NBR's completion and production services, which includes its U.S. well servicing and pressure-pumping operations, posted a Y/Y adjusted operating income drop of 21%; adjusted operating earnings at the drilling and rig services business rose 11%.
While its international rig count was flat in Q4, NBR was able to boost margins due to lower costs to move rigs and other items.
Says it reinvested $1.4B in new rigs and technological upgrades while cutting its debt level by $870M.
Last year should represent "the low point in Nabors' protracted five-year tough," CEO Tony Petrello says, adding that he sees "substantial, year-over year quarterly improvement" in results starting next quarter.
Nabors Industries (NBR) -2.4% AH after the oilfield services company swung to an unadjusted Q3 loss.
The reported $104.6M loss, which compared with a year-earlier profit of $76.4M, included $242.2M in writedowns and other charges and $3.3M in asset-sale losses.
Completion and production services, which includes U.S. well servicing and pressure pumping operations, posted a Y/Y adjusted operating income drop of 52%; operating earnings for the drilling and rig services business fell 11%.
More on Nabors Industries' (NBR) Q2 results: Unadjusted loss of $4.4M (-$0.01/share) vs. a year-ago loss of $72.8M (-$0.25/share) included a $9.3M loss on sales and disposals of long-lived assets vs. a $160.9M loss a year earlier. Revenue slipped 6.2% to $1.51B. Operating earnings for drilling and rig services fell 46%; completion and production business slid 58%. NBR -0.2% AH.
Nabors Industries (NBR) warns that its Q2 will come in below estimates. Operating Income is projected to be in the range of $88M to $91M, with the shortfall most pronounced in its Rig Services and Completion and Production Services lines. The firm cites lower sales of capital equipment and reduced service and rental activity for the miss, along with adverse weather and intense competition, particularly for pressure pumping in the U.S. and Canada. Shares -4% AH.
Nabors Industries (NBR -2.8%) reverses gains made at the open to trade lower on a mixed Q1 result late yesterday. Net profits fell 26% Y/Y as the drilling contractor was hit by weaker profits across all its main business segments, including a steep decline in its U.S. drilling and rig-services division. During its call, the company noted that it's looking to shed its E&P assets, including its barges and jackup rigs, and says its hired an outside adviser to review its assets over the summer.