1Q 2025 Earnings Presentation NABORS INDUSTRIES Forward-Looking Statements We often discuss expectations regarding our future markets, demand for our products and services, and our performance in our annual, quarterly, and current reports, press releases, and other written and oral statements. Such statements, including statements in this document that relate to matters that are not historical facts, are "forward-looking statements" within the meaning of the safe harbor provisions of Section 27A of the U.S. ...

[Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) This section details Nabors' Q1 2025 financial performance, strategic developments, segment results, cash flow, and future outlook [Q1 2025 Financial Performance](index=1&type=section&id=Q1%202025%20Financial%20Performance) Nabors reported Q1 2025 operating revenues of **$736 million**, achieving a **$33 million** net income, a significant turnaround from the prior quarter's loss, influenced by a one-time gain and Russian operation charges Q1 2025 Key Financial Metrics | Metric | Q1 2025 | Q4 2024 | Change | | :--- | :--- | :--- | :--- | | Operating Revenues | $736 million | $730 million | +$6 million | | Net Income (Loss) Attributable to Nabors | $33 million | ($54 million) | +$87 million | | Earnings (Loss) per Diluted Share | $2.18 | ($6.67) | +$8.85 | | Adjusted EBITDA | $206 million | $221 million | -$15 million | - The first quarter results included a significant one-time, non-cash net gain of **$113.0 million**, or **$9.68** per diluted share, related to the Parker transaction[3](index=3&type=chunk) - The gain was partially offset by non-cash charges totaling **$28.6 million**, or **$2.45** per diluted share, for the wind-down of operations in Russia[3](index=3&type=chunk) [Key Operational and Strategic Developments](index=1&type=section&id=Key%20Operational%20and%20Strategic%20Developments) Q1 saw the successful acquisition of Parker Wellbore, expansion of the SANAD joint venture with new rig deployments, enhanced technology offerings through Corva AI, and the suspension of Russian operations due to sanctions - Completed the acquisition of Parker Wellbore in March, adding complementary businesses such as Quail Tools and a fleet of ten international and Alaskan drilling rigs. The transaction is expected to be immediately accretive to **2025 free cash flow**[6](index=6&type=chunk) - The SANAD joint venture deployed its **tenth newbuild rig** in Q1, with the **eleventh** starting in April and **three more** planned for the remainder of **2025**[6](index=6&type=chunk)[10](index=10&type=chunk) - Expanded the strategic alliance with Corva AI to integrate Corva's analytics into Nabors' RigCLOUD platform, aiming to enhance real-time data processing and predictive insights[6](index=6&type=chunk) - Suspended activity on its **three rigs** in Russia in March due to expanded sanctions, with no expectation of resuming activity in the near term[6](index=6&type=chunk) [Segment Performance Analysis](index=2&type=section&id=Segment%20Performance%20Analysis) International Drilling's adjusted EBITDA rose to **$115.5 million** with improved margins, while U.S. Drilling's fell to **$92.7 million** due to lower rig count; Drilling Solutions' adjusted EBITDA reached **$40.9 million** boosted by Parker, and Rig Technologies declined to **$5.6 million** Adjusted EBITDA by Segment (Q1 2025 vs. Q4 2024) | Segment | Q1 2025 Adjusted EBITDA | Q4 2024 Adjusted EBITDA | | :--- | :--- | :--- | | International Drilling | $115.5 million | $112.0 million | | U.S. Drilling | $92.7 million | $105.8 million | | Drilling Solutions | $40.9 million | $33.8 million (Q4 2024 from table) | | Rig Technologies | $5.6 million | $9.2 million (Q4 2024 from table) | - International Drilling's daily adjusted gross margin improved by over **$700** to **$17,421**, driven by newbuilds in Saudi Arabia and better performance in several geographies[9](index=9&type=chunk)[10](index=10&type=chunk) - U.S. Drilling's Lower 48 rig count averaged **61**, down from **66** in Q4, and daily margins decreased to **$14,276** from **$14,940** due to rig churn[11](index=11&type=chunk) - The Drilling Solutions (NDS) segment's results included a **$9.6 million** contribution from the Parker operations in Q1[12](index=12&type=chunk) [Adjusted Free Cash Flow](index=2&type=section&id=Adjusted%20Free%20Cash%20Flow) Nabors reported a **$71 million** adjusted free cash flow usage in Q1 2025, primarily due to seasonal payments, **$14 million** in Parker transaction costs, and collection shortfalls, with significant improvement anticipated for the remainder of the year - Consolidated adjusted free cash flow was a use of **$71 million** in Q1 2025[13](index=13&type=chunk) - Cash flow was negatively impacted by higher seasonal payments (bonuses, taxes), **$14 million** in severance and other costs related to the Parker transaction, and delayed collections[13](index=13&type=chunk)[16](index=16&type=chunk) - The Parker business is expected to add material free cash flow, with a forecast of **$130 million** in incremental adjusted EBITDA and **$40 million** in cost synergies for **2025** post-closing[15](index=15&type=chunk) [Outlook](index=3&type=section&id=Outlook) Nabors projects Q2 2025 Lower 48 rig count at **63-64** and international daily adjusted gross margin at **~$17,700**, with Drilling Solutions' adjusted EBITDA around **$75 million**; full-year **2025** targets include **~$80 million** adjusted free cash flow and **$770-$780 million** capital expenditures Q2 2025 Outlook | Segment/Metric | Q2 2025 Guidance | | :--- | :--- | | **U.S. Drilling** | | | Lower 48 Average Rig Count | 63 - 64 rigs | | Lower 48 Daily Adj. Gross Margin | ~$14,100 | | **International Drilling** | | | Average Rig Count | 85 - 86 rigs | | Daily Adj. Gross Margin | ~$17,700 | | **Drilling Solutions** | | | Adjusted EBITDA | ~$75 million | | **Rig Technologies** | | | Adjusted EBITDA | In line with Q1 | Full-Year 2025 Outlook | Metric | Full-Year 2025 Guidance | | :--- | :--- | | Capital Expenditures | $770 - $780 million | | Adjusted Free Cash Flow | ~$80 million (excl. tariff impact) | [Consolidated Financial Statements](index=7&type=section&id=Consolidated%20Financial%20Statements) This section presents Nabors' condensed consolidated statements of income, balance sheets, and segment reporting, along with non-GAAP financial measure reconciliations [Condensed Consolidated Statements of Income (Loss)](index=7&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20INCOME%20%28LOSS%29) Nabors reported Q1 2025 operating revenues of **$736.2 million**, resulting in a net income attributable to Nabors of **$33.0 million**, or **$2.18** per diluted share, a significant improvement from Q4 2024's net loss Key Income Statement Data (in thousands) | Line Item | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | | Operating revenues | $736,186 | $729,819 | | Income (loss) before income taxes | $72,186 | ($17,638) | | Net income (loss) attributable to Nabors | $32,988 | ($53,671) | | Diluted earnings (loss) per share | $2.18 | ($6.67) | [Condensed Consolidated Balance Sheets](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of March 31, 2025, Nabors' total assets increased to **$5.05 billion** from **$4.50 billion**, driven by the Parker acquisition, while total liabilities rose to **$3.60 billion**, and shareholders' equity improved to **$342.7 million** Key Balance Sheet Data (in thousands) | Line Item | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total current assets | $1,198,818 | $999,537 | | Total assets | $5,049,684 | $4,504,301 | | Total current liabilities | $667,645 | $571,917 | | Long-term debt | $2,685,169 | $2,505,217 | | Total liabilities | $3,604,307 | $3,297,963 | | Shareholders' equity | $342,660 | $134,996 | [Segment Reporting](index=9&type=section&id=SEGMENT%20REPORTING) In Q1 2025, International Drilling led with **$381.7 million** in revenue and **$115.5 million** in adjusted EBITDA, while U.S. Drilling followed, and the total average working rigs decreased to **153.2** due to a Lower 48 rig count decline Operating Revenues by Segment (in thousands) | Segment | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | | U.S. Drilling | $230,746 | $241,637 | | International Drilling | $381,718 | $371,406 | | Drilling Solutions | $93,179 | $75,992 | | Rig Technologies | $44,165 | $56,166 | Adjusted EBITDA by Segment (in thousands) | Segment | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | | U.S. Drilling | $92,711 | $105,757 | | International Drilling | $115,486 | $111,962 | | Drilling Solutions | $40,853 | $33,809 | | Rig Technologies | $5,563 | $9,208 | Average Rigs Working | Region | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | | Lower 48 | 60.6 | 65.9 | | International Drilling | 85.0 | 84.8 | | **Total** | **153.2** | **157.5** | [Non-GAAP Reconciliations](index=12&type=section&id=Non-GAAP%20Reconciliations) This section provides detailed reconciliations of non-GAAP financial measures, including Adjusted EBITDA, Adjusted Free Cash Flow, and Net Debt, to their most comparable GAAP counterparts, ensuring transparency of alternative performance metrics - Adjusted EBITDA is derived from net income by excluding the effects of income taxes, investment income, interest expense, gain on bargain purchase, other net expenses, and depreciation & amortization[46](index=46&type=chunk)[47](index=47&type=chunk) - Adjusted free cash flow is calculated as net cash provided by operating activities minus capital expenditures (net of proceeds from asset sales). For Q1 2025, this was a use of **$(71,426) thousand**[52](index=52&type=chunk) - Net Debt as of March 31, 2025, was **$2.28 billion**, calculated by subtracting cash and short-term investments (**$404.1 million**) from long-term debt (**$2.69 billion**)[50](index=50&type=chunk)

Core Insights - Nabors Industries reported first quarter 2025 operating revenues of $736 million, a slight increase from $730 million in the previous quarter, with a net income of $33 million compared to a net loss of $54 million in the fourth quarter of 2024 [1] - The first quarter included a one-time non-cash net gain of $113 million from the Parker transaction, which was partially offset by non-cash charges related to the wind-down of operations in Russia totaling $28.6 million [1] - Adjusted EBITDA for the first quarter was $206 million, down from $221 million in the previous quarter [1] Financial Performance - The U.S. Drilling segment reported adjusted EBITDA of $92.7 million, down from $105.8 million in the fourth quarter, primarily due to a reduced rig count and higher operational expenses [7] - International Drilling adjusted EBITDA totaled $115.5 million, an increase from $112 million in the previous quarter, with daily adjusted gross margin improving to $17,421 [6] - Drilling Solutions segment adjusted EBITDA was $40.9 million, with the addition of Parker operations contributing $9.6 million [8] Operational Highlights - The company experienced rig churn in the U.S., impacting rig utilization and operating expenses, but noted improvements in adding rigs in the Lower 48 after a trough in February [4] - The SANAD joint venture with Saudi Aramco began operating its tenth newbuild rig in the first quarter, with plans for additional rigs to commence operations throughout 2025 [6] - The company has planned several rig startups in international markets, including Saudi Arabia, Kuwait, Argentina, Mexico, and India, to offset the completion of some drilling programs [5] Acquisition Impact - The acquisition of Parker Wellbore is expected to significantly enhance Nabors' Drilling Solutions business, contributing approximately $130 million in incremental adjusted EBITDA for 2025 and $40 million in cost synergies [10] - The Parker acquisition is forecasted to add material free cash flow and improve leverage metrics for Nabors [11] Cash Flow and Expenditures - Consolidated adjusted free cash flow for the first quarter was a use of $71 million, with the legacy business consuming $61 million [9] - Capital expenditures for Parker operations were targeted at $60 million for 2025, with total capital expenditures expected to be approximately $770 million to $780 million [21] - The company anticipates adjusted free cash flow of approximately $80 million for 2025, excluding any impact from tariffs [16] Future Outlook - For the second quarter of 2025, Nabors expects adjusted EBITDA of approximately $75 million from U.S. Drilling, including about $43 million from Parker [14] - The company is targeting substantial improvements in free cash flow generation over the remaining quarters of the year, driven by international drilling profitability and recovery in the Lower 48 rig count [16]

Investors might want to bet on Nabors Industries (NBR) , as it has been recently upgraded to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Individual inve ...

Core Insights - Halliburton and Nabors Industries have achieved a significant milestone by completing the first fully automated rotary and slide drilling operations in Oman, setting a new standard for land-based drilling in the oil and energy sector [1][9] - The integration of Halliburton's LOGIX automation platform and Nabors' SmartROS rig operating system has enabled a closed-loop drilling system that enhances operational efficiency and real-time decision-making [2][3] Group 1: Technological Advancements - The collaboration showcases how digital ecosystems can transform complex drilling operations into streamlined, autonomous processes, enhancing precision and performance [3][4] - The automation of drilling processes has led to wells being completed ahead of schedule, with improved drilling rates and reduced non-productive time, establishing a benchmark for future digital drilling initiatives [2][5] Group 2: Economic Impact - The immediate impact of this technological advancement is a reduction in well construction timelines, which is crucial for the economic viability of oil and gas projects in the region [5][6] - As global energy demands increase, the need for faster, safer, and more cost-effective drilling operations becomes essential, making this development strategically important for the Middle East and global markets [6][9] Group 3: Future Outlook - The success in Oman serves as a proof of concept for the industry's progression toward fully autonomous drilling, with digitally enabled rigs capable of self-optimizing in real time becoming the new standard [7][8] - This achievement not only benefits Halliburton and Nabors but also represents a win for the entire sector and regions reliant on efficient resource development [8][9]

HAMILTON, Bermuda, April 14, 2025 /PRNewswire/ -- Nabors Industries Ltd. (NYSE: NBR) invites you to join Anthony G. Petrello, Chairman, President and Chief Executive Officer, and William Restrepo, Chief Financial Officer, Wednesday, April 30, 2025 at 11:00 a.m. Central Time for a discussion of operating results for the first quarter ended March 31, 2025.  Nabors will release earnings after the market closes on April 29, 2025 Date: April 30, 2025 Time: 11:00 a.m. CT (12:00 p.m. ET) Dial-in-number(s ...

Nabors Industries Ltd. (NBR) is a major company in the global energy sector, offering drilling services for both land-based and offshore oil and gas wells. Founded in 1952, NBR has built a strong reputation by providing advanced drilling technology and equipment to customers in the United States and worldwide. The company operates in four main areas, namely U.S. Drilling, International Drilling, Drilling Solutions and Rig Technologies.NBR offers services like tubular running, managed pressure drilling and a ...

Core Viewpoint - Nabors Industries Ltd. announced executive leadership changes as part of its succession planning, with CFO William Restrepo set to retire on September 30, 2025, transitioning to a Strategic Advisor role [1][2]. Leadership Changes - William Restrepo has served as CFO for 11 years, playing a crucial role in the company's success, including international expansion and technology leadership [2]. - Miguel Rodriguez, currently Senior Vice President – Operations Finance, will transition into the CFO role over the next several months, having joined Nabors in 2019 with extensive experience from SLB [3][4]. Company Background - Nabors Industries is a leading provider of advanced technology for the energy industry, operating in over 20 countries and focusing on safe, efficient, and responsible energy production [5].

Core Viewpoint - Nabors Industries Ltd. has completed the acquisition of Parker Wellbore for approximately $372 million, enhancing its market presence and service offerings globally [1][10]. Strategic Rationale Behind the Acquisition - The acquisition aligns with Nabors' objectives to expand its operational footprint and diversify services, leveraging Parker Wellbore's established presence in key regions such as the U.S., Middle East, Latin America, and Asia [2]. Financial Implications and Synergy Expectations - Parker Wellbore is projected to contribute about $150 million in annualized adjusted EBITDA for 2025, with expected synergies of $40 million by the end of 2025 from reduced overhead and operational expenses [3][4]. Expansion of Drilling Solutions Portfolio - The acquisition includes Quail Tools, a subsidiary known for high-performance downhole tubulars, enhancing Nabors' rental service capabilities in the U.S. [5]. Global Operational Footprint - Parker Wellbore operates a fleet of 17 drilling rigs and offers a comprehensive suite of services, enhancing Nabors' ability to serve diverse clients in critical markets [6]. Leadership Perspectives of Nabors - Anthony Petrello, CEO of Nabors, expressed enthusiasm about the acquisition, highlighting its potential to accelerate growth in the Drilling Solutions business and strengthen the global drilling operations [7]. Operational Integration and Outlook - The integration of Parker Wellbore is expected to improve service offerings and operational efficiencies, with a focus on realizing projected synergies and expanding market presence [8].

Vast secures up to AUD180 million of funding from ARENA for construction of groundbreaking South Australian clean energy project, conditional on meeting certain milestonesProject to deploy Vast's innovative clean energy solution, delivering clean power for South Australia's grid when intermittent renewables are not available, as well as for green fuels productionVast on-track to export its solution to a global pipeline of projects, enabling long duration energy storage and generation critical to the world's ...