Nabors(US:NBR)2024-10-22 21:19Financial Performance - Nabors reported third quarter 2024 operating revenues of $732 million, a slight decrease from $735 million in the second quarter[2]. - The net loss attributable to Nabors shareholders for the quarter was $56 million, equating to a loss of $6.86 per diluted share, compared to a loss of $32 million or $4.29 per diluted share in the previous quarter[2]. - Adjusted EBITDA for the third quarter was $222 million, up from $218 million in the second quarter[2]. - Total revenues for Nabors Industries for the three months ended September 30, 2024, were $743.3 million, a slight decrease from $744.1 million in the same period of 2023[24]. - Net loss attributable to Nabors for the three months ended September 30, 2024, was $55.8 million, compared to a net loss of $48.9 million in the same period of 2023[24]. - Adjusted EBITDA for the three months ended September 30, 2024, was $221.7 million, an increase from $210.0 million in the same period of 2023[24]. - For the three months ended September 30, 2024, Nabors Industries reported a net loss of $33,087 thousand, compared to a net loss of $31,244 thousand for the same period in 2023[36]. - The basic earnings per share (EPS) for the three months ended September 30, 2024, was $(6.86), compared to $(6.26) for the same period in 2023, reflecting a decline of 9.6%[36]. - The company reported a total basic EPS of $(15.69) for the nine months ended September 30, 2024, compared to $(2.79) for the same period in 2023, indicating a worsening performance[36]. Cash Flow and Expenditures - Adjusted free cash flow was $18 million in the third quarter, a decrease from $57 million in the preceding quarter[9]. - Capital expenditures totaled $118 million, including $37 million for newbuilds in Saudi Arabia, compared to $138 million in the second quarter[9]. - Full-year adjusted free cash flow is projected to be between $100 million and $130 million[12]. - Adjusted free cash flow for the three months ended September 30, 2024, was $17,544, down from $56,649 in the previous quarter[53]. Segment Performance - Daily adjusted gross margin in the International Drilling segment exceeded $17,000, with an average rig count of 85, up from 84 in the previous quarter[7]. - The U.S. Drilling segment reported adjusted EBITDA of $108.7 million, down from $114.0 million in the second quarter, with a daily adjusted gross margin of $15,051[7]. - U.S. Drilling segment generated $254.8 million in revenues for September 2024, compared to $276.4 million in June 2024 and $259.7 million in September 2023, reflecting a decrease of 7.5% year-over-year[28]. - International Drilling segment reported revenues of $368.6 million for September 2024, up from $344.8 million in June 2024, marking an increase of 6.5%[28]. - The U.S. Drilling segment achieved an adjusted operating income of $41,694 thousand for the three months ended September 30, 2024, compared to $49,582 thousand in the same period of 2023, indicating a decline of 16.0%[37]. - The international drilling segment reported an adjusted operating income of $32,182 thousand for the three months ended September 30, 2024, compared to $9,862 thousand in the same period of 2023, showing a substantial increase[37]. Assets and Liabilities - Total current assets decreased to $1.072 billion as of September 30, 2024, from $1.078 billion as of June 30, 2024[25]. - Total liabilities decreased to $3.320 billion as of September 30, 2024, from $3.353 billion as of June 30, 2024[26]. - Cash and short-term investments were $459.3 million as of September 30, 2024, down from $473.6 million as of June 30, 2024[25]. - Current liabilities decreased to $571.6 million as of September 30, 2024, from $590.9 million as of June 30, 2024[26]. - Long-term debt remained relatively stable at $2.503 billion as of September 30, 2024, compared to $2.514 billion as of June 30, 2024[26]. - Total debt as of September 30, 2024, was $2,503,270, a slight decrease from $2,514,169 in the previous quarter[51]. - Net debt stood at $2,043,968 as of September 30, 2024, compared to $2,040,561 in the previous quarter[51]. Operational Metrics - For the fourth quarter, Nabors expects a Lower 48 average rig count of approximately 68 rigs and a daily adjusted gross margin of $15,000[12]. - Average rigs working in the Lower 48 for September 2024 was 67.8, down from 73.7 in June 2024, indicating a decline of 8.0%[28]. - Daily rig revenue for the U.S. Drilling segment was $37,441 in September 2024, slightly up from $37,397 in June 2024[28]. - Daily adjusted gross margin for the Lower 48 was $15,051 in September 2024, down from $15,855 in June 2024, reflecting a decrease of 5.1%[28]. - Total average rigs working across all segments was 158.7 in September 2024, slightly up from 157.6 in June 2024[28]. Research and Development - Research and engineering expenses for the three months ended September 30, 2024, were $14.4 million, slightly up from $14.0 million in the same period of 2023[24]. - Research and engineering costs for the U.S. Drilling segment were $972, an increase from $909 in the previous quarter[46].