Nabors Industries lower AH on disappointing Q4 results

• Nabors Industries (NYSE:NBR) -2.7% AH after missing expectations for Q4 earnings and revenues.
• Unadjusted earnings swung to an $891M Q4 loss, which included a $612M impairment NBR booked on its older rigs which have become less valuable as they are used less and the company is no longer able to justify maintenance, and a $387M writedown related to goodwill; NBR reported an unadjusted $152M profit in the year-ago quarter.
• NBR says its drilling operations posted a Q/Q improvement in operating income, primarily attributable to new rig deployments and the seasonal ramp-up in Alaska, and its international drilling segment also benefited from new rig deployments and contract renewals, but rig services and completion and production services operations were hurt by lower activity and increased pricing competitiveness compared with the previous quarter.

Comments

[Michael Boyd]

Not really surprised. Sadly this is going to drag down the quality players in this space with it tomorrow.