 Income before income taxes 6,206 16,008 12,802 (24,240 ) 10,776 Provision for income tax expense (2,668 ) 2,178 2,401 — 1,911 Net income 8,874 13,830 10,401 (24,240 ) 8,865 Less: Income (loss) attributable to noncontrolling interest — — (9 ) — (9 ) Net income attributable to common stockholders 8,874 13,830 10,410 (24,240 ) 8,874 Other comprehensive income, net of tax: Net income 8,874 13,830 10,401 (24,240 ) 8,865 Change in foreign currency translation, net of tax of $0 25,491 25,491 25,491 (50,982 ) 25,491 Change in pension liability (29 ) (29 ) (29 ) 58 (29 ) Comprehensive income (loss) 34,336 39,292 35,863 (75,164 ) 34,327 Less: comprehensive (income) loss attributable to noncontrolling interests — — 11 — 11 Comprehensive income (loss) attributable to common stockholders $ 34,336 $ 39,292 $ 35,874 $ (75,164 ) $ 34,338 Condensed consolidating statements of comprehensive income Three months ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 312,663 $ 154,761 $ (39,145 ) $ 428,279 Cost of sales — 221,119 108,861 (39,694 ) 290,286 Gross profit — 91,544 45,900 549 137,993 Operating expenses Selling, general and administrative expenses — 59,536 18,195 — 77,731 Other operating expense — 512 (114 ) — 398 Total operating expenses — 60,048 18,081 — 78,129 Earnings from equity investment — 5,940 — — 5,940 Equity earnings from affiliates, net of tax 44,571 19,805 — (64,376 ) — Operating income 44,571 57,241 27,819 (63,827 ) 65,804 Other expense (income) Interest expense (income) 7,768 (7 ) (36 ) — 7,725 Interest income with affiliate — (1,933 ) — 1,933 — Interest expense with affiliate — — 1,933 (1,933 ) — Foreign exchange (gains) losses and other, net — 676 2,453 — 3,129 Total other expense (income) 7,768 (1,264 ) 4,350 — 10,854 Income before income taxes 36,803 58,505 23,469 (63,827 ) 54,950 Provision for income tax expense (2,719 ) 13,934 4,192 — 15,407 Net income 39,522 44,571 19,277 (63,827 ) 39,543 Less: Income (loss) attributable to noncontrolling interest — — 21 — 21 Net income attributable to common stockholders 39,522 44,571 19,256 (63,827 ) 39,522 Other comprehensive income, net of tax: Net income 39,522 44,571 19,277 (63,827 ) 39,543 Change in foreign currency translation, net of tax of $0 11,690 11,690 11,690 (23,380 ) 11,690 Comprehensive income (loss) 51,212 56,261 30,967 (87,207 ) 51,233 Less: comprehensive (income) loss attributable to noncontrolling interests — — (15 ) — (15 ) Comprehensive income (loss) attributable to common stockholders $ 51,212 $ 56,261 $ 30,952 $ (87,207 ) $ 51,218 Condensed consolidating statements of comprehensive income Six months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 478,433 $ 222,680 $ (68,602 ) $ 632,511 Cost of sales — 343,894 161,446 (66,838 ) 438,502 Gross profit — 134,539 61,234 (1,764 ) 194,009 Operating expenses Selling, general and administrative expenses — 109,798 29,987 — 139,785 Transaction expenses — 240 — — Loss (gain) on sale of assets and other — (58 ) (217 ) — (275 ) Total operating expenses — 109,980 29,770 — 139,750 Earnings from equity investment — 8,411 — — 8,411 Equity earnings from affiliates, net of tax 47,434 26,830 — (74,264 ) — Operating income 47,434 59,800 31,464 (76,028 ) 62,670 Other expense (income) Interest expense (income) 15,212 14 8 — 15,234 Foreign exchange (gains) losses and other, net — (154 ) (2,447 ) — (2,601 ) Total other expense (income) 15,212 (140 ) (2,439 ) — 12,633 Income before income taxes 32,222 59,940 33,903 (76,028 ) 50,037 Provision for income tax expense (5,324 ) 12,506 5,334 — 12,516 Net income 37,546 47,434 28,569 (76,028 ) 37,521 Less: Income (loss) attributable to noncontrolling interest — — (25 ) — (25 ) Net income attributable to common stockholders 37,546 47,434 28,594 (76,028 ) 37,546 Other comprehensive income, net of tax: Net income 37,546 47,434 28,569 (76,028 ) 37,521 Change in foreign currency translation, net of tax of $0 (11,806 ) (11,806 ) (11,806 ) 23,612 (11,806 ) Change in pension liability 70 70 70 (140 ) 70 Comprehensive income (loss) 25,810 35,698 16,833 (52,556 ) 25,785 Less: comprehensive (income) loss attributable to noncontrolling interests — — 54 — 54 Comprehensive income (loss) attributable to common stockholders $ 25,810 $ 35,698 $ 16,887 $ (52,556 ) $ 25,839 Condensed consolidating statements of comprehensive income Six Months Ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 610,695 $ 300,591 $ (79,069 ) $ 832,217 Cost of sales — 428,088 214,846 (76,648 ) 566,286 Gross profit — 182,607 85,745 (2,421 ) 265,931 Operating expenses Selling, general and administrative expenses — 113,103 35,668 — 148,771 Other operating expense — 1,546 (331 ) — 1,215 Total operating expenses — 114,649 35,337 — 149,986 Earnings from equity investment — 11,248 — — 11,248 Equity earnings from affiliates, net of tax 86,139 31,640 — (117,779 ) — Operating income 86,139 110,846 50,408 (120,200 ) 127,193 Other expense (income) Interest expense (income) 15,518 16 (59 ) — 15,475 Interest income with affiliate — (3,883 ) — 3,883 — Interest expense with affiliate — — 3,883 (3,883 ) — Foreign exchange (gains) losses and other, net — 1,018 3,588 — 4,606 Total other expense (income) 15,518 (2,849 ) 7,412 — 20,081 Income before income taxes 70,621 113,695 42,996 (120,200 ) 107,112 Provision for income tax expense (5,431 ) 27,556 8,938 — 31,063 Net income 76,052 86,139 34,058 (120,200 ) 76,049 Less: Income (loss) attributable to noncontrolling interest — — (3 ) — (3 ) Net income attributable to common stockholders 76,052 86,139 34,061 (120,200 ) 76,052 Other comprehensive income, net of tax: Net income 76,052 86,139 34,058 (120,200 ) 76,049 Change in foreign currency translation, net of tax of $0 12,720 12,720 12,720 (25,440 ) 12,720 Change in pension liability 2 2 2 (4 ) 2 Comprehensive income (loss) 88,774 98,861 46,780 (145,644 ) 88,771 Less: comprehensive (income) loss attributable to noncontrolling interests — — 12 — 12 Comprehensive income (loss) attributable to common stockholders $ 88,774 $ 98,861 $ 46,792 $ (145,644 ) $ 88,783 Condensed consolidating balance sheets June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Assets Current assets Cash and cash equivalents $ — $ 15,133 $ 42,708 $ — $ 57,841 Accounts receivable—trade, net — 124,376 75,244 — 199,620 Inventories — 397,487 135,074 (9,744 ) 522,817 Cost and profits in excess of billings — 3,879 12,940 — 16,819 Other current assets — 54,263 10,261 — 64,524 Total current assets — 595,138 276,227 (9,744 ) 861,621 Property and equipment, net of accumulated depreciation — 165,638 36,792 — 202,430 Deferred financing costs, net 11,828 — — — 11,828 Intangibles — 198,725 67,086 — 265,811 Goodwill — 538,147 270,227 — 808,374 Investment in unconsolidated subsidiary — 55,308 — — 55,308 Investment in affiliates 1,369,431 603,545 — (1,972,976 ) — Long-term advances to affiliates 498,290 — 57,089 (555,379 ) — Other long-term assets — 3,223 778 — 4,001 Total assets $ 1,879,549 $ 2,159,724 $ 708,199 $ (2,538,099 ) $ 2,209,373 Liabilities and equity Current liabilities Current portion of long-term debt $ — $ 612 $ 11 $ — $ 623 Accounts payable—trade — 80,997 33,951 — 114,948 Accrued liabilities 7,151 55,101 19,924 — 82,176 Deferred revenue — 2,791 5,813 — 8,604 Billings in excess of costs and profits — 211 9,600 — 9,811 Total current liabilities 7,151 139,712 69,299 — 216,162 Long-term debt, net of current portion 437,598 57 18 — 437,673 Long-term payables to affiliates — 555,379 — (555,379 ) — Deferred income taxes, net — 78,056 19,775 — 97,831 Other long-term liabilities — 17,089 5,307 — 22,396 Total liabilities 444,749 790,293 94,399 (555,379 ) 774,062 Total stockholder's equity 1,434,800 1,369,431 613,289 (1,982,720 ) 1,434,800 Noncontrolling interest in subsidiary — — 511 — 511 Equity 1,434,800 1,369,431 613,800 (1,982,720 ) 1,435,311 Total liabilities and equity $ 1,879,549 $ 2,159,724 $ 708,199 $ (2,538,099 ) $ 2,209,373 Condensed consolidating balance sheets December 31, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Assets Current assets Cash and cash equivalents $ 5,551 $ 4,006 $ 67,022 $ — $ 76,579 Accounts receivable—trade, net — 194,964 92,081 — 287,045 Inventories — 343,902 125,594 (7,981 ) 461,515 Cost and profits in excess of billings — 4,871 9,775 — 14,646 Other current assets — 38,920 16,454 — 55,374 Total current assets 5,551 586,663 310,926 (7,981 ) 895,159 Property and equipment, net of accumulated depreciation — 153,016 36,958 — 189,974 Deferred financing costs, net 13,107 — — — 13,107 Intangibles — 198,819 72,920 — 271,739 Goodwill — 522,898 275,583 — 798,481 Investment in unconsolidated subsidiary — 49,675 — — 49,675 Investment in affiliates 1,333,701 590,421 — (1,924,122 ) — Long-term advances to affiliates 483,534 — 22,531 (506,065 ) — Other long-term assets — 2,760 733 — 3,493 Total assets $ 1,835,893 $ 2,104,252 $ 719,651 $ (2,438,168 ) $ 2,221,628 Liabilities and equity Current liabilities Accounts payable—trade $ — $ 85,179 $ 42,578 $ — $ 127,757 Accrued liabilities 12,733 84,824 29,333 — 126,890 Current portion of debt and other current liabilities — 5,800 21,744 — 27,544 Total current liabilities 12,733 175,803 93,655 — 282,191 Long-term debt, net of current portion 427,801 183 26 — 428,010 Long-term payables to affiliates — 506,065 — (506,065 ) — Deferred income taxes, net — 77,311 20,877 — 98,188 Other long-term liabilities — 11,189 6,129 — 17,318 Total liabilities 440,534 770,551 120,687 (506,065 ) 825,707 Total stockholder's equity 1,395,359 1,333,701 598,399 (1,932,103 ) 1,395,356 Noncontrolling interest in subsidiary — — 565 — 565 Equity 1,395,359 1,333,701 598,964 (1,932,103 ) 1,395,921 Total liabilities and equity $ 1,835,893 $ 2,104,252 $ 719,651 $ (2,438,168 ) $ 2,221,628 Condensed consolidating statements of cash flows Six months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Cash flows from (used in) operating activities $ (8,592 ) $ 45,908 $ 18,568 $ — $ 55,884 Cash flows from investing activities Acquisition of businesses, net of cash acquired — (60,836 ) — — (60,836 ) Capital expenditures for property and equipment — (14,646 ) (5,034 ) — (19,680 ) Long-term loans and advances to affiliates (2,947 ) 37,346 — (34,399 ) — Other — 833 575 — 1,408 Net cash provided by (used in) investing activities $ (2,947 ) $ (37,303 ) $ (4,459 ) $ (34,399 ) $ (79,108 ) Cash flows from financing activities Borrowings (repayment) of long-term debt 9,796 (425 ) (8 ) — 9,363 Long-term loans and advances to affiliates — 2,947 (37,346 ) 34,399 — Other (3,808 ) — — — (3,808 ) Net cash provided by (used in) financing activities $ 5,988 $ 2,522 $ (37,354 ) $ 34,399 $ 5,555 Effect of exchange rate changes on cash — — (1,069 ) — (1,069 ) Net increase (decrease) in cash and cash equivalents (5,551 ) 11,127 (24,314 ) — (18,738 ) Cash and cash equivalents Beginning of period 5,551 4,006 67,022 — 76,579 End of period $ — $ 15,133 $ 42,708 $ — $ 57,841 Condensed consolidating statements of cash flows Six Months Ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Cash flows from (used in) operating activities $ (16,013 ) $ 102,411 $ 26,685 $ — $ 113,083 Cash flows from investing activities Acquisition of businesses, net of cash acquired — — (37,682 ) — (37,682 ) Capital expenditures for property and equipment — (22,267 ) (6,451 ) — (28,718 ) Long-term loans and advances to affiliates 85,357 — — (85,357 ) — Other — 8,299 297 — 8,596 Net cash provided by (used in) investing activities $ 85,357 $ (13,968 ) $ (43,836 ) $ (85,357 ) $ (57,804 ) Cash flows from financing activities Repayment of long-term debt (75,203 ) (187 ) (121 ) — (75,511 ) Long-term loans and advances to affiliates — (82,946 ) (2,411 ) 85,357 — Other 5,859 5,180 — — 11,039 Net cash provided by (used in) financing activities $ (69,344 ) $ (77,953 ) $ (2,532 ) $ 85,357 $ (64,472 ) Effect of exchange rate changes on cash — — 2,253 — 2,253 Net increase (decrease) in cash and cash equivalents — 10,490 (17,430 ) — (6,940 ) Cash and cash equivalents Beginning of period — — 39,582 — 39,582 End of period $ — $ 10,490 $ 22,152 $ — $ 32,642 |
Recent accounting pronounceme21
Recent accounting pronouncements (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Recent accounting pronouncements | Recent accounting pronouncements From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board ("FASB"), which are adopted by the Company as of the specified effective date. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s consolidated financial statements upon adoption. In July 2015, the FASB issued Accounting Standards Update ("ASU") No. 2015-11, Simplifying the Measurement of Inventory, the objective of which is to clearly articulate the requirements for the measurement and disclosure of inventory. The new standard will be effective for the Company for the fiscal year beginning after December 15, 2016, including interim periods within those fiscal years. The guidance is not expected to have a material impact on the consolidated financial statements. In April 2015, the FASB issued Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires deferred financing costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability. The new standard will be effective for the Company for the fiscal year beginning January 1, 2016 and interim periods thereafter. The guidance is not expected to have a material impact on the consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern. The new standard requires management to evaluate whether there are conditions and events that raise substantial doubt about an entity's ability to continue as a going concern for both annual and interim reporting periods. The guidance is effective for the Company for the fiscal year beginning January 1, 2016 and interim periods thereafter. The guidance is not expected to have a material impact on the consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). The comprehensive new standard will supersede existing revenue recognition guidance and require revenue to be recognized when promised goods or services are transferred to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods or services. Adoption of the new rules could affect the timing of revenue recognition for certain transactions. The guidance permits two implementation approaches, one requiring retrospective application of the new standard with restatement of prior years and one requiring prospective application of the new standard with disclosure of results under old standards. The new standard is to be effective December 15, 2017. Companies are able to early adopt the pronouncement, however not before December 15, 2016. The Company is currently evaluating the impacts of the adoption and the implementation approach to be used. |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Schedule of Acquisitions | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the date of the acquisition (in thousands): 2015 Acquisition Current assets, net of cash acquired $ 37,106 Property and equipment 11,659 Intangible assets (primarily customer relationships) 10,408 Tax-deductible goodwill 15,249 Current liabilities (10,209 ) Long-term liabilities (22 ) Net assets acquired $ 64,191 The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of the acquisition (in thousands): 2014 Acquisition Current assets, net of cash acquired $ 7,596 Property and equipment 3,837 Intangible assets (primarily customer relationships) 11,527 Non-tax-deductible goodwill 20,573 Current liabilities (1,615 ) Deferred tax liabilities (3,629 ) Net assets acquired $ 38,289 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | The Company's significant components of inventory at June 30, 2015 and December 31, 2014 were as follows (in thousands): June 30, December 31, Raw materials and parts $ 169,761 $ 153,768 Work in process 51,581 50,913 Finished goods 333,856 286,290 Gross inventories 555,198 490,971 Inventory reserve (32,381 ) (29,456 ) Inventories $ 522,817 $ 461,515 |
Goodwill and intangible assets
Goodwill and intangible assets (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill from December 31, 2014 to June 30, 2015 , were as follows (in thousands): Drilling & Subsea Production & Infrastructure Total Goodwill Balance at December 31, 2014 net $ 719,860 $ 78,621 $ 798,481 Acquisitions — 15,249 15,249 Impact of non-U.S. local currency translation (5,107 ) (249 ) (5,356 ) Goodwill Balance at June 30, 2015 net $ 714,753 $ 93,621 $ 808,374 |
Summary of Intangible Assets | Intangible assets consisted of the following as of June 30, 2015 and December 31, 2014 , respectively (in thousands): June 30, 2015 Gross carrying amount Accumulated amortization Net amortizable intangibles Amortization period (in years) Customer relationships $ 292,973 $ (94,781 ) $ 198,192 4-15 Patents and technology 30,536 (9,373 ) 21,163 5-17 Non-compete agreements 7,029 (6,071 ) 958 3-6 Trade names 47,866 (16,580 ) 31,286 10-15 Distributor relationships 22,160 (13,178 ) 8,982 8-15 Trademark 5,230 — 5,230 Indefinite Intangible Assets Total $ 405,794 $ (139,983 ) $ 265,811 December 31, 2014 Gross carrying amount Accumulated amortization Net amortizable intangibles Amortization period (in years) Customer relationships $ 284,120 $ (84,947 ) $ 199,173 4-15 Patents and technology 31,069 (8,074 ) 22,995 5-17 Non-compete agreements 7,086 (5,761 ) 1,325 3-6 Trade names 48,149 (14,747 ) 33,402 10-15 Distributor relationships 22,160 (12,546 ) 9,614 8-15 Trademark 5,230 — 5,230 Indefinite Intangible Assets Total $ 397,814 $ (126,075 ) $ 271,739 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Notes payable and lines of credit as of June 30, 2015 and December 31, 2014 consisted of the following (in thousands): June 30, December 31, 6.25% Senior Notes due October 2021 $ 402,600 $ 402,801 Senior secured revolving credit facility 35,000 25,000 Other debt 696 1,049 Total debt 438,296 428,850 Less: current maturities (623 ) (840 ) Long-term debt $ 437,673 $ 428,010 |
Business segments (Tables)
Business segments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Summary financial data by segment follows (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 Revenue: Drilling & Subsea $ 169,662 $ 279,251 $ 384,777 $ 541,020 Production & Infrastructure 114,929 149,369 248,092 291,944 Intersegment eliminations (176 ) (341 ) (358 ) (747 ) Total Revenue $ 284,415 $ 428,279 $ 632,511 $ 832,217 Operating income: Drilling & Subsea $ 15,380 $ 50,336 $ 44,586 $ 97,401 Production & Infrastructure 15,201 26,562 34,393 50,444 Corporate (8,083 ) (10,696 ) (16,344 ) (19,437 ) Total segment operating income 22,498 66,202 62,635 128,408 Transaction expenses 23 682 240 810 Loss (gain) on sale of assets and other 37 (284 ) (275 ) 405 Income from operations $ 22,438 $ 65,804 $ 62,670 $ 127,193 A summary of consolidated assets by reportable segment is as follows (in thousands): June 30, December 31, Assets Drilling & Subsea $ 1,577,801 $ 1,674,934 Production & Infrastructure 558,770 488,225 Corporate 72,802 58,469 Total assets $ 2,209,373 $ 2,221,628 |
Earnings per share (Tables)
Earnings per share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The calculation of basic and diluted earnings per share for each period presented was as follows (dollars and shares in thousands, except per share amounts): Three months ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net Income attributable to common stockholders $ 8,874 $ 39,522 $ 37,546 $ 76,052 Average shares outstanding (basic) 89,767 92,649 89,625 92,391 Common stock equivalents 2,117 3,046 1,972 2,972 Diluted shares 91,884 95,695 91,597 95,363 Earnings per share Basic earnings per share $ 0.10 $ 0.43 $ 0.42 $ 0.82 Diluted earnings per share $ 0.10 $ 0.41 $ 0.41 $ 0.80 |
Condensed consolidating finan28
Condensed consolidating financial statements (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Condensed consolidating statements of income and comprehensive income | Condensed consolidating statements of comprehensive income Three months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 209,234 $ 102,363 $ (27,182 ) $ 284,415 Cost of sales — 155,127 71,771 (27,366 ) 199,532 Gross profit — 54,107 30,592 184 84,883 Operating expenses Selling, general and administrative expenses — 52,426 13,799 — 66,225 Transaction expenses — 23 — — 23 Loss (gain) on sale of assets and other — 53 (16 ) — 37 Total operating expenses — 52,502 13,783 — 66,285 Earnings from equity investment — 3,840 — — 3,840 Equity earnings from affiliate, net of tax 13,830 10,594 — (24,424 ) — Operating income 13,830 16,039 16,809 (24,240 ) 22,438 Other expense (income) Interest expense (income) 7,624 — (17 ) — 7,607 Foreign exchange (gains) losses and other, net — 31 4,024 — 4,055 Total other expense (income) 7,624 31 4,007 — 11,662 Income before income taxes 6,206 16,008 12,802 (24,240 ) 10,776 Provision for income tax expense (2,668 ) 2,178 2,401 — 1,911 Net income 8,874 13,830 10,401 (24,240 ) 8,865 Less: Income (loss) attributable to noncontrolling interest — — (9 ) — (9 ) Net income attributable to common stockholders 8,874 13,830 10,410 (24,240 ) 8,874 Other comprehensive income, net of tax: Net income 8,874 13,830 10,401 (24,240 ) 8,865 Change in foreign currency translation, net of tax of $0 25,491 25,491 25,491 (50,982 ) 25,491 Change in pension liability (29 ) (29 ) (29 ) 58 (29 ) Comprehensive income (loss) 34,336 39,292 35,863 (75,164 ) 34,327 Less: comprehensive (income) loss attributable to noncontrolling interests — — 11 — 11 Comprehensive income (loss) attributable to common stockholders $ 34,336 $ 39,292 $ 35,874 $ (75,164 ) $ 34,338 Condensed consolidating statements of comprehensive income Three months ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 312,663 $ 154,761 $ (39,145 ) $ 428,279 Cost of sales — 221,119 108,861 (39,694 ) 290,286 Gross profit — 91,544 45,900 549 137,993 Operating expenses Selling, general and administrative expenses — 59,536 18,195 — 77,731 Other operating expense — 512 (114 ) — 398 Total operating expenses — 60,048 18,081 — 78,129 Earnings from equity investment — 5,940 — — 5,940 Equity earnings from affiliates, net of tax 44,571 19,805 — (64,376 ) — Operating income 44,571 57,241 27,819 (63,827 ) 65,804 Other expense (income) Interest expense (income) 7,768 (7 ) (36 ) — 7,725 Interest income with affiliate — (1,933 ) — 1,933 — Interest expense with affiliate — — 1,933 (1,933 ) — Foreign exchange (gains) losses and other, net — 676 2,453 — 3,129 Total other expense (income) 7,768 (1,264 ) 4,350 — 10,854 Income before income taxes 36,803 58,505 23,469 (63,827 ) 54,950 Provision for income tax expense (2,719 ) 13,934 4,192 — 15,407 Net income 39,522 44,571 19,277 (63,827 ) 39,543 Less: Income (loss) attributable to noncontrolling interest — — 21 — 21 Net income attributable to common stockholders 39,522 44,571 19,256 (63,827 ) 39,522 Other comprehensive income, net of tax: Net income 39,522 44,571 19,277 (63,827 ) 39,543 Change in foreign currency translation, net of tax of $0 11,690 11,690 11,690 (23,380 ) 11,690 Comprehensive income (loss) 51,212 56,261 30,967 (87,207 ) 51,233 Less: comprehensive (income) loss attributable to noncontrolling interests — — (15 ) — (15 ) Comprehensive income (loss) attributable to common stockholders $ 51,212 $ 56,261 $ 30,952 $ (87,207 ) $ 51,218 Condensed consolidating statements of comprehensive income Six months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 478,433 $ 222,680 $ (68,602 ) $ 632,511 Cost of sales — 343,894 161,446 (66,838 ) 438,502 Gross profit — 134,539 61,234 (1,764 ) 194,009 Operating expenses Selling, general and administrative expenses — 109,798 29,987 — 139,785 Transaction expenses — 240 — — Loss (gain) on sale of assets and other — (58 ) (217 ) — (275 ) Total operating expenses — 109,980 29,770 — 139,750 Earnings from equity investment — 8,411 — — 8,411 Equity earnings from affiliates, net of tax 47,434 26,830 — (74,264 ) — Operating income 47,434 59,800 31,464 (76,028 ) 62,670 Other expense (income) Interest expense (income) 15,212 14 8 — 15,234 Foreign exchange (gains) losses and other, net — (154 ) (2,447 ) — (2,601 ) Total other expense (income) 15,212 (140 ) (2,439 ) — 12,633 Income before income taxes 32,222 59,940 33,903 (76,028 ) 50,037 Provision for income tax expense (5,324 ) 12,506 5,334 — 12,516 Net income 37,546 47,434 28,569 (76,028 ) 37,521 Less: Income (loss) attributable to noncontrolling interest — — (25 ) — (25 ) Net income attributable to common stockholders 37,546 47,434 28,594 (76,028 ) 37,546 Other comprehensive income, net of tax: Net income 37,546 47,434 28,569 (76,028 ) 37,521 Change in foreign currency translation, net of tax of $0 (11,806 ) (11,806 ) (11,806 ) 23,612 (11,806 ) Change in pension liability 70 70 70 (140 ) 70 Comprehensive income (loss) 25,810 35,698 16,833 (52,556 ) 25,785 Less: comprehensive (income) loss attributable to noncontrolling interests — — 54 — 54 Comprehensive income (loss) attributable to common stockholders $ 25,810 $ 35,698 $ 16,887 $ (52,556 ) $ 25,839 Condensed consolidating statements of comprehensive income Six Months Ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Net sales $ — $ 610,695 $ 300,591 $ (79,069 ) $ 832,217 Cost of sales — 428,088 214,846 (76,648 ) 566,286 Gross profit — 182,607 85,745 (2,421 ) 265,931 Operating expenses Selling, general and administrative expenses — 113,103 35,668 — 148,771 Other operating expense — 1,546 (331 ) — 1,215 Total operating expenses — 114,649 35,337 — 149,986 Earnings from equity investment — 11,248 — — 11,248 Equity earnings from affiliates, net of tax 86,139 31,640 — (117,779 ) — Operating income 86,139 110,846 50,408 (120,200 ) 127,193 Other expense (income) Interest expense (income) 15,518 16 (59 ) — 15,475 Interest income with affiliate — (3,883 ) — 3,883 — Interest expense with affiliate — — 3,883 (3,883 ) — Foreign exchange (gains) losses and other, net — 1,018 3,588 — 4,606 Total other expense (income) 15,518 (2,849 ) 7,412 — 20,081 Income before income taxes 70,621 113,695 42,996 (120,200 ) 107,112 Provision for income tax expense (5,431 ) 27,556 8,938 — 31,063 Net income 76,052 86,139 34,058 (120,200 ) 76,049 Less: Income (loss) attributable to noncontrolling interest — — (3 ) — (3 ) Net income attributable to common stockholders 76,052 86,139 34,061 (120,200 ) 76,052 Other comprehensive income, net of tax: Net income 76,052 86,139 34,058 (120,200 ) 76,049 Change in foreign currency translation, net of tax of $0 12,720 12,720 12,720 (25,440 ) 12,720 Change in pension liability 2 2 2 (4 ) 2 Comprehensive income (loss) 88,774 98,861 46,780 (145,644 ) 88,771 Less: comprehensive (income) loss attributable to noncontrolling interests — — 12 — 12 Comprehensive income (loss) attributable to common stockholders $ 88,774 $ 98,861 $ 46,792 $ (145,644 ) $ 88,783 |
Condensed consolidating balance sheets | Condensed consolidating balance sheets June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Assets Current assets Cash and cash equivalents $ — $ 15,133 $ 42,708 $ — $ 57,841 Accounts receivable—trade, net — 124,376 75,244 — 199,620 Inventories — 397,487 135,074 (9,744 ) 522,817 Cost and profits in excess of billings — 3,879 12,940 — 16,819 Other current assets — 54,263 10,261 — 64,524 Total current assets — 595,138 276,227 (9,744 ) 861,621 Property and equipment, net of accumulated depreciation — 165,638 36,792 — 202,430 Deferred financing costs, net 11,828 — — — 11,828 Intangibles — 198,725 67,086 — 265,811 Goodwill — 538,147 270,227 — 808,374 Investment in unconsolidated subsidiary — 55,308 — — 55,308 Investment in affiliates 1,369,431 603,545 — (1,972,976 ) — Long-term advances to affiliates 498,290 — 57,089 (555,379 ) — Other long-term assets — 3,223 778 — 4,001 Total assets $ 1,879,549 $ 2,159,724 $ 708,199 $ (2,538,099 ) $ 2,209,373 Liabilities and equity Current liabilities Current portion of long-term debt $ — $ 612 $ 11 $ — $ 623 Accounts payable—trade — 80,997 33,951 — 114,948 Accrued liabilities 7,151 55,101 19,924 — 82,176 Deferred revenue — 2,791 5,813 — 8,604 Billings in excess of costs and profits — 211 9,600 — 9,811 Total current liabilities 7,151 139,712 69,299 — 216,162 Long-term debt, net of current portion 437,598 57 18 — 437,673 Long-term payables to affiliates — 555,379 — (555,379 ) — Deferred income taxes, net — 78,056 19,775 — 97,831 Other long-term liabilities — 17,089 5,307 — 22,396 Total liabilities 444,749 790,293 94,399 (555,379 ) 774,062 Total stockholder's equity 1,434,800 1,369,431 613,289 (1,982,720 ) 1,434,800 Noncontrolling interest in subsidiary — — 511 — 511 Equity 1,434,800 1,369,431 613,800 (1,982,720 ) 1,435,311 Total liabilities and equity $ 1,879,549 $ 2,159,724 $ 708,199 $ (2,538,099 ) $ 2,209,373 Condensed consolidating balance sheets December 31, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Assets Current assets Cash and cash equivalents $ 5,551 $ 4,006 $ 67,022 $ — $ 76,579 Accounts receivable—trade, net — 194,964 92,081 — 287,045 Inventories — 343,902 125,594 (7,981 ) 461,515 Cost and profits in excess of billings — 4,871 9,775 — 14,646 Other current assets — 38,920 16,454 — 55,374 Total current assets 5,551 586,663 310,926 (7,981 ) 895,159 Property and equipment, net of accumulated depreciation — 153,016 36,958 — 189,974 Deferred financing costs, net 13,107 — — — 13,107 Intangibles — 198,819 72,920 — 271,739 Goodwill — 522,898 275,583 — 798,481 Investment in unconsolidated subsidiary — 49,675 — — 49,675 Investment in affiliates 1,333,701 590,421 — (1,924,122 ) — Long-term advances to affiliates 483,534 — 22,531 (506,065 ) — Other long-term assets — 2,760 733 — 3,493 Total assets $ 1,835,893 $ 2,104,252 $ 719,651 $ (2,438,168 ) $ 2,221,628 Liabilities and equity Current liabilities Accounts payable—trade $ — $ 85,179 $ 42,578 $ — $ 127,757 Accrued liabilities 12,733 84,824 29,333 — 126,890 Current portion of debt and other current liabilities — 5,800 21,744 — 27,544 Total current liabilities 12,733 175,803 93,655 — 282,191 Long-term debt, net of current portion 427,801 183 26 — 428,010 Long-term payables to affiliates — 506,065 — (506,065 ) — Deferred income taxes, net — 77,311 20,877 — 98,188 Other long-term liabilities — 11,189 6,129 — 17,318 Total liabilities 440,534 770,551 120,687 (506,065 ) 825,707 Total stockholder's equity 1,395,359 1,333,701 598,399 (1,932,103 ) 1,395,356 Noncontrolling interest in subsidiary — — 565 — 565 Equity 1,395,359 1,333,701 598,964 (1,932,103 ) 1,395,921 Total liabilities and equity $ 1,835,893 $ 2,104,252 $ 719,651 $ (2,438,168 ) $ 2,221,628 |
Condensed consolidating statements of cash flows | Condensed consolidating statements of cash flows Six months ended June 30, 2015 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Cash flows from (used in) operating activities $ (8,592 ) $ 45,908 $ 18,568 $ — $ 55,884 Cash flows from investing activities Acquisition of businesses, net of cash acquired — (60,836 ) — — (60,836 ) Capital expenditures for property and equipment — (14,646 ) (5,034 ) — (19,680 ) Long-term loans and advances to affiliates (2,947 ) 37,346 — (34,399 ) — Other — 833 575 — 1,408 Net cash provided by (used in) investing activities $ (2,947 ) $ (37,303 ) $ (4,459 ) $ (34,399 ) $ (79,108 ) Cash flows from financing activities Borrowings (repayment) of long-term debt 9,796 (425 ) (8 ) — 9,363 Long-term loans and advances to affiliates — 2,947 (37,346 ) 34,399 — Other (3,808 ) — — — (3,808 ) Net cash provided by (used in) financing activities $ 5,988 $ 2,522 $ (37,354 ) $ 34,399 $ 5,555 Effect of exchange rate changes on cash — — (1,069 ) — (1,069 ) Net increase (decrease) in cash and cash equivalents (5,551 ) 11,127 (24,314 ) — (18,738 ) Cash and cash equivalents Beginning of period 5,551 4,006 67,022 — 76,579 End of period $ — $ 15,133 $ 42,708 $ — $ 57,841 Condensed consolidating statements of cash flows Six Months Ended June 30, 2014 FET (Parent) Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated (in thousands) Cash flows from (used in) operating activities $ (16,013 ) $ 102,411 $ 26,685 $ — $ 113,083 Cash flows from investing activities Acquisition of businesses, net of cash acquired — — (37,682 ) — (37,682 ) Capital expenditures for property and equipment — (22,267 ) (6,451 ) — (28,718 ) Long-term loans and advances to affiliates 85,357 — — (85,357 ) — Other — 8,299 297 — 8,596 Net cash provided by (used in) investing activities $ 85,357 $ (13,968 ) $ (43,836 ) $ (85,357 ) $ (57,804 ) Cash flows from financing activities Repayment of long-term debt (75,203 ) (187 ) (121 ) — (75,511 ) Long-term loans and advances to affiliates — (82,946 ) (2,411 ) 85,357 — Other 5,859 5,180 — — 11,039 Net cash provided by (used in) financing activities $ (69,344 ) $ (77,953 ) $ (2,532 ) $ 85,357 $ (64,472 ) Effect of exchange rate changes on cash — — 2,253 — 2,253 Net increase (decrease) in cash and cash equivalents — 10,490 (17,430 ) — (6,940 ) Cash and cash equivalents Beginning of period — — 39,582 — 39,582 End of period $ — $ 10,490 $ 22,152 $ — $ 32,642 |
(Narrative) (Details)
(Narrative) (Details) - USD ($) $ in Thousands | Feb. 02, 2015 | May. 01, 2014 |
J-Mac Tool, Inc. [Member] | ||
Business Acquisition [Line Items] | ||
Acquisition consideration | $ 64,191 | |
Quality Wireline and Cable, Inc. [Member] | ||
Business Acquisition [Line Items] | ||
Acquisition consideration | $ 38,289 |
(Schedule of assets acquired an
(Schedule of assets acquired and liabilities assumed) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Feb. 02, 2015 | Dec. 31, 2014 | May. 01, 2014 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 808,374 | $ 798,481 | ||
J-Mac Tool, Inc. [Member] | ||||
Business Acquisition [Line Items] | ||||
Current assets, net of cash acquired | $ 37,106 | |||
Property and equipment | 11,659 | |||
Intangible assets (primarily customer relationships) | 10,408 | |||
Goodwill | 15,249 | |||
Current liabilities | (10,209) | |||
Long-term liabilities | (22) | |||
Net assets acquired | $ 64,191 | |||
Quality Wireline and Cable, Inc. [Member] | ||||
Business Acquisition [Line Items] | ||||
Current assets, net of cash acquired | $ 7,596 | |||
Property and equipment | 3,837 | |||
Intangible assets (primarily customer relationships) | 11,527 | |||
Goodwill | 20,573 | |||
Current liabilities | (1,615) | |||
Deferred tax liabilities | (3,629) | |||
Net assets acquired | $ 38,289 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Raw materials and parts | $ 169,761 | $ 153,768 |
Work in process | 51,581 | 50,913 |
Finished goods | 333,856 | 286,290 |
Gross inventories | 555,198 | 490,971 |
Inventory reserve | (32,381) | (29,456) |
Inventories | $ 522,817 | $ 461,515 |
Goodwill and intangible asset32
Goodwill and intangible assets (Schedule of Goodwill) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Goodwill [Roll Forward] | |
Goodwill Beginning Balance | $ 798,481 |
Acquisitions | 15,249 |
Impact of non-U.S. local currency translation | (5,356) |
Goodwill Ending Balance | 808,374 |
Drilling & Subsea [Member] | |
Goodwill [Roll Forward] | |
Goodwill Beginning Balance | 719,860 |
Acquisitions | 0 |
Impact of non-U.S. local currency translation | (5,107) |
Goodwill Ending Balance | 714,753 |
Production & Infrastructure [Member] | |
Goodwill [Roll Forward] | |
Goodwill Beginning Balance | 78,621 |
Acquisitions | 15,249 |
Impact of non-U.S. local currency translation | (249) |
Goodwill Ending Balance | $ 93,621 |
Goodwill and intangible asset33
Goodwill and intangible assets (Finite-Lived and Indefinite-Lived Intangible Assets) (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | $ (139,983) | $ (126,075) |
Intangible Assets Total, Gross carrying amount | 405,794 | 397,814 |
Intangible Assets Total, Net amortizable intangibles | 265,811 | 271,739 |
Trademark [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 5,230 | 5,230 |
Customer relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 292,973 | 284,120 |
Accumulated amortization | (94,781) | (84,947) |
Net amortizable intangibles | 198,192 | 199,173 |
Patents and technology [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 30,536 | 31,069 |
Accumulated amortization | (9,373) | (8,074) |
Net amortizable intangibles | 21,163 | 22,995 |
Non-compete agreements [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 7,029 | 7,086 |
Accumulated amortization | (6,071) | (5,761) |
Net amortizable intangibles | 958 | 1,325 |
Trade names [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 47,866 | 48,149 |
Accumulated amortization | (16,580) | (14,747) |
Net amortizable intangibles | 31,286 | 33,402 |
Distributor relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 22,160 | 22,160 |
Accumulated amortization | (13,178) | (12,546) |
Net amortizable intangibles | $ 8,982 | $ 9,614 |
Minimum [Member] | Customer relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 4 years | 4 years |
Minimum [Member] | Patents and technology [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 5 years | 5 years |
Minimum [Member] | Non-compete agreements [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 3 years | 3 years |
Minimum [Member] | Trade names [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 10 years | 10 years |
Minimum [Member] | Distributor relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 8 years | 8 years |
Maximum [Member] | Customer relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 15 years | 15 years |
Maximum [Member] | Patents and technology [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 17 years | 17 years |
Maximum [Member] | Non-compete agreements [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 6 years | 6 years |
Maximum [Member] | Trade names [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 15 years | 15 years |
Maximum [Member] | Distributor relationships [Member] | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ||
Amortization period (in years) | 15 years | 15 years |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Debt instrument, carrying value | $ 438,296,000 | $ 428,850,000 |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt stated interest rate | 6.25% | |
Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rates | 1.94% | 1.91% |
Debt instrument, carrying value | $ 35,000,000 | $ 25,000,000 |
Line of credit facility, remaining borrowing capacity | 552,800,000 | |
Revolving Credit Facility [Member] | Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 600,000,000 | |
Letter of Credit [Member] | Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 75,000,000 | |
Line of credit facility, additional borrowing capacity | 300,000,000 | |
Line of credit outstanding | 12,200,000 | |
Swingline Loan [Member] | Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 25,000,000 |
Debt (Schedule of Long-Term Deb
Debt (Schedule of Long-Term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Total debt | $ 438,296 | $ 428,850 |
Less: current maturities | (623) | (840) |
Long-term debt | 437,673 | 428,010 |
Senior secured revolving credit facility [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 35,000 | 25,000 |
Other debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 696 | $ 1,049 |
Income taxes (Narrative) (Detai
Income taxes (Narrative) (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 17.70% | 28.00% | 25.00% | 29.00% |
Fair value measurements (Narrat
Fair value measurements (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt instrument, carrying value | $ 438,296 | $ 428,850 |
6.25% Senior Notes due October 2021 [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt instrument, fair value disclosure | 398,600 | 378,100 |
Carrying Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt instrument, fair value disclosure | 35,000 | |
Carrying Value [Member] | 6.25% Senior Notes due October 2021 [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt instrument, carrying value | $ 402,600 | $ 402,801 |
Business segments (Income State
Business segments (Income Statement by Segment) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($)segment | Jun. 30, 2014USD ($) | |
Segment Reporting [Abstract] | ||||
Number of operating segments (in segments) | segment | 2 | |||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 284,415 | $ 428,279 | $ 632,511 | $ 832,217 |
Operating income | 22,438 | 65,804 | 62,670 | 127,193 |
Transaction expenses | 23 | 682 | 240 | 810 |
Loss (gain) on sale of assets and other | 37 | (284) | (275) | 405 |
Drilling & Subsea [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 169,662 | 279,251 | 384,777 | 541,020 |
Operating income | 15,380 | 50,336 | 44,586 | 97,401 |
Production & Infrastructure [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 114,929 | 149,369 | 248,092 | 291,944 |
Operating income | 15,201 | 26,562 | 34,393 | 50,444 |
Intersegment Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | (176) | (341) | (358) | (747) |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 284,415 | 428,279 | 632,511 | 832,217 |
Operating income | 22,498 | 66,202 | 62,635 | 128,408 |
Corporate, Non-Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | $ (8,083) | $ (10,696) | $ (16,344) | $ (19,437) |
Business segments (Assets by Se
Business segments (Assets by Segment) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Assets | $ 2,209,373 | $ 2,221,628 |
Drilling & Subsea [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 1,577,801 | 1,674,934 |
Production & Infrastructure [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 558,770 | 488,225 |
Corporate, Non-Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 72,802 | $ 58,469 |
Earnings per share (Details)
Earnings per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
Net Income attributable to common stockholders | $ 8,874 | $ 39,522 | $ 37,546 | $ 76,052 |
Average shares outstanding (basic) (in shares) | 89,767 | 92,649 | 89,625 | 92,391 |
Common stock equivalents (in shares) | 2,117 | 3,046 | 1,972 | 2,972 |
Diluted shares (in shares) | 91,884 | 95,695 | 91,597 | 95,363 |
Basic earnings per share (in dollars per share) | $ 0.10 | $ 0.43 | $ 0.42 | $ 0.82 |
Diluted earnings per share (in dollars per share) | $ 0.10 | $ 0.41 | $ 0.41 | $ 0.80 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Diluted earnings per share calculation excludes (in shares) | 1,300 | 400 | 1,700 | 500 |
Stockholders' equity (Share-bas
Stockholders' equity (Share-based compensation) (Details) - 6 months ended Jun. 30, 2015 - $ / shares | Total |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of options granted (in shares) | 458,250 |
Granted stock options, exercise price (in dollars per share) | $ 18.68 |
Restricted Stock and Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of equity instruments other than options granted (in shares) | 861,599 |
Restricted Stock and Restricted Stock Units with Specified Vesting Period [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of equity instruments other than options granted (in shares) | 639,711 |
Award vesting period | 4 years |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of equity instruments other than options granted (in shares) | 161,660 |
Board of Directors [Member] | Restricted Stock and Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of equity instruments other than options granted (in shares) | 60,228 |
Award vesting period | 12 months |
Minimum [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share conversion ratio | 0 |
Maximum [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share conversion ratio | 2 |
Share-based Compensation Award, Tranche One [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Performance measurement period | 1 year |
Share-based Compensation Award, Tranche Two [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Performance measurement period | 2 years |
Share-based Compensation Award, Tranche Three [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Performance measurement period | 3 years |
Condensed consolidating finan42
Condensed consolidating financial statements (Condensed consolidating statements of income and comprehensive income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Change in foreign currency translation, tax | $ 0 | $ 0 | $ 0 | $ 0 |
Condensed Statements of Income and Comprehensive Income [Line Items] | ||||
Net sales | 284,415 | 428,279 | 632,511 | 832,217 |
Cost of sales | 199,532 | 290,286 | 438,502 | 566,286 |
Gross profit | 84,883 | 137,993 | 194,009 | 265,931 |
Operating expenses | ||||
Selling, general and administrative expenses | 66,225 | 77,731 | 139,785 | 148,771 |
Transaction expenses | 23 | 682 | 240 | 810 |
Loss (gain) on sale of assets and other | (37) | 284 | 275 | (405) |
Other operating expense | 398 | (275) | 1,215 | |
Total operating expenses | 66,285 | 78,129 | 139,750 | 149,986 |
Earnings from equity investment | 3,840 | 5,940 | 8,411 | 11,248 |
Equity earnings from affiliate, net of tax | 0 | 0 | 0 | 0 |
Operating income | 22,438 | 65,804 | 62,670 | 127,193 |
Other expense (income) | ||||
Interest expense | 7,607 | 7,725 | 15,234 | 15,475 |
Interest income with affiliate | 0 | 0 | ||
Interest expense with affiliate | 0 | 0 | ||
Foreign exchange (gains) losses and other, net | 4,055 | 3,129 | (2,601) | 4,606 |
Total other expense | 11,662 | 10,854 | 12,633 | 20,081 |
Income before income taxes | 10,776 | 54,950 | 50,037 | 107,112 |
Provision for income tax expense | 1,911 | 15,407 | 12,516 | 31,063 |
Net income | 8,865 | 39,543 | 37,521 | 76,049 |
Less: Income (loss) attributable to noncontrolling interest | (9) | 21 | (25) | (3) |
Net income attributable to common stockholders | 8,874 | 39,522 | 37,546 | 76,052 |
Other comprehensive income, net of tax: | ||||
Net income | 8,865 | 39,543 | 37,521 | 76,049 |
Change in foreign currency translation, net of tax of $0 | 25,491 | 11,690 | (11,806) | 12,720 |
Gain (loss) on pension liability | (29) | 0 | 70 | 2 |
Comprehensive income | 34,327 | 51,233 | 25,785 | 88,771 |
Less: comprehensive loss (income) attributable to noncontrolling interests | 11 | (15) | 54 | 12 |
Comprehensive income attributable to common stockholders | 34,338 | 51,218 | 25,839 | 88,783 |
Reportable Legal Entities [Member] | FET Inc. (Parent) [Member] | ||||
Condensed Statements of Income and Comprehensive Income [Line Items] | ||||
Net sales | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Operating expenses | ||||
Selling, general and administrative expenses | 0 | 0 | 0 | 0 |
Transaction expenses | 0 | |||
Loss (gain) on sale of assets and other | 0 | |||
Other operating expense | 0 | 0 | 0 | |
Total operating expenses | 0 | 0 | 0 | 0 |
Earnings from equity investment | 0 | 0 | 0 | 0 |
Equity earnings from affiliate, net of tax | 13,830 | 44,571 | 47,434 | 86,139 |
Operating income | 13,830 | 44,571 | 47,434 | 86,139 |
Other expense (income) | ||||
Interest expense | 7,624 | 7,768 | 15,212 | 15,518 |
Interest income with affiliate | 0 | 0 | ||
Interest expense with affiliate | 0 | 0 | ||
Foreign exchange (gains) losses and other, net | 0 | 0 | 0 | 0 |
Total other expense | 7,624 | 7,768 | 15,212 | 15,518 |
Income before income taxes | 6,206 | 36,803 | 32,222 | 70,621 |
Provision for income tax expense | (2,668) | (2,719) | (5,324) | (5,431) |
Net income | 8,874 | 39,522 | 37,546 | 76,052 |
Less: Income (loss) attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income attributable to common stockholders | 8,874 | 39,522 | 37,546 | 76,052 |
Other comprehensive income, net of tax: | ||||
Net income | 8,874 | 39,522 | 37,546 | 76,052 |
Change in foreign currency translation, net of tax of $0 | 25,491 | 11,690 | (11,806) | 12,720 |
Gain (loss) on pension liability | (29) | 70 | 2 | |
Comprehensive income | 34,336 | 51,212 | 25,810 | 88,774 |
Less: comprehensive loss (income) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to common stockholders | 34,336 | 51,212 | 25,810 | 88,774 |
Reportable Legal Entities [Member] | Guarantor Subsidiaries [Member] | ||||
Condensed Statements of Income and Comprehensive Income [Line Items] | ||||
Net sales | 209,234 | 312,663 | 478,433 | 610,695 |
Cost of sales | 155,127 | 221,119 | 343,894 | 428,088 |
Gross profit | 54,107 | 91,544 | 134,539 | 182,607 |
Operating expenses | ||||
Selling, general and administrative expenses | 52,426 | 59,536 | 109,798 | 113,103 |
Transaction expenses | 23 | |||
Loss (gain) on sale of assets and other | (53) | |||
Other operating expense | 512 | (58) | 1,546 | |
Total operating expenses | 52,502 | 60,048 | 109,980 | 114,649 |
Earnings from equity investment | 3,840 | 5,940 | 8,411 | 11,248 |
Equity earnings from affiliate, net of tax | 10,594 | 19,805 | 26,830 | 31,640 |
Operating income | 16,039 | 57,241 | 59,800 | 110,846 |
Other expense (income) | ||||
Interest expense | 0 | (7) | 14 | 16 |
Interest income with affiliate | (1,933) | (3,883) | ||
Interest expense with affiliate | 0 | 0 | ||
Foreign exchange (gains) losses and other, net | 31 | 676 | (154) | 1,018 |
Total other expense | 31 | (1,264) | (140) | (2,849) |
Income before income taxes | 16,008 | 58,505 | 59,940 | 113,695 |
Provision for income tax expense | 2,178 | 13,934 | 12,506 | 27,556 |
Net income | 13,830 | 44,571 | 47,434 | 86,139 |
Less: Income (loss) attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income attributable to common stockholders | 13,830 | 44,571 | 47,434 | 86,139 |
Other comprehensive income, net of tax: | ||||
Net income | 13,830 | 44,571 | 47,434 | 86,139 |
Change in foreign currency translation, net of tax of $0 | 25,491 | 11,690 | (11,806) | 12,720 |
Gain (loss) on pension liability | (29) | 70 | 2 | |
Comprehensive income | 39,292 | 56,261 | 35,698 | 98,861 |
Less: comprehensive loss (income) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to common stockholders | 39,292 | 56,261 | 35,698 | 98,861 |
Reportable Legal Entities [Member] | Non-Guarantor Subsidiaries [Member] | ||||
Condensed Statements of Income and Comprehensive Income [Line Items] | ||||
Net sales | 102,363 | 154,761 | 222,680 | 300,591 |
Cost of sales | 71,771 | 108,861 | 161,446 | 214,846 |
Gross profit | 30,592 | 45,900 | 61,234 | 85,745 |
Operating expenses | ||||
Selling, general and administrative expenses | 13,799 | 18,195 | 29,987 | 35,668 |
Transaction expenses | 0 | |||
Loss (gain) on sale of assets and other | 16 | |||
Other operating expense | (114) | (217) | (331) | |
Total operating expenses | 13,783 | 18,081 | 29,770 | 35,337 |
Earnings from equity investment | 0 | 0 | 0 | 0 |
Equity earnings from affiliate, net of tax | 0 | 0 | 0 | 0 |
Operating income | 16,809 | 27,819 | 31,464 | 50,408 |
Other expense (income) | ||||
Interest expense | (17) | (36) | 8 | (59) |
Interest income with affiliate | 0 | 0 | ||
Interest expense with affiliate | 1,933 | 3,883 | ||
Foreign exchange (gains) losses and other, net | 4,024 | 2,453 | (2,447) | 3,588 |
Total other expense | 4,007 | 4,350 | (2,439) | 7,412 |
Income before income taxes | 12,802 | 23,469 | 33,903 | 42,996 |
Provision for income tax expense | 2,401 | 4,192 | 5,334 | 8,938 |
Net income | 10,401 | 19,277 | 28,569 | 34,058 |
Less: Income (loss) attributable to noncontrolling interest | (9) | 21 | (25) | (3) |
Net income attributable to common stockholders | 10,410 | 19,256 | 28,594 | 34,061 |
Other comprehensive income, net of tax: | ||||
Net income | 10,401 | 19,277 | 28,569 | 34,058 |
Change in foreign currency translation, net of tax of $0 | 25,491 | 11,690 | (11,806) | 12,720 |
Gain (loss) on pension liability | (29) | 70 | 2 | |
Comprehensive income | 35,863 | 30,967 | 16,833 | 46,780 |
Less: comprehensive loss (income) attributable to noncontrolling interests | 11 | (15) | 54 | 12 |
Comprehensive income attributable to common stockholders | 35,874 | 30,952 | 16,887 | 46,792 |
Eliminations [Member] | ||||
Condensed Statements of Income and Comprehensive Income [Line Items] | ||||
Net sales | (27,182) | (39,145) | (68,602) | (79,069) |
Cost of sales | (27,366) | (39,694) | (66,838) | (76,648) |
Gross profit | 184 | 549 | (1,764) | (2,421) |
Operating expenses | ||||
Selling, general and administrative expenses | 0 | 0 | 0 | 0 |
Transaction expenses | 0 | |||
Loss (gain) on sale of assets and other | 0 | |||
Other operating expense | 0 | 0 | 0 | |
Total operating expenses | 0 | 0 | 0 | 0 |
Earnings from equity investment | 0 | 0 | 0 | 0 |
Equity earnings from affiliate, net of tax | (24,424) | (64,376) | (74,264) | (117,779) |
Operating income | (24,240) | (63,827) | (76,028) | (120,200) |
Other expense (income) | ||||
Interest expense | 0 | 0 | 0 | 0 |
Interest income with affiliate | 1,933 | 3,883 | ||
Interest expense with affiliate | (1,933) | (3,883) | ||
Foreign exchange (gains) losses and other, net | 0 | 0 | 0 | 0 |
Total other expense | 0 | 0 | 0 | 0 |
Income before income taxes | (24,240) | (63,827) | (76,028) | (120,200) |
Provision for income tax expense | 0 | 0 | 0 | 0 |
Net income | (24,240) | (63,827) | (76,028) | (120,200) |
Less: Income (loss) attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
Net income attributable to common stockholders | (24,240) | (63,827) | (76,028) | (120,200) |
Other comprehensive income, net of tax: | ||||
Net income | (24,240) | (63,827) | (76,028) | (120,200) |
Change in foreign currency translation, net of tax of $0 | (50,982) | (23,380) | 23,612 | (25,440) |
Gain (loss) on pension liability | 58 | (140) | (4) | |
Comprehensive income | (75,164) | (87,207) | (52,556) | (145,644) |
Less: comprehensive loss (income) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to common stockholders | $ (75,164) | $ (87,207) | $ (52,556) | $ (145,644) |
Condensed consolidating finan43
Condensed consolidating financial statements (Condensed consolidating balance sheets) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Current assets | ||||
Cash and cash equivalents | $ 57,841 | $ 76,579 | $ 32,642 | $ 39,582 |
Accounts receivable—trade, net | 199,620 | 287,045 | ||
Inventories | 522,817 | 461,515 | ||
Costs and estimated profits in excess of billings | 16,819 | 14,646 | ||
Other current assets | 64,524 | 55,374 | ||
Total current assets | 861,621 | 895,159 | ||
Property and equipment, net of accumulated depreciation | 202,430 | 189,974 | ||
Deferred financing costs, net | 11,828 | 13,107 | ||
Intangibles | 265,811 | 271,739 | ||
Goodwill | 808,374 | 798,481 | ||
Investment in unconsolidated subsidiary | 55,308 | 49,675 | ||
Investment in affiliates | 0 | 0 | ||
Long-term advances to affiliates | 0 | 0 | ||
Other long-term assets | 4,001 | 3,493 | ||
Total assets | 2,209,373 | 2,221,628 | ||
Current liabilities | ||||
Current portion of long-term debt | 623 | 840 | ||
Accounts payable—trade | 114,948 | 127,757 | ||
Accrued liabilities | 82,176 | 126,890 | ||
Deferred revenue | 8,604 | 10,919 | ||
Billings in excess of costs and profits | 9,811 | 27,544 | ||
Total current liabilities | 216,162 | 282,191 | ||
Long-term debt, net of current portion | 437,673 | 428,010 | ||
Long-term payables to affiliates | 0 | 0 | ||
Deferred income taxes, net | 97,831 | 98,188 | ||
Other long-term liabilities | 22,396 | 17,318 | ||
Total liabilities | 774,062 | 825,707 | ||
Total stockholders’ equity | 1,434,800 | 1,395,356 | ||
Noncontrolling interest in subsidiary | 511 | 565 | ||
Total equity | 1,435,311 | 1,395,921 | ||
Total liabilities and equity | 2,209,373 | 2,221,628 | ||
Reportable Legal Entities [Member] | FET Inc. (Parent) [Member] | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 5,551 | 0 | 0 |
Accounts receivable—trade, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Costs and estimated profits in excess of billings | 0 | 0 | ||
Other current assets | 0 | 0 | ||
Total current assets | 0 | 5,551 | ||
Property and equipment, net of accumulated depreciation | 0 | 0 | ||
Deferred financing costs, net | 11,828 | 13,107 | ||
Intangibles | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Investment in unconsolidated subsidiary | 0 | 0 | ||
Investment in affiliates | 1,369,431 | 1,333,701 | ||
Long-term advances to affiliates | 498,290 | 483,534 | ||
Other long-term assets | 0 | 0 | ||
Total assets | 1,879,549 | 1,835,893 | ||
Current liabilities | ||||
Current portion of long-term debt | 0 | |||
Accounts payable—trade | 0 | 0 | ||
Accrued liabilities | 7,151 | 12,733 | ||
Deferred revenue | 0 | |||
Billings in excess of costs and profits | 0 | 0 | ||
Total current liabilities | 7,151 | 12,733 | ||
Long-term debt, net of current portion | 437,598 | 427,801 | ||
Long-term payables to affiliates | 0 | 0 | ||
Deferred income taxes, net | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 444,749 | 440,534 | ||
Total stockholders’ equity | 1,434,800 | 1,395,359 | ||
Noncontrolling interest in subsidiary | 0 | 0 | ||
Total equity | 1,434,800 | 1,395,359 | ||
Total liabilities and equity | 1,879,549 | 1,835,893 | ||
Reportable Legal Entities [Member] | Guarantor Subsidiaries [Member] | ||||
Current assets | ||||
Cash and cash equivalents | 15,133 | 4,006 | 10,490 | 0 |
Accounts receivable—trade, net | 124,376 | 194,964 | ||
Inventories | 397,487 | 343,902 | ||
Costs and estimated profits in excess of billings | 3,879 | 4,871 | ||
Other current assets | 54,263 | 38,920 | ||
Total current assets | 595,138 | 586,663 | ||
Property and equipment, net of accumulated depreciation | 165,638 | 153,016 | ||
Deferred financing costs, net | 0 | 0 | ||
Intangibles | 198,725 | 198,819 | ||
Goodwill | 538,147 | 522,898 | ||
Investment in unconsolidated subsidiary | 55,308 | 49,675 | ||
Investment in affiliates | 603,545 | 590,421 | ||
Long-term advances to affiliates | 0 | 0 | ||
Other long-term assets | 3,223 | 2,760 | ||
Total assets | 2,159,724 | 2,104,252 | ||
Current liabilities | ||||
Current portion of long-term debt | 612 | |||
Accounts payable—trade | 80,997 | 85,179 | ||
Accrued liabilities | 55,101 | 84,824 | ||
Deferred revenue | 2,791 | |||
Billings in excess of costs and profits | 211 | 5,800 | ||
Total current liabilities | 139,712 | 175,803 | ||
Long-term debt, net of current portion | 57 | 183 | ||
Long-term payables to affiliates | 555,379 | 506,065 | ||
Deferred income taxes, net | 78,056 | 77,311 | ||
Other long-term liabilities | 17,089 | 11,189 | ||
Total liabilities | 790,293 | 770,551 | ||
Total stockholders’ equity | 1,369,431 | 1,333,701 | ||
Noncontrolling interest in subsidiary | 0 | 0 | ||
Total equity | 1,369,431 | 1,333,701 | ||
Total liabilities and equity | 2,159,724 | 2,104,252 | ||
Reportable Legal Entities [Member] | Non-Guarantor Subsidiaries [Member] | ||||
Current assets | ||||
Cash and cash equivalents | 42,708 | 67,022 | 22,152 | 39,582 |
Accounts receivable—trade, net | 75,244 | 92,081 | ||
Inventories | 135,074 | 125,594 | ||
Costs and estimated profits in excess of billings | 12,940 | 9,775 | ||
Other current assets | 10,261 | 16,454 | ||
Total current assets | 276,227 | 310,926 | ||
Property and equipment, net of accumulated depreciation | 36,792 | 36,958 | ||
Deferred financing costs, net | 0 | 0 | ||
Intangibles | 67,086 | 72,920 | ||
Goodwill | 270,227 | 275,583 | ||
Investment in unconsolidated subsidiary | 0 | 0 | ||
Investment in affiliates | 0 | 0 | ||
Long-term advances to affiliates | 57,089 | 22,531 | ||
Other long-term assets | 778 | 733 | ||
Total assets | 708,199 | 719,651 | ||
Current liabilities | ||||
Current portion of long-term debt | 11 | |||
Accounts payable—trade | 33,951 | 42,578 | ||
Accrued liabilities | 19,924 | 29,333 | ||
Deferred revenue | 5,813 | |||
Billings in excess of costs and profits | 9,600 | 21,744 | ||
Total current liabilities | 69,299 | 93,655 | ||
Long-term debt, net of current portion | 18 | 26 | ||
Long-term payables to affiliates | 0 | 0 | ||
Deferred income taxes, net | 19,775 | 20,877 | ||
Other long-term liabilities | 5,307 | 6,129 | ||
Total liabilities | 94,399 | 120,687 | ||
Total stockholders’ equity | 613,289 | 598,399 | ||
Noncontrolling interest in subsidiary | 511 | 565 | ||
Total equity | 613,800 | 598,964 | ||
Total liabilities and equity | 708,199 | 719,651 | ||
Eliminations [Member] | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts receivable—trade, net | 0 | 0 | ||
Inventories | (9,744) | (7,981) | ||
Costs and estimated profits in excess of billings | 0 | 0 | ||
Other current assets | 0 | 0 | ||
Total current assets | (9,744) | (7,981) | ||
Property and equipment, net of accumulated depreciation | 0 | 0 | ||
Deferred financing costs, net | 0 | 0 | ||
Intangibles | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Investment in unconsolidated subsidiary | 0 | 0 | ||
Investment in affiliates | (1,972,976) | (1,924,122) | ||
Long-term advances to affiliates | (555,379) | (506,065) | ||
Other long-term assets | 0 | 0 | ||
Total assets | (2,538,099) | (2,438,168) | ||
Current liabilities | ||||
Current portion of long-term debt | 0 | |||
Accounts payable—trade | 0 | 0 | ||
Accrued liabilities | 0 | 0 | ||
Deferred revenue | 0 | |||
Billings in excess of costs and profits | 0 | 0 | ||
Total current liabilities | 0 | 0 | ||
Long-term debt, net of current portion | 0 | 0 | ||
Long-term payables to affiliates | (555,379) | (506,065) | ||
Deferred income taxes, net | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | (555,379) | (506,065) | ||
Total stockholders’ equity | (1,982,720) | (1,932,103) | ||
Noncontrolling interest in subsidiary | 0 | 0 | ||
Total equity | (1,982,720) | (1,932,103) | ||
Total liabilities and equity | $ (2,538,099) | $ (2,438,168) |
Condensed consolidating finan44
Condensed consolidating financial statements (Condensed consolidating statements of cash flows) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Condensed Cash Flow Statements, Captions [Line Items] | ||
Cash flows from (used in) operating activities | $ 55,884 | $ 113,083 |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | (60,836) | (37,682) |
Acquisition of businesses, net of cash acquired | (37,682) | |
Capital expenditures for property and equipment | (19,680) | (28,718) |
Long-term loans and advances to affiliates | 0 | 0 |
Other | 1,408 | 8,596 |
Net cash used in investing activities | (79,108) | (57,804) |
Cash flows from financing activities | ||
Borrowings (repayment) of long-term debt | 9,363 | (75,511) |
Long-term loans and advances to affiliates | 0 | 0 |
Other | (3,808) | 11,039 |
Net cash provided by (used in) financing activities | 5,555 | (64,472) |
Effect of exchange rate changes on cash | (1,069) | 2,253 |
Net decrease in cash and cash equivalents | (18,738) | (6,940) |
Cash and cash equivalents | ||
Beginning of period | 76,579 | 39,582 |
End of period | 57,841 | 32,642 |
Reportable Legal Entities [Member] | FET Inc. (Parent) [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Cash flows from (used in) operating activities | (8,592) | (16,013) |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | 0 | |
Acquisition of businesses, net of cash acquired | 0 | |
Capital expenditures for property and equipment | 0 | 0 |
Long-term loans and advances to affiliates | (2,947) | 85,357 |
Other | 0 | 0 |
Net cash used in investing activities | (2,947) | 85,357 |
Cash flows from financing activities | ||
Borrowings (repayment) of long-term debt | 9,796 | (75,203) |
Long-term loans and advances to affiliates | 0 | 0 |
Other | (3,808) | 5,859 |
Net cash provided by (used in) financing activities | 5,988 | (69,344) |
Effect of exchange rate changes on cash | 0 | 0 |
Net decrease in cash and cash equivalents | (5,551) | 0 |
Cash and cash equivalents | ||
Beginning of period | 5,551 | 0 |
End of period | 0 | 0 |
Reportable Legal Entities [Member] | Guarantor Subsidiaries [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Cash flows from (used in) operating activities | 45,908 | 102,411 |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | (60,836) | |
Acquisition of businesses, net of cash acquired | 0 | |
Capital expenditures for property and equipment | (14,646) | (22,267) |
Long-term loans and advances to affiliates | 37,346 | 0 |
Other | 833 | 8,299 |
Net cash used in investing activities | (37,303) | (13,968) |
Cash flows from financing activities | ||
Borrowings (repayment) of long-term debt | (425) | (187) |
Long-term loans and advances to affiliates | 2,947 | (82,946) |
Other | 0 | 5,180 |
Net cash provided by (used in) financing activities | 2,522 | (77,953) |
Effect of exchange rate changes on cash | 0 | 0 |
Net decrease in cash and cash equivalents | 11,127 | 10,490 |
Cash and cash equivalents | ||
Beginning of period | 4,006 | 0 |
End of period | 15,133 | 10,490 |
Reportable Legal Entities [Member] | Non-Guarantor Subsidiaries [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Cash flows from (used in) operating activities | 18,568 | 26,685 |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | 0 | |
Acquisition of businesses, net of cash acquired | (37,682) | |
Capital expenditures for property and equipment | (5,034) | (6,451) |
Long-term loans and advances to affiliates | 0 | 0 |
Other | 575 | 297 |
Net cash used in investing activities | (4,459) | (43,836) |
Cash flows from financing activities | ||
Borrowings (repayment) of long-term debt | (8) | (121) |
Long-term loans and advances to affiliates | (37,346) | (2,411) |
Other | 0 | 0 |
Net cash provided by (used in) financing activities | (37,354) | (2,532) |
Effect of exchange rate changes on cash | (1,069) | 2,253 |
Net decrease in cash and cash equivalents | (24,314) | (17,430) |
Cash and cash equivalents | ||
Beginning of period | 67,022 | 39,582 |
End of period | 42,708 | 22,152 |
Eliminations [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Cash flows from (used in) operating activities | 0 | 0 |
Cash flows from investing activities | ||
Acquisition of businesses, net of cash acquired | 0 | |
Acquisition of businesses, net of cash acquired | 0 | |
Capital expenditures for property and equipment | 0 | 0 |
Long-term loans and advances to affiliates | (34,399) | (85,357) |
Other | 0 | 0 |
Net cash used in investing activities | (34,399) | (85,357) |
Cash flows from financing activities | ||
Borrowings (repayment) of long-term debt | 0 | 0 |
Long-term loans and advances to affiliates | 34,399 | 85,357 |
Other | 0 | 0 |
Net cash provided by (used in) financing activities | 34,399 | 85,357 |
Effect of exchange rate changes on cash | 0 | 0 |
Net decrease in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents | ||
Beginning of period | 0 | 0 |
End of period | $ 0 | $ 0 |