Will Rig Count Affect FMC Technologies in 3Q16?



US rig count

In 2016 through 2Q16, the US rig count fell 51%. It reached a multiyear high in September 2014. Since then, it has fallen 73% through September 30, 2016.

From June 30 to September 30, 2016, the US rig count turned the corner, rising 24%. A higher US rig count is expected to improve FMC Technologies’ (FTI) revenues and earnings in 3Q16.

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Revenues in the United States

In 2015, FMC Technologies’ (FTI) US revenue share fell marginally over a year ago. In 2015, its revenue from the United States fell to 30% of its total revenue compared to 31% in 2014. By comparison, Nabors Industries’ (NBR) revenue from the United States in 2015 was 47%.

From 2011 to 2014, FTI’s US revenue share rose. FTI makes up 0.08% of the iShares MSCI KLD 400 Social (DSI). The energy sector is 6.4% of DSI.

Next, we’ll take a look at FTI’s international rig count and its revenues from international operations.


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