NOV Inc. Earnings Call Transcripts
Fiscal Year 2026
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Q3 revenue rose 2% YoY to $2.23B and adjusted EBITDA reached $281M, with improved margins in both segments. Offshore demand and international unconventional growth support stronger prospects, while Middle East disruption weighs on near-term activity and cash flow.
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Q2 2026 revenue rose 4% sequentially to $2.13B, with adjusted EBITDA of $283M, including a $40M tariff benefit. Operational improvements and strong offshore demand drove record margins in key segments, while geopolitical risks and Middle East logistics remain challenges.
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First quarter 2026 saw revenue of $2.05B and net income of $19M, with significant disruption from the Middle East conflict impacting results. Strong offshore and international demand, record bookings in key segments, and a constructive long-term outlook support expectations for margin and earnings growth as market conditions improve.
Fiscal Year 2025
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Q4 2025 revenue rose 5% sequentially to $2.28B, but net loss was $78M due to impairments and tax. Full-year EBITDA exceeded $1B, with strong free cash flow and record performance in subsea and process systems. 2026 guidance calls for slightly lower revenue, stable EBITDA, and continued offshore momentum.
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Q3 2025 saw revenues of $2.18B and net income of $42M, with strong free cash flow and record backlog in production-related equipment. Near-term softness is expected, but robust offshore and international demand, cost controls, and technology leadership position the company for growth from late 2026 onward.
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Revenue rose 4% sequentially to $2.2B, with net income of $108M and strong free cash flow. Margins were pressured by tariffs, inflation, and mix, but cost reduction and digital initiatives are underway. Offshore and international markets are expected to drive growth in 2026.
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Q1 2025 saw stable revenue and margin growth, with strong cash flow and a rising backlog, but management remains cautious due to macro headwinds, tariffs, and OPEC+ actions. Offshore and international markets are expected to drive long-term growth, while North America faces more risk.
Fiscal Year 2024
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Fourth quarter and full-year 2024 saw revenue and margin growth, strong free cash flow, and record backlog in key segments. 2025 is expected to be flat for revenue but with margin improvement and robust shareholder returns, despite macro and market headwinds.
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Q3 2024 saw modest revenue growth, higher EBITDA and margins, and record backlog, driven by strong offshore production equipment demand. Near-term headwinds in drilling equipment are expected to be offset by continued growth in production systems, with margin improvement targeted for 2025 through backlog quality and cost savings.
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Q2 2024 saw 6% revenue growth and 15% higher EBITDA, driven by strong offshore and international demand, while North America remained weak. Bookings surged, margins improved, and robust free cash flow enabled increased shareholder returns and strategic investments.