Industrial Goods Hit by Order Slowdown and Corporate Bond Issues, Dropping Over 5%

Flowserve Corp (NYSE: FLS), a U.S. industrial valve manufacturer, saw its shares plunge 5.16% to close at $65.85 on the New York Stock Exchange on the 12th, wiping out roughly $410 million (about ₩550 billion) in market value.

In its first-quarter results, Flowserve reported revenue of approximately $1.07 billion, falling short of analysts’ consensus of around $1.17 billion. Delays in Middle East projects also drove new orders down 6% year-over-year, weighing on investor confidence.

To fund its acquisition of Trillium Flow Technologies’ valve division, the company issued $500 million of senior notes due 2036 with a 5.7% coupon (about ₩670 billion), boosting total debt to about $1.89 billion—another factor investors are watching closely.

Flowserve supplies flow-control equipment—pumps, valves and seals—to global infrastructure sectors including oil and gas refining, chemicals, power generation (including nuclear) and water treatment. The company is listed on the NYSE and is a component of the S&P 500.