Apergy Corp (NYSE: APY) in the fourth quarter of FY 18 has reported the net income of $22.6 million compared to net income of $61.2 million in the fourth quarter of 2017. The fourth quarter of 2017 included a net tax benefit of $49.3 million related to U.S. tax reform. The company has posted the adjusted diluted earnings per share in the fourth quarter of 2018 of $0.36, which is an increase of 50% from $0.24 in the fourth quarter of 2017. Cash from operating activities was $70.9 million in the fourth quarter of 2018, compared to $34.8 million in the fourth quarter of 2017, and $34.3 million in the third quarter of 2018. In the fourth quarter of 2018, Apergy used available cash to repay $25 million of term loan debt, as well as fund payment of $7.7 million associated with tax liabilities incurred as part of the spin-off transaction. APY expects no further material payments associated with tax liabilities incurred as part of the spin-off transaction.
Moreover, in the fourth quarter of FY 18, APY reported a 17% rise in the revenue. In the fourth quarter of 2018, Production & Automation Technologies revenue increased $31.2 million, or 15%, year-over-year driven by volume and growth initiatives in our artificial lift products and strong adoption of our digital products. Revenue from digital products was $32.5 million in the fourth quarter of 2018, an increase of $11.6 million, or 56%, compared to $20.9 million in the fourth quarter of 2017. Adjusted segment EBITDA increased $13.3 million, or 36%, year-over-year primarily driven by revenue growth and cost discipline, with adjusted segment EBITDA margin expanding to 21.4% from 18.2% in the prior year period. In the fourth quarter of 2018, Drilling Technologies revenue increased $14.8 million, or 24%, year-over-year as a result of increased worldwide rig count and continued diamond bearings growth. The adjusted segment EBITDA increased by $7.3 million, or 33%, as a result of increased volume combined with focused cost discipline.
APY expect the growth will moderate in the first quarter of 2019 driven by slower market activity in the beginning of the quarter. Accordingly, the outlook for the first quarter of 2019 is consolidated adjusted EBITDA to be between $69 and $73 million, which at the mid-point is an increase of 11% from the first quarter of 2018. The first quarter of 2018 did not include incremental stand-alone corporate costs.