FTK’s income by segment
What affected Flotek Industries’ earnings in 4Q16?
In 4Q16, FTK’s reported net loss was ~$14 million—a sharp decline from 4Q15, when FTK reported a ~$1.4 million net loss. Year-over-year, FTK’s income deterioration reflects a lower margin in the Energy Chemistry Technologies and Production Technologies segments. Compared to 3Q16, when Flotek Industries reported a net loss of $2.7 million, the 4Q16 reported earnings declined further.
FTK’s net earnings were affected by:
- an $18 million net loss from discontinued operations of the Drilling Technologies and Production Technologies segments in 4Q16
- a $12.7 million gain from a legal settlement related to the disgorgement of potential short-swing trading profits
Net earnings for FTK’s peers
Superior Energy Services’ (SPN) net loss was ~$166 million while Tidewater’s (TDW) net loss was $296 million in 4Q16. McDermott International’s (MDR) net income was $1.8 million in 4Q16. Read more on Tidewater in Market Realist’s Hot Water for Tidewater? Inside the Fiscal 3Q17 Earnings.
Next, we’ll discuss Flotek Industries’ debt.