Dril-Quip Releases Second Quarter Results

Dril-Quip, Inc. announced net income of $42.9 million, or $1.05 per diluted share for the three months ended June 30, 2013, versus net income of $29.8 million, or $0.74 per diluted share for the second quarter of 2012.

Total revenues were $222.0 million during the quarter ended June 30, 2013 compared to $176.6 million for the same period in 2012, an increase of $45.4 million or approximately 26%. The increase in revenues resulted from increased product revenues of $42.1 million and increased service revenues of $3.3 million.

For the six months ended June 30, 2013, net income was $82.8 million, or $2.03 per diluted share compared with net income of $58.6 million, or $1.45 per diluted share for the same period in 2012. Total revenues rose to $415.2 million during the six months ended June 30, 2013 from $353.7 million during the same period in 2012, an increase of approximately 17%. The results for the first six months of 2013 were also favorably impacted by an after-tax foreign exchange gain of $3.5 million, or $0.09 per diluted share, as compared to an after-tax foreign exchange loss of $1.4 million, or $0.03 per diluted share during the first half of 2012.

In addition, the Company announced that its backlog at June 30, 2013 was approximately $1.1 billion, compared to its June 30, 2012 backlog of approximately $697 million and its March 31, 2013 backlog of approximately $1.0 billion. Based upon current market conditions and excluding foreign currency gains/losses or any unusual items, the Company expects its earnings per diluted share for the quarter ending September 30, 2013 to approximate $0.95 to $1.05 per share. The Company also announced that it currently expects its full-year 2013 earnings per diluted share to be in the range of $3.85 to $4.05, excluding foreign currency gains/losses or any unusual items, up from previous 2013 guidance of $3.40 to $3.60 per diluted share.

Dril-Quip is a leading manufacturer of highly engineered offshore drilling and production equipment which is well suited for use in deepwater, harsh environment and severe service applications.