Key Highlights

  • Adjusted diluted EPS of USD 1.05 beat the consensus estimate of USD 0.88 and rose 40% from USD 0.75.
  • Revenue of USD 2.90 billion grew 9.4% and topped the consensus estimate of USD 2.79 billion for the quarter.
  • Adjusted EBITDA reached USD 627.8 million at a 21.7% margin, and free Cash Flow came in at USD 470 million.
  • Subsea Revenue guidance rose to USD 9.6 to 9.8 billion, with free cash flow at USD 1.45 to 1.55 billion.

TechnipFMC plc (NYSE:FTI) reported third quarter 2026 adjusted Diluted Earnings per Share of USD 1.05, up from USD 0.75 a year earlier and above the consensus estimate of USD 0.88. GAAP diluted EPS was also USD 1.05, on Net Income of USD 418.4 million that grew 35.1%. Revenue of USD 2.90 billion increased 9.4% from USD 2.65 billion and exceeded the consensus estimate of USD 2.79 billion.

Adjusted EBITDA was USD 627.8 million, up 21.0%, and the Margin widened 210 basis points to 21.7%. A foreign exchange loss of USD 8.6 million sat inside those results, and excluding it adjusted EBITDA would have been USD 636.4 million.

Subsea Strength and Order Intake

Subsea revenue rose 12.1% year over year to USD 2.60 billion, with operating profit up 30.2% to USD 522.6 million at a 20.1% margin and adjusted EBITDA margin of 23.5%. The 4.5% sequential gain reflected iEPCI projects in Indonesia and Brazil and higher services activity, partly offset by lower project activity in Norway. Surface Technologies revenue fell 9.8% year over year to USD 295.8 million, though Operating Margin improved 280 basis points to 14.0%.

Total inbound orders were USD 2.32 billion, with Subsea orders of USD 2.05 billion and a book to bill of 0.8x. Total Backlog stood at USD 16.07 billion, and Subsea backlog of USD 15.49 billion is scheduled as USD 1.92 billion for the rest of 2026, USD 6.06 billion for 2027 and USD 7.51 billion beyond. Chair and Chief Executive Officer Douglas Pferdehirt pointed to awards from Azule Energy, Petrobras and PETRONAS, and said the Subsea Opportunities List rose for a ninth straight quarter to USD 32 billion.

Guidance Changes for 2026 and 2027

The company raised 2026 Subsea revenue guidance to USD 9.6 to 9.8 billion from USD 9.2 to 9.6 billion, with a Subsea adjusted EBITDA margin of 21% to 22%. Free cash flow guidance moved to USD 1.45 to 1.55 billion from USD 1.3 to 1.45 billion, and the effective tax rate range was lowered to 25% to 27% from 27% to 31%. Surface Technologies revenue is guided to USD 1.15 to 1.3 billion at a margin of 16.5% to 18%.

Management also introduced early 2027 Subsea guidance of USD 10 to 10.4 billion of revenue and an adjusted EBITDA margin of 22.5% to 24%, with remaining 2027 guidance due alongside fourth quarter results. The company projects Subsea inbound orders of at least USD 14.5 billion over the next five quarters.

Cash Returns and Items to Track

Cash from operations was USD 530.7 million and capital expenditures were USD 61 million. The company repurchased 4.4 million shares for USD 320 million and paid USD 19.5 million in dividends, for total distributions of USD 339.5 million. Cash ended at USD 1.05 billion, with net cash of USD 645.3 million.

Several markers matter for the next report. Quarterly Subsea inbound orders of USD 2.05 billion sit against the projected five quarter total of at least USD 14.5 billion, and management said two to three very large projects could conclude by year end or slip into the new year. Backlog of USD 16.07 billion, the 21% to 22% Subsea margin range and full year free cash flow of USD 1.45 to 1.55 billion are the numbers set against fourth quarter delivery. The rest of the 2027 guidance arrives with fourth quarter results.