Core Insights - Legacy DNOW achieved record full-year 2025 EBITDA of $199 million with an 8.2% margin, significantly outperforming a contracting U.S. upstream market through differentiated service models [1] - The completion of the MRC Global merger in November 2025 has transformed the company's scale, diversifying its sector reach into gas utilities and downstream industrial markets while expanding the addressable market [1] - Management identified that U.S. MRC Global ERP challenges are more significant than previously disclosed, with design architecture flaws causing slow processing, increased safety stock requirements, and customer service impediments [1] Operational Strategies - To mitigate ERP-driven revenue leakage, DNOW is actively migrating select MRC Global customers and large projects onto legacy DNOW SAP systems to ensure transaction flow from order to payment [1] - Upstream market dynamics are shifting toward maintenance and reliability to offset natural production declines, as operators prioritize capital discipline and cash flow durability over volume growth [1] - The company is leveraging combined purchasing scale and in-house valve automation capabilities to improve win rates and reduce lead times, resulting in successful new customer awards [1] Growth Opportunities - Data center infrastructure represents a high-growth vertical, with DNOW expanding from zero presence in early 2025 to supplying 11 customers across four key markets by year-end [1]