Core Insights - NOV Inc. reported third-quarter 2025 adjusted earnings of 11 cents per share, missing the Zacks Consensus Estimate of 24 cents, and down from 33 cents in the previous year due to underperformance in the Energy Products and Services segment [1][9] - Total revenues reached $2.2 billion, exceeding estimates by 1.9%, but declined 0.7% year-over-year due to a challenging macro environment and reduced oilfield activity [2][9] Financial Performance - The Energy Products and Services segment generated revenues of $971 million, missing estimates and down 3.2% from the prior year, attributed to decreased drilling operations and project delays [5] - The Energy Equipment segment saw revenues increase by 2.3% year-over-year to $1.247 billion, surpassing estimates by 4.8%, driven by strong demand and higher backlogs [6] - Adjusted EBITDA for the Energy Products and Services segment was $135 million, below estimates and down from $172 million in the previous year, while the Energy Equipment segment's adjusted EBITDA rose to $180 million, exceeding estimates [6][7] Shareholder Returns - In Q3 2025, NOV repurchased approximately 6.2 million shares for $80 million and paid a dividend of 7.5 cents per share, totaling $28 million in dividends, resulting in $108 million returned to shareholders [3] Strategic Developments - NOV secured multiple global contracts in automation and subsea systems, including a monoethylene glycol reclamation system for a Black Sea FPSO and several orders for projects in Guyana and Brazil [10] - The company achieved a 17% efficiency gain on a Guyana deepwater floater using its NOVOS™ and MMC technologies, and deployed its ATOM™ RTX robotic system on a U.S. land rig [11] Outlook - For Q4 2025, NOV anticipates a 5% to 7% decrease in consolidated revenues year-over-year, with adjusted EBITDA expected between $230 million and $260 million [12] - The company expects an 8-10% decline in revenues for the Energy Products and Services segment, while the Energy Equipment segment is projected to see a 2% to 4% revenue decrease [12] - NOV plans to exceed its minimum threshold of returning 50% of excess free cash flow to shareholders in 2025, despite facing tariff costs and inflation uncertainties [13]

Financial Performance - For Q3 2025, the company generated revenues of $2.18 billion, a decrease of 1% compared to Q3 2024, with net income down 68% to $42 million, or $0.11 per share[79]. - Adjusted EBITDA for the company decreased 10% year-over-year to $258 million, representing 11.9% of sales[79]. - For the three months ended September 30, 2025, total operating profit was $107 million, a decrease from $194 million in the same period of 2024, resulting in a total operating profit margin of 4.9% compared to 8.9%[115]. - Adjusted EBITDA for the nine months ended September 30, 2025, was $762 million, down from $808 million in the same period of 2024, with an Adjusted EBITDA margin of 11.8% compared to 12.3%[115]. Segment Performance - The Energy Products and Services segment reported revenues of $971 million, a 3% decrease from Q3 2024, with operating profit down to $38 million, or 3.9% of sales[80]. - The Energy Equipment segment generated revenues of $1,247 million, a 2% increase from Q3 2024, with operating profit rising to $130 million, or 10.4% of sales[81]. - Operating profit from Energy Products and Services decreased to $38 million for Q3 2025, down from $114 million in Q3 2024, a decline of 67%[97]. - Revenue from Energy Equipment increased by $28 million or 2% to $1,247 million for Q3 2025, while year-to-date revenue slightly decreased by $1 million to $3,600 million[98]. - Operating profit from Energy Equipment was $130 million for Q3 2025, a slight increase from $129 million in Q3 2024, but decreased by $70 million year-to-date to $386 million[99]. Orders and Backlog - New orders booked during the quarter totaled $951 million, resulting in a book-to-bill ratio of 141% compared to $674 million in orders shipped from backlog[82]. - As of September 30, 2025, the backlog for capital equipment orders in the Energy Equipment segment totaled $4.56 billion, an increase of $77 million from Q3 2024[82]. - The capital equipment backlog rose to $4,555 million as of September 30, 2025, an increase of $77 million from $4,478 million a year earlier, with an expectation that approximately 14% will convert to revenue in the remainder of 2025[100]. Market Conditions - The worldwide average rig count decreased by 7.6% year-over-year to 1,798 rigs in Q3 2025, with U.S. active drilling rigs down 7.8% to 540[87]. - West Texas Intermediate crude prices averaged $65.74 per barrel in Q3 2025, a decrease of 13.8% from $76.24 in Q3 2024[87]. - The company expects continued growth in wind, geothermal, and carbon capture projects, despite macroeconomic uncertainties[88]. - Management anticipates that offshore and international resources will be the primary source for future incremental oil supplies to meet global demand[85]. Costs and Expenses - Corporate costs increased by 23% year-over-year for Q3 2025, primarily due to higher legal costs and self-insured property losses[103]. - Interest and financial costs remained stable at $22 million for Q3 2025, compared to $21 million in Q3 2024[104]. - Equity loss in unconsolidated affiliates was $(11) million for Q3 2025, compared to zero in Q3 2024, with a 7% decline in sales for the largest investment in unconsolidated affiliates[106]. - Other expense, net increased to $12 million for Q3 2025, up from $10 million in Q3 2024, primarily due to larger foreign currency fluctuations[107]. - The effective tax rate for Q3 2025 was 39.7%, up from 25.3% in Q3 2024, impacted by earnings in higher tax rate jurisdictions and losses in certain jurisdictions with no tax benefit[109]. Cash Flow and Capital Management - Cash and cash equivalents as of September 30, 2025, were $1,207 million, a slight decrease from $1,230 million at December 31, 2024, with total debt at $1,726 million[116]. - The company had net cash provided by operating activities of $678 million for the nine months ended September 30, 2025, compared to $713 million in 2024[121]. - Capital expenditures for the first nine months of 2025 were $274 million, while dividend payments totaled $163 million and share repurchases amounted to $230 million[121]. - The company expects to return at least 50% of Excess Free Cash Flow to shareholders through dividends and stock buybacks[123]. - The company may pursue additional acquisition candidates, primarily funding them through cash flow from operations and borrowings[124]. Debt and Financing - The company has a revolving credit facility with a borrowing capacity of $1.5 billion, with a debt-to-capitalization ratio of 23.5% as of September 30, 2025[117]. - A consolidated joint venture borrowed $120 million against a $150 million bank line of credit for a facility in Saudi Arabia, with $89 million in borrowings related to this line of credit as of September 30, 2025[118]. - The Company has borrowings of $1,091 million in 3.95% Senior Notes, $497 million in 3.60% Senior Notes, and other debt of $138 million as of September 30, 2025[131]. - There are no outstanding letters of credit under the Company's revolving credit facility, resulting in $1.5 billion of available funds[131]. - Interest on the bank line of credit is based on SOFR plus 1.40%[131]. - The Company aims to maintain a portion of its debt in variable rate borrowings for flexibility regarding early repayment and lower overall costs compared to fixed-rate borrowings[131]. Foreign Exchange Exposure - As of September 30, 2025, the Company had transactional exposures totaling $571 million and translational exposures totaling $443 million in foreign currencies[129]. - A hypothetical 10% movement in foreign currency exchange rates could affect net income by $45 million and Other Comprehensive Income by $44 million[129]. - The company recorded a foreign exchange loss of $42 million in the first nine months of 2025, compared to a loss of $27 million in the same period of 2024[127]. Legislative Impact - The One Big Beautiful Bill Act (OBBBA) enacted on July 4, 2025, included provisions that had no material impact on operational results for Q3 2025[110].

Financial Data and Key Metrics Changes - For the third quarter of 2025, the company reported revenues of $2.18 billion, a slight decrease of less than 1% year-over-year and sequentially [3][4] - Net income was $42 million, translating to $0.11 per fully diluted share, with adjusted EBITDA totaling $258 million, representing 11.9% of sales [3][16] - Free cash flow generation remained robust at $245 million, with a 95% conversion rate during the quarter [16][17] Business Line Data and Key Metrics Changes - The energy equipment segment generated $1.25 billion in revenue, up 2% year-over-year, with EBITDA increasing by $21 million to $180 million, resulting in a 14.4% EBITDA margin [18][19] - Capital equipment sales accounted for 63% of the energy equipment segment's revenue, increasing 20% year-over-year due to strong growth in offshore production equipment [18][19] - The intervention and stimulation capital equipment revenue fell double digits year-over-year due to a steep drop in demand for pressure pumping equipment in North America [22] Market Data and Key Metrics Changes - North America represented 57% of the energy products and services segment revenue, growing 7% year-over-year, while international markets saw a 15% year-over-year decline [25] - The global rig count declined by 8%, impacting overall activity levels [25] - Demand for unconventional resources is increasing in regions like Argentina, Saudi Arabia, and the UAE, with emerging interest in countries such as Algeria and Turkey [66][70] Company Strategy and Development Direction - The company is focused on capitalizing on key secular trends, including offshore production supplanting U.S. unconventional resources and the application of technology to drive efficiencies [29][30] - The company anticipates a meaningful recovery in demand beginning as soon as late 2026, driven by natural decline rates and underinvestment in exploration [29] - The strategy includes reducing structural costs and improving margins through facility consolidations and standardizing internal processes [17][18] Management's Comments on Operating Environment and Future Outlook - Management expects market conditions to remain soft through the next few quarters, with tariffs and inflation continuing to weigh on margins [14][29] - The outlook for the second half of 2026 and beyond is more constructive, with expectations for strengthening demand across both offshore and international land markets [14][29] - The company is optimistic about the future, citing a strong backlog and the potential for significant earnings increases when market cycles align [53][54] Other Important Information - The company repurchased 6.2 million shares for $80 million and paid dividends of $28 million, bringing total capital return to shareholders year-to-date to $393 million [17] - Tariff expenses increased to approximately $20 million, with expectations of around $25 million for the fourth quarter [17] - The company is on track to deliver over $100 million in annualized cost savings by the end of 2026 [18] Q&A Session Summary Question: Can the energy equipment business continue to show decent year-over-year growth through 2026 despite a softer near-term market? - Management indicated that the backlog will help, but there are concerns about general softness and cautious spending on quick return items like aftermarket and spares [48][49] Question: What is the outlook for margins in 2026 considering the mix of capital equipment versus aftermarket? - Management expressed optimism about the capital equipment mix and the potential for improved margins, but noted that timing remains uncertain [50][52] Question: What is the outlook for orders in the fourth quarter and beyond? - Management suggested that orders might slip below 100% book-to-bill in the fourth quarter but emphasized the importance of long-term trends over individual quarters [57][58] Question: Can you elaborate on the build-out of unconventionals in regions like Argentina and Saudi Arabia? - Management highlighted ongoing unconventional prospecting in various countries and increasing demand for NOV's services in these markets [66][70]

Financial Data and Key Metrics Changes - For Q3 2025, NOV Inc. reported revenues of $2.18 billion, a slight decrease of less than 1% year-over-year and sequentially, with a net income of $42 million, or $0.11 per fully diluted share [3][16] - Adjusted EBITDA totaled $258 million, representing 11.9% of sales, with free cash flow generation remaining robust at $245 million [4][16] - Operating profit was $107 million, or 4.9% of sales, with EBITDA margins improving sequentially despite rising tariff and inflationary pressures [16] Business Line Data and Key Metrics Changes - The energy equipment segment generated $1.25 billion in revenue, up 2% year-over-year, with EBITDA increasing by $21 million to $180 million, resulting in a 14.4% EBITDA margin [18] - Capital equipment sales accounted for 63% of the energy equipment segment's revenue, increasing 20% year-over-year due to strong growth in offshore production equipment [18] - The intervention and stimulation capital equipment revenue fell double digits year-over-year due to a steep drop in demand for pressure pumping equipment in North America, partially offset by strong demand for coil tubing and wireline equipment [22] Market Data and Key Metrics Changes - North America represented 57% of the energy products and services segment revenue, growing 7% year-over-year, while international markets saw a 15% year-over-year revenue decrease due to activity declines in the Middle East and Latin America [25] - The global rig count declined by 8% year-over-year, impacting overall activity levels [25] - Offshore oil output is forecasted to rise to approximately 13 million barrels a day by 2026, making deepwater the leading source of incremental supply growth [12] Company Strategy and Development Direction - The company is focused on capitalizing on two major structural shifts: the globalization of unconventional shale development and the re-emergence of deepwater and offshore development [7][10] - NOV aims to leverage its technology and equipment to support the emerging build-out of international shale development and deepwater projects, which are expected to drive demand for its products for years to come [10][14] - The company is executing strategic sourcing initiatives to reduce tariff impacts and is focused on removing structural costs to improve margins and returns [17][18] Management's Comments on Operating Environment and Future Outlook - Management expects market conditions to remain soft through the next few quarters, with tariffs and inflation uncertainty weighing on margins [14] - Looking further ahead, the second half of 2026 and beyond is anticipated to see strengthening demand across both offshore and international land markets [14][29] - The company remains optimistic about the long-term outlook, driven by growing demand, natural decline rates, and a decade of underinvestment in exploration [29] Other Important Information - The company repurchased 6.2 million shares for $80 million and paid dividends of $28 million, bringing total capital return to shareholders year-to-date to $393 million [17] - Tariff expenses increased approximately $6 million sequentially, with expectations of around $25 million for the fourth quarter [17] Q&A Session Summary Question: Can the energy equipment business continue to show decent year-over-year growth through 2026 despite a softer near-term market? - Management indicated that while capital equipment demand remains strong, there are concerns about the general softness in the oilfield due to OPEC barrels affecting commodity prices [48][50] Question: What is the outlook for margins in 2026 considering the mix of capital equipment versus aftermarket? - Management expressed confidence in the capital equipment margins but noted that the timing of contracts and market conditions will be key variables [51][52] Question: What is the general outlook for orders in the fourth quarter? - Management expects orders to potentially slip below 100% book-to-bill but remains optimistic about the long-term trend [59][60] Question: Can you elaborate on the build-out of unconventionals in regions like Argentina and Saudi Arabia? - Management highlighted ongoing unconventional prospecting in various countries and the increasing demand for NOV's services in these markets [68][70] Question: What is the outlook for FPSOs and FIDs in 2025 and beyond? - Management noted a cautious outlook for FIDs in the near term but expects demand to pick up significantly in late 2026 and 2027 as the oil overhang is resolved [76]

Financial Data and Key Metrics Changes - For Q3 2025, NOV Inc. reported revenues of $2.18 billion, a slight decrease of less than 1% year-over-year and sequentially [3][4] - Net income was $42 million, or $0.11 per fully diluted share, with adjusted EBITDA totaling $258 million, representing 11.9% of sales [3][15] - Free cash flow generation remained robust at $245 million, with a 95% conversion rate during the quarter [15][16] Business Line Data and Key Metrics Changes - The energy equipment segment generated $1.25 billion in revenue, up 2% year-over-year, with EBITDA increasing by $21 million to $180 million, resulting in a 14.4% EBITDA margin [17][18] - Capital equipment sales accounted for 63% of the energy equipment segment's revenue, increasing 20% year-over-year due to strong growth in offshore production equipment [17][18] - The intervention and stimulation capital equipment revenue fell double digits year-over-year due to a steep drop in demand for pressure pumping equipment in North America [22] Market Data and Key Metrics Changes - North America represented 57% of the energy products and services segment revenue, growing 7% year-over-year, while international markets saw a 15% year-over-year decline [25] - The global rig count declined by 8% year-over-year, impacting overall activity levels [25][26] - Demand for unconventional resources is increasing in regions like Argentina, Saudi Arabia, and the UAE, with emerging interest in countries such as Algeria and Turkey [64][66] Company Strategy and Development Direction - The company is focused on capitalizing on key secular trends, including offshore production supplanting U.S. unconventional resources and the application of technology to drive efficiencies [30][31] - NOV aims to improve operational efficiencies while positioning itself to benefit from the anticipated recovery in demand starting in late 2026 [30][31] - The company is executing strategic sourcing initiatives to reduce tariff impacts and is on track to deliver over $100 million in annualized cost savings by the end of 2026 [16][17] Management's Comments on Operating Environment and Future Outlook - Management expects market conditions to remain soft through the next few quarters, with tariffs and inflationary uncertainty weighing on margins [13][30] - The outlook for the second half of 2026 and beyond is more positive, with expectations of strengthening demand across both offshore and international land markets [13][30] - Management highlighted the importance of technology and innovation in maintaining competitive advantage and driving future growth [40][45] Other Important Information - The company repurchased 6.2 million shares for $80 million and paid dividends of $28 million, bringing total capital return to shareholders year-to-date to $393 million [16] - The backlog at the end of Q3 was $4.56 billion, the highest since reporting energy equipment as a segment [18] Q&A Session Summary Question: About the energy equipment business and backlog - Management indicated that the backlog will help maintain decent year-over-year growth through 2026, despite a softer near-term market [48][49] Question: On margins and capital equipment - Management expressed optimism about maintaining margin profiles in 2026, driven by a favorable mix of capital equipment orders [52][53] Question: Outlook for orders and book-to-bill ratio - Management expects orders in Q4 to slip slightly below 100% book-to-bill but remains positive about the long-term trend [58][59] Question: Discussion on unconventionals and international markets - Management highlighted increasing demand for unconventional resources in regions like Argentina and Saudi Arabia, with a growing interest in other countries [64][66] Question: FPSOs and future FIDs - Management noted a cautious outlook for FPSOs in 2025 but expects demand to pick up in late 2026 and 2027 as the oil overhang is resolved [72]

Third Quarter 2025 Earnings Presentation NOV Inc. Safe Harbor / Forward Looking Statements / Non-GAAP Financial Measures © 2025 NOV Inc. All rights reserved. 2025 Earnings Presentation – 10/28/2025 3 Third Quarter 2025 Highlights Bookings Book-to-Bill of 141% This document contains, or has incorporated by reference, statements that are not historical facts, including estimates, projections, and statements relating to our business plans, objectives, and expected operating results that are "forward-looking st ...

Financial Performance - Third quarter 2025 revenues were $2.18 billion, a decrease of 1% compared to Q3 2024[3] - Net income decreased 68% to $42 million, or $0.11 per share, and operating profit decreased 45% to $107 million, or 4.9% of sales[3] - Adjusted EBITDA decreased 10% year-over-year to $258 million, or 11.9% of sales[3] - Total revenue for Q3 2025 was $2,176 million, a slight decrease of 0.7% compared to $2,191 million in Q2 2024[33] - Gross profit margin decreased to 18.9% in Q3 2025 from 21.4% in Q2 2024, reflecting a decline in profitability[33] - Net income for Q3 2025 was $44 million, down 66.9% from $130 million in Q2 2024[33] - Operating profit for Q3 2025 was $107 million, a significant decrease from $194 million in Q2 2024[33] - Total operating profit for the three months ended September 30, 2025, was $107 million, a decrease from $194 million in the same period of 2024, representing a decline of 44.8%[43] - Adjusted EBITDA for the nine months ended September 30, 2025, was $762 million, down from $808 million in the same period of 2024, reflecting a decrease of 5.7%[43] - GAAP net income attributable to the company for the nine months ended September 30, 2025, was $223 million, down from $475 million in the same period of 2024, a decline of 53.1%[43] - The total operating profit percentage for the nine months ended September 30, 2025, was 6.2%, down from 10.2% in the same period of 2024[43] Cash Flow and Assets - Free cash flow was robust at $245 million during the quarter, supported by improved working capital management[4] - Free Cash Flow for Q3 2025 was $245 million, compared to $404 million in the same period last year[40] - The company reported a net cash provided by operating activities of $352 million for Q3 2025, down from $678 million in the same period last year[36] - Total current assets as of September 30, 2025, were $5,762 million, slightly down from $5,770 million at the end of 2024[35] - Total liabilities decreased to $4,826 million as of September 30, 2025, from $4,933 million at the end of 2024[35] - Cash and cash equivalents at the end of Q3 2025 were $1,207 million, compared to $1,230 million at the end of 2024[35] Segment Performance - Energy Products and Services generated revenues of $971 million, a decrease of 3% from Q3 2024, with operating profit at $38 million[8] - Energy Equipment revenues increased 2% to $1,247 million, with operating profit at $130 million, or 10.4% of sales[9] - Energy Products and Services segment reported an operating profit margin of 3.9% for Q3 2025, significantly lower than 11.4% in Q3 2024[43] - Energy Equipment segment maintained a stable operating profit margin of 10.4% for Q3 2025, slightly down from 10.6% in Q3 2024[43] - Energy Products and Services adjusted EBITDA for Q3 2025 was $135 million, a decrease from $172 million in Q3 2024, representing a decline of 21.5%[43] Future Outlook - For Q4 2025, management expects consolidated revenues to decline between 5% to 7%, with Adjusted EBITDA projected between $230 million and $260 million[11] - The backlog for capital equipment orders for Energy Equipment totaled $4.56 billion, an increase of $77 million from Q3 2024[10] Other Financial Metrics - Bookings totaled $951 million, resulting in a book-to-bill ratio of 141%[6] - Total other items net gain for the three months ended September 30, 2025, was $65 million, compared to a gain of $5 million in the same period of 2024[43] - Depreciation and amortization expenses totaled $89 million for Q3 2025, up from $86 million in Q3 2024, indicating a 3.5% increase[43] Contracts and Projects - NOV secured a contract for a monoethylene glycol reclamation system in the Black Sea, supporting natural gas developments across multiple regions[14]

Core Insights - Nov Inc. reported quarterly earnings of $0.11 per share, missing the Zacks Consensus Estimate of $0.24 per share, and down from $0.33 per share a year ago, representing an earnings surprise of -54.17% [1] - The company posted revenues of $2.18 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 1.83%, but down from $2.19 billion year-over-year [2] - Nov Inc. shares have declined approximately 5.2% year-to-date, contrasting with the S&P 500's gain of 15.5% [3] Earnings Outlook - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the next quarter is $0.24 on revenues of $2.16 billion, and for the current fiscal year, it is $0.97 on revenues of $8.58 billion [7] Estimate Revisions - Prior to the earnings release, the estimate revisions trend for Nov Inc. was unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] Industry Context - The Oil and Gas - Mechanical and Equipment industry, to which Nov Inc. belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Another company in the same industry, Kodiak Gas Services, is expected to report quarterly earnings of $0.50 per share, reflecting a year-over-year increase of +22%, with a consensus EPS estimate revised 18.6% higher recently [9]

Core Insights - NOV Inc. reported third quarter 2025 revenues of $2.18 billion, a decrease of 1% compared to the same period in 2024, with net income down 68% to $42 million, or $0.11 per share [2][8] - The company experienced a significant decline in operating profit, which fell 45% to $107 million, representing 4.9% of sales, while Adjusted EBITDA decreased by 10% year-over-year to $258 million, or 11.9% of sales [2][8] - Despite the challenges, NOV's operational performance improved sequentially, driven by strong execution on offshore production backlog and disciplined cost control, resulting in robust free cash flow of $245 million during the quarter [3][5] Financial Performance - Revenues from Energy Products and Services were $971 million, down 3% from the previous year, with operating profit decreasing to $38 million, or 3.9% of sales [7] - Energy Equipment generated revenues of $1.25 billion, an increase of 2% year-over-year, with operating profit rising to $130 million, or 10.4% of sales [8][9] - The company returned $108 million to shareholders through share repurchases and dividends during the quarter [12] Market Demand and Outlook - Demand for NOV's production equipment remains strong, with bookings more than doubling sequentially, resulting in a book-to-bill ratio of 141% [4][10] - The company is optimistic about the resurgence in offshore investment and unconventional development in new regions, which are expected to rely on NOV's differentiated tools and technologies [5][6] - For Q4 2025, management expects consolidated revenues to decline between 5% to 7%, with Adjusted EBITDA projected to be between $230 million and $260 million [11] Strategic Developments - NOV announced the appointment of Jose Bayardo to the Board of Directors as part of its long-term succession plan [6] - The company secured several contracts for advanced technologies and systems, including a monoethylene glycol reclamation system and automation systems for offshore drilling [14][15][21] - NOV's ATOM™ RTX robotic technology was deployed in the U.S. land market, enhancing safety and drilling performance [16] Balance Sheet and Cash Flow - As of September 30, 2025, NOV had total debt of $1.73 billion, with $1.21 billion in cash and cash equivalents [13] - The company reported cash flow from operations of $352 million for the quarter, with free cash flow of $245 million after capital expenditures [12][41]

Core Insights - NOV Inc. is expected to report third-quarter 2025 results on October 27, with earnings estimated at 24 cents per share and revenues at $2.1 billion [1][9] Financial Performance - In the last reported quarter, NOV missed the consensus earnings estimate, reporting adjusted EPS of 29 cents against an expected 30 cents, while revenues were $2.2 billion, up 1.9% from the consensus [2] - Over the past four quarters, NOV has beaten the Zacks Consensus Estimate once and missed three times, resulting in an average negative surprise of 3.9% [3] Revenue and Expense Outlook - The Zacks Consensus Estimate predicts a 2.4% decline in third-quarter revenues compared to the previous year, with the Energy Products and Services segment expected to generate $983 million, down from $1,003 million [5][9] - Selling, general, and administrative expenses are projected to rise by approximately 12.4% year-over-year, reaching $309 million [5][9] - The cost of goods sold is anticipated to decrease to $1,679.7 million from $1,722 million in the prior year [6] Market Conditions - The company expects a slowdown in global drilling activity in the second half of 2025, with North American shale activity also projected to decline modestly [5] - NOV believes that conventional drilling in Saudi Arabia will not see a resurgence before 2026 [5] Earnings Prediction - The Zacks model does not predict an earnings beat for NOV this quarter, with an Earnings ESP of -7.29% [7][8]