Flowserve Q2 2020 Earnings Report
Key Takeaways
Flowserve Corporation reported its second quarter results, highlighting a resilient financial performance despite the global pandemic and energy market volatility. Adjusted EPS was flat compared to the prior year but up 152% sequentially. The company is executing ahead of plan on its $100 million annual cost reduction actions and expects second half 2020 Adjusted EPS performance to exceed first half levels.
Adjusted EPS was flat with prior year and up 152% sequentially.
Adjusted operating margin expanded sequentially and year-over-year.
The company is ahead of schedule on $100 million annual cost reduction actions.
Flowserve expects second half 2020 Adjusted EPS to exceed first half levels.
Flowserve
Flowserve
Flowserve Revenue by Segment
Forward Guidance
Flowserve expects to build on the momentum of the second quarter as they execute on their $2.1 billion backlog. The company expects second half 2020 reported and adjusted EPS to exceed the amount generated during the first half of the year, assuming no government-mandated or illness-driven shut downs of significant operating locations.
Challenges Ahead
- Energy market volatility
- COVID-19 pandemic
- Potential for government-mandated shut downs
- Potential for illness-driven shut downs
- Challenges in the back half of the year
Revenue & Expenses
Visualization of income flow from segment revenue to net income