PRESS RELEASE 19 February 2025, Copenhagen, Denmark In 2025, leading mining technology and service supplier FLSmidth will open or expand seven service centres in strategic locations across the globe. These facilities are in direct support of FLSmidth’s CORE’26 mining strategy that includes targeting service growth, and adds to the company’s already comprehensive global network of service centres that can enhance mining customers’ productivity. New facilities will open in Accra, Ghana; Surabaja, Indonesia; ...

For the quarter ended December 2024, Flowserve (FLS) reported revenue of $1.18 billion, up 1.3% over the same period last year. EPS came in at $0.70, compared to $0.68 in the year-ago quarter.The reported revenue represents a surprise of -2.54% over the Zacks Consensus Estimate of $1.21 billion. With the consensus EPS estimate being $0.77, the EPS surprise was -9.09%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expect ...

Flowserve (FLS) came out with quarterly earnings of $0.70 per share, missing the Zacks Consensus Estimate of $0.77 per share. This compares to earnings of $0.68 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -9.09%. A quarter ago, it was expected that this company that makes pumps, valves and other parts for the oil and gas industries would post earnings of $0.67 per share when it actually produced earnings of $0.62, deliveri ...

Core Viewpoint - Flowserve Corporation (FLS) is expected to report growth in both revenue and earnings for the fourth quarter of 2024, with revenue estimates at $1.2 billion, reflecting a 3.9% increase year-over-year [1] Revenue and Earnings Estimates - The consensus estimate for earnings is 77 cents per share, which has risen by 4.1% in the last 30 days and indicates a 13.2% increase from the previous year [2] - FLS has a history of surpassing earnings estimates three times and missing once in the last four quarters, with an average earnings surprise of 10.8% [2] Factors Influencing Performance - Strength in the chemical market, particularly from a greenfield petrochemical project in Saudi Arabia, is anticipated to positively impact results [4] - Investments in specialty chemicals in the U.S. and a modest improvement in global chemical demand are also expected to contribute to revenue growth [4] - Solid booking levels in the power generation market, driven by data center capacity growth and increased AI activity, are likely to support performance [5] Segment Performance - The Pumps Division is projected to perform well, with revenues expected to rise by 2.3% year-over-year to $851 million [6] - The Flow Control Division is anticipated to see a 5.2% increase in revenues to $351 million, aided by original equipment sales growth across various regions [7] Strategic Developments - The acquisition of MOGAS Industries in October 2024 is expected to enhance Flowserve's valve and automation product portfolio, boosting its exposure in mining and mineral extraction [8] Cost and Margin Considerations - Rising costs related to higher input prices and restructuring actions may negatively impact margins [9] - Foreign currency headwinds, due to the company's extensive international operations, are also likely to affect profitability [9] Earnings Prediction - Flowserve is predicted to beat earnings estimates, supported by a positive Earnings ESP of +2.60% and a Zacks Rank of 3 [10][11]

One company that continues to defy my expectations is Flowserve Corporation (NYSE: FLS ). For those not familiar with the business, it serves as a producer and aftermarket service provider of flow control systems. This is a technology that is used toCrude Value Insights offers you an investing service and community focused on oil and natural gas. We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential.Subscribers get to use a 50+ stock model accoun ...

PRESS RELEASE 17 December 2024, Copenhagen, Denmark FLSmidth announces that Joshua Meyer, President, Mining Service Business Line and Annette Terndrup, Group General Counsel, are stepping down from their roles and will be leaving the company. Josh will be leaving FLSmidth at the end of December 2024 and Annette’s last day with FLSmidth will be at the end of February 2025. The process of identifying Josh’s replacement is ongoing and is expected to be concluded in the near future. As part of the continued im ...

Flowserve Corporation (FLS) has been benefiting from solid bookings, driven by strong original equipment and aftermarket activity. Solid booking levels highlight strength across the company’s end markets. FLS’ Diversify, Decarbonize and Digitize strategy has also been supporting its growth. Notably, its third-quarter 2024 bookings of $1.2 billion marked the eleventh consecutive quarter of more than $1 billion bookings.Strength across its original equipment and aftermarket businesses is supporting both the F ...

Core Insights - The article discusses the expertise of Vladimir Dimitrov, CFA, who has a background in brand and intangible assets valuation, particularly in the technology, telecom, and banking sectors [1] Group 1 - Vladimir Dimitrov has experience as a strategy consultant and has worked with major global brands [1] - His career has been primarily based in the City of London, indicating a strong connection to significant financial markets [1]

Financial Data and Key Metrics Changes - The company reported sales of $1.1 billion, reflecting a year-over-year growth of 3.5% [11] - Adjusted EPS for the third quarter was $0.62, a 24% increase compared to the previous year [11] - Cash from operations reached $178 million, driven by working capital efficiency and earnings improvements [11][42] - Adjusted operating margin expanded by 240 basis points year-over-year to 11.1% [38] Business Line Data and Key Metrics Changes - The company achieved strong aftermarket bookings of approximately $615 million, marking two consecutive quarters above the $600 million level [20] - Original equipment and aftermarket work each represented about half of total bookings, with original equipment awards contributing approximately $130 million [19] - FPD segment delivered an adjusted operating margin of 16.4%, a 410 basis point improvement year-over-year [40] - FCD segment's adjusted operating margin was 14%, showing a 60 basis point sequential improvement [41] Market Data and Key Metrics Changes - Bookings in the oil and gas sector increased by 7% to nearly $455 million, driven by activity in the Middle East [21] - Power bookings rose nearly 30% to $155 million in the quarter, with year-to-date growth at 23% [22] - Nuclear activity saw over $100 million in bookings, supported by life extensions and new capacity being built [25] Company Strategy and Development Direction - The company is focused on its 3D growth strategy, which emphasizes diversification and decarbonization, contributing to 34% of total bookings [17][48] - The acquisition of MOGAS Industries is expected to enhance the company's offerings and support long-term value creation [15] - A portfolio excellence program has been launched to optimize product offerings and improve customer service, targeting a margin improvement of 100 to 200 basis points by 2027 [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the power markets and the potential for significant growth in global power demand over the next decade [24][27] - The company anticipates continued strength in the aftermarket business and a healthy project pipeline, particularly in the Middle East [60][62] - Management reaffirmed full-year guidance metrics, expecting adjusted earnings per share to be between $2.60 and $2.75 [31] Other Important Information - The company completed the acquisition of MOGAS Industries, which is expected to provide $15 million in cost synergies by the end of year two [16][45] - The cash conversion cycle improved by nine days year-over-year, indicating enhanced working capital efficiency [42][81] Q&A Session Summary Question: Insights on bookings and market conditions - Management noted that the aftermarket business remains healthy, with strong utilization rates in process industries and robust project activity in the Middle East [56][60] Question: Q4 EPS guidance and revenue ramp - Management indicated that the revenue ramp in Q4 is expected to be smaller than in previous years, primarily due to improved conversion rates and strength in the aftermarket business [63][64] Question: Portfolio excellence program and margin targets - Management confirmed the launch of a formal portfolio excellence program, expecting to see early results and reaffirming the target of 100 to 200 basis points margin improvement by 2027 [69][72] Question: Free cash flow and operational changes - Management highlighted improvements in cash conversion and inventory processes, indicating a structural change that could lead to higher free cash flow conversion rates in the future [78][82] Question: Importance of selectivity in bookings - Management emphasized the importance of being selective in project awards to ensure long-term profitability and aftermarket entitlement [86]

Core Insights - Flowserve Corporation's third-quarter 2024 adjusted earnings per share were 62 cents, missing the Zacks Consensus Estimate of 67 cents, but reflecting a 24% year-over-year increase [1] - Total revenues for the quarter were $1,133 million, surpassing the consensus estimate of $1,127 million, with a year-over-year increase of 3.5% [2] - Total bookings reached $1.2 billion, marking a 12.7% year-over-year increase, with a backlog of $2.8 billion at the end of the quarter, up 3.7% sequentially [3] Revenue and Sales Performance - Flowserve's revenues from the Pump Division were $782.1 million, up 2.1% year over year, with bookings increasing 20.7% to $886.6 million [4] - The Control Division generated revenues of $353.1 million, a 6.8% year-over-year increase, although bookings decreased 3.7% to $318.4 million [5] Margin and Cost Analysis - The cost of sales remained flat at $776 million, while gross profit increased 12.4% to $357.1 million, resulting in a gross margin of 31.5%, up 250 basis points [6] - Operating income rose 46.8% year over year to $103.2 million, with an operating margin of 9.1%, up 270 basis points [6] Balance Sheet and Cash Flow - At the end of the third quarter, Flowserve had cash and cash equivalents of $611.7 million, up from $545.7 million at the end of 2023, with long-term debt stable at $1.17 billion [7] - The company generated net cash of $228 million from operating activities in the first nine months of 2024, compared to $131.1 million in the previous year [7] Dividend and Share Repurchase - During the same period, Flowserve distributed $82.8 million in dividends and repurchased shares worth $20.1 million [8] 2024 Guidance - Flowserve expects a revenue increase of 4-6% from the previous year, with earnings per share projected between $2.15 and $2.35, and adjusted earnings per share estimated in the range of $2.60–$2.75 [9][10]