UPDATE 2-FMC Tech profit dips, 2010 view steady; stock down

* Q2 EPS down 9 pct to 78 cts, vs Wall St view of 71 cts

* 2010 EPS outlook unchanged despite Gulf of Mexico impact

* Backlog up 6 pct to $2.8 bln; sees more growth 2nd half

* Shares down 3.1 pct as analysts had seen better guidance
(Adds comments from CEO and analyst, share price)

NEW YORK/SAN FRANCISCO, July 26 (BestGrowthStock) – U.S. oilfield
equipment maker FMC Technologies Inc (FTI.N: ) reported a drop in
quarterly profit, and the impact of the Gulf of Mexico disaster
meant its 2010 outlook was unchanged despite strong orders.

FMC shares fell 3.1 percent as some analysts had been
banking on an increase in full-year earnings guidance, with the
average forecast near the top end of the company’s target
range.

FMC’s backlog of work rose 6 percent to $2.8 billion, the
second consecutive quarterly increase, on robust demand for its
subsea equipment that controls the flow in and out of wells.

The company still sees strong subsea orders in the second
half of this year and expects backlog to grow “significantly”
over the previous year, even with weaker sales in the Gulf of
Mexico, which accounted for 12 percent of its 2009 sales.

“Outside the Gulf, each of the major deepwater basins has
significant near-term project opportunities,” Chief Executive
Peter Kinnear said on conference call with analysts.

Recent awards from Petrobras (PETR4.SA: ) in Brazil, Gazprom
(GAZP.MM: ) off Russia’s coast, Total (TOTF.PA: ) in West Africa
and the North Sea, and Statoil (STL.OL: ) in the North Sea set
the stage for more orders as those projects progress, he said.

In its smaller surface wellhead business, Kinnear sees
opportunities in North Africa, Kazakhstan, China, Indonesia as
well as Iraq, where it is active talks with several companies.

Second-quarter net income fell 9 percent to $96.2 million,
or 78 cents per share, from $106 million, or 84 cents per
share, a year ago. Revenue fell 8 percent to $1.01 billion.

Analysts, on average, had expected the Houston-based
company to report earnings per share of 71 cents on revenue of
$1.06 billion, according to Thomson Reuters I/B/E/S.

FMC stuck to its forecast issued in April for 2010 earnings
of $2.70 to $2.90 a share, whereas analysts had been expecting
$2.85, on average.

A reduction in sales of $100 million to $150 million
stemming from the stall in Gulf of Mexico activity, mostly out
of customer support revenue, would be offset by a better
performance in its fluid control business, FMC said.

Simmons & Co analyst Bill Herbert highlighted FMC’s
unchanged guidance and a “relatively rich” valuation versus
2011 earnings as counterpoints to its “abundance of virtues.”

FMC shares fell 3.1 percent to $61.75 in early trading on
the New York Stock Exchange. The stock is down 8 percent since
the BP Plc (BP.L: ) well blow-out in the Gulf of Mexico, compared
with 18 percent for the oilfield services sector (.OSX: ).
(Reporting by Matt Daily in New York and Braden Reddall in San
Francisco; Editing by Lisa Von Ahn, Dave Zimmerman)

UPDATE 2-FMC Tech profit dips, 2010 view steady; stock down