Full Year 2024 Highlights and 2025 Guidance

• Revenue: $816 million, a 10% year-over-year increase
• Orders: $780 million and book-to-bill ratio of 96%
• Net loss: $135 million
• Adjusted EBITDA: $100 million, a 49% increase from 2023
• Operating cash flow and free cash flow: $92 million and $105 million, respectively
• Shareholder return program: $2 million repurchased in January 2025
• 2025 adjusted EBITDA guidance: $85 - $105 million

Forum Energy Technologies, Inc. (NYSE: FET) today announced fourth quarter 2024 revenue of $201 million and orders of $190 million. Fourth quarter net loss of $104 million includes a non-cash, pre-tax intangible asset impairment of $119 million and an $11 million tax valuation allowance release. Net loss for 2024 was $135 million, or $11.00 per diluted share. Adjusted net loss for the quarter was $6 million and $11 million for 2024.¹

Neal Lux, President and Chief Executive Officer, remarked, “2024 was a fantastic year for FET. We began by closing the Variperm acquisition, which contributed meaningfully to our financial results. Consolidated revenue was up $78 million and adjusted EBITDA increased $33 million, resulting in a 42% incremental margin. EBITDA margin increased by over 300 basis points to 12%. This strong growth and our efficient working capital management generated free cash flow of $105 million, the highest since 2015.

“We ended the year refinancing our long-term debt, solidifying our balance sheet, and providing flexibility to return capital to shareholders. In December, we announced a $75 million share repurchase authorization and began executing this program in January. Going forward, we expect to allocate 50% of our free cash flow to net debt reduction, with the remainder to strategic investments, including share repurchases. With our confidence in the long-term outlook and a free cash flow yield well above our peers, we are unlikely to find a better investment than FET shares.

“During 2024, we implemented our “Beat the Market” strategy to grow profitable market share by focusing on niche markets, delivering innovative solutions, and leveraging our global manufacturing footprint. This strategy, combined with the Variperm acquisition, led to 15% market share growth as measured by revenue per global rig. With continued market share gains and a favorable long-term energy investment climate, FET is well positioned to increase revenue and free cash flow over time.

“In the near term, commodity prices remain range bound due to excess production capacity and slower demand growth. We expect global drilling and completion activity to be down 2% to 5% in 2025. Our forecast assumes we overcome most, if not all, of the activity decline through market share gains. Therefore, full year 2025 adjusted EBITDA and free cash flow guidance ranges are $85 to $105 million and $40 to $60 million, respectively.”

Segment Results (unless otherwise noted, comparisons are fourth quarter 2024 versus third quarter 2024)

Drilling and Completions segment revenue was $111 million, a 10% decrease, primarily related to lower capital equipment, wireline cable and coiled tubing sales due to the decline in U.S. completions activity. Orders were $103 million, or a book-to-bill ratio of 93%, on lower orders for drilling and stimulation-related capital equipment. Segment adjusted EBITDA was $10 million, a 34% decrease, resulting primarily from lower revenue and unfavorable product mix. The Drilling and Completions segment provides consumable products and capital equipment for drilling, subsea, coiled tubing, wireline, and stimulation markets.

Artificial Lift and Downhole segment revenue was $90 million, a 7% increase, primarily related to higher demand for our processing equipment technologies, as well as increased sales of our artificial lift products. Orders were $87 million, a 14% increase, due to elevated Production Equipment orders. Segment adjusted EBITDA was $19 million, an 11% increase, mainly due to higher sales of our artificial lift products and processing equipment technologies. The Artificial Lift and Downhole segment engineers, manufactures, and supplies products for well construction, artificial lift, and oil and natural gas processing.

FET® is a global manufacturing company, serving the oil, natural gas, industrial and renewable energy industries. With headquarters located in Houston, Texas, FET provides value added solutions aimed at improving the safety, efficiency, and environmental impact of our customers' operations. For more information, please visit www.f-e-t.com.

Non-GAAP Financial Measures

The Company presents its financial results in accordance with GAAP. However, management believes that non-GAAP measures are useful tools for evaluating the Company's overall financial performance. Not all companies define these measures in the same way. In addition, these non-GAAP financial measures are not a substitute for those prepared in accordance with GAAP and should, therefore, be considered only as a supplement. Please see the attached schedules for reconciliations between GAAP and the non-GAAP financial measures used in this press release.

Forward Looking Statements and Other Legal Disclosure

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. Without limiting the generality of the foregoing, forward-looking statements contained in this press release specifically include the expectations of plans, strategies, objectives and anticipated financial and operating results of the Company, including any statement about the Company's outlook, future financial position, liquidity and capital resources, operations, performance, cash flow, acquisitions, returns, capital expenditure budgets, new product development activities, strategic investments, share repurchases, costs and other guidance included in this press release.

These statements are based on certain assumptions made by the Company based on management's experience and perception of historical trends, current conditions, anticipated future developments and other factors believed to be appropriate. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements. Among other things, these include the volatility of oil and natural gas prices, oilfield development activity levels, the availability of raw materials and specialized equipment, the Company's ability to deliver backlog in a timely fashion, the availability of skilled and qualified labor, competition in the oil and natural gas industry, governmental regulation and taxation of the oil and natural gas industry, the Company's ability to implement new technologies and services, the availability and terms of capital, and uncertainties regarding environmental regulations or litigation and other legal or regulatory developments affecting the Company's business, and other important factors that could cause actual results to differ materially from those projected as described in the Company's filings with the U.S. Securities and Exchange Commission.

Any forward-looking statement speaks only as of the date on which such statement is made and the Company undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.