3 5 | --- | --- | --- | --- | --- | --- | |---------------------------------------|--------------------------------------------------------------------------------------------|-------|--------------------------------------|------------|-------------| | | | | Six Months Ended June \n2024 \n(In | thousands) | 30, \n2023 | | | | | | | | | | | $ | (22,031) | $ | 77,291 | | | | | | | | | | | | 317,826 | | 322,729 | | | | | 11,239 | | 12,135 | | | | | — | | 5,318 | | | | | 4,527 | | 4,239 | | | | | 2,576 | | (25, ...

Financial Data and Key Metrics Changes - Total adjusted EBITDA for Q2 2024 reached $218 million, slightly down from $221 million in Q1 2024 [42][30] - Revenue from operations was $735 million, a marginal increase from $734 million in the previous quarter [40] - Free cash flow totaled $57 million in Q2 2024, significantly up from $8 million in Q1 2024 [47] Business Line Data and Key Metrics Changes - U.S. drilling segment revenue decreased by $12.3 million or 4.5% due to rig count reductions in the Lower 48 market [40] - Drilling Solutions segment revenue grew by $7.4 million or 10%, driven by wellbore placement in the U.S. and international growth [41] - International drilling segment delivered EBITDA of $106.4 million, an increase of almost $4 million, with an average rig count growing by 3.4 rigs [44] Market Data and Key Metrics Changes - The Lower 48 industry land rig count declined by 37 rigs or 6% during Q2 2024, with an average rig count decrease of approximately 4% [11] - International markets are expected to see an increase in rig count, with visibility for additional near-term rig awards across Asia, MENA, and Latin America [18][19] - Daily rig margins in the Lower 48 averaged approximately $15,600, down $400 from Q1 but higher than forecasts [43] Company Strategy and Development Direction - The company is targeting high return opportunities that meet or exceed free cash flow objectives, with plans to deploy five more incremental rigs over the remainder of 2024 [13] - The focus remains on operational excellence and maintaining pricing discipline, particularly in the U.S. market [15][36] - The company is well-positioned to capitalize on increasing demand in Kuwait and has received formal awards for three rigs there, with operations expected to start in 2025 [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the international market, noting it is the strongest seen in 10 years, with substantial pending opportunities [31] - The company anticipates a modest increase in U.S. rig count, driven by larger operators and private clients providing stability [94] - Management highlighted the importance of advanced technology solutions in driving performance and capturing market share [34][75] Other Important Information - The company amended its credit facility, expanding it and extending its maturity by five years, while also issuing $550 million in seven-year notes to retire existing debt [35][74] - The energy transition portfolio is contributing positively to operational performance and reducing emissions, with notable initiatives like the PowerTAP module [17] Q&A Session Summary Question: What are the dynamics driving the demand for rigs relative to the overall market? - Management indicated that they are focusing on operational excellence and following customer needs, which has led to a modest increase in rig count expectations [80][81] Question: Can you provide more detail on the rig additions expected in the second half of the year? - Management confirmed that five rigs are expected to be deployed in the second half, with four in the fourth quarter, indicating a ramp-up in international activity [85] Question: What are the trends regarding contract durations? - Management noted that the market is becoming more amenable to multi-year contracts as consolidations occur, which is a positive development [95] Question: When do you expect U.S. drilling margins to bottom out? - Management suggested that while there is still room for margins to fall, stability in pricing and rig count gives hope for maintaining leading edge pricing [100] Question: What is the outlook for total debt reduction? - Management reaffirmed intentions to use free cash flow to reduce total debt, expecting a reduction of around $100 million by year-end [120]

Adjusted EBITDA decreased to $218.1 million from $235 million recorded a year ago. It also missed our model estimate of $228.6 million. U.S. Drilling generated operating revenues of $259.7 million, down 17.5% from the year-ago quarter's level of $314.8 million. The figure also missed our model estimate of $291.8 million. Operating profit totaled $45.1 million compared with $75.4 million in the year-ago quarter. The figure missed our estimated profit of $58.2 million. Revenues from Rig Technologies totaled $ ...

This quarterly report represents an earnings surprise of -142.37%. A quarter ago, it was expected that this drilling contractor would post a loss of $2.24 per share when it actually produced a loss of $5.16, delivering a surprise of -130.36%. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. While Nabors has underperformed the market so far this year, the quest ...

Highlights o A large operator in the Bakken committed to Nabors' full automation suite across all of its rigs, including SmartDRILL™ and SmartSLIDE®. With these installations, NDS will reach record penetration of its automated directional drilling solution on Nabors rigs. Nabors Announces Second Quarter 2024 Results HAMILTON, Bermuda, July 23, 2024 /PRNewswire/ - Nabors Industries Ltd. ("Nabors" or the "Company") (NYSE: NBR) today reported second quarter 2024 operating revenues of $735 million, compared to ...

Nabors intends to use the net proceeds from this offering, along with cash on hand, to redeem all of its 7.25% senior guaranteed notes due 2026. Any excess proceeds will be used for general corporate purposes, including, potentially, repayment of other outstanding indebtedness. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other securities of Nabors or its subsidiaries, nor shall there be any offer, solicitation or sale of the Notes in any s ...

Nabors intends to use the net proceeds from this offering, along with cash on hand, to redeem all of its 7.25% senior guaranteed notes due 2026. Any excess proceeds will be used for general corporate purposes, including, potentially, repayment of other outstanding indebtedness. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other securities of Nabors or its subsidiaries, nor shall there be any offer, solicitation or sale of the Notes in any s ...

Nabors is currently finalizing its financial results for the three and six months ended June 30, 2024. The financial results discussed above and below for the three months ended June 30, 2024 are preliminary, based upon estimates and subject to completion of financial and operating closing procedures. Such preliminary operating results do not represent a comprehensive statement of financial results or operating metrics for this period and actual results and metrics may differ materially from these estimates ...

This drilling contractor is expected to post quarterly loss of $1.82 per share in its upcoming report, which represents a year-over-year change of +19.5%. Revenues are expected to be $741.47 million, down 4.8% from the year-ago quarter. The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> This upward trend could be attributed to a combination of factors, including overall market optimism and positive developments within the ...

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 23. On the other hand, if they miss, the stock may move lower. Zacks Consensus Estimate Estimate Revisions Trend Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Estimate revisions ahead of a company's earnings release offer clues to the business conditions for t ...