Nabors Industries ( NYSE: NBR ) stock rose ~25% on Wednesday after total revenues grew +33.3% year-over-year.
Total revenues and other income amounted to ~$698.95M, compared to $524.37M in Q3 2021.
The net loss attributable to Nabors shareholders narrowed to -$13.78M, compared to -$122.5M in Q3 2021. For Q2 2022 the figures stood at -$82.92M.
The company said Q3 results included a non-cash gain of $34M, related to mark-to-market treatment of Nabors' warrants, while Q2 results included a non-cash charge for the warrants of $22M.
"We had an outstanding third quarter. All of our operating segments grew sequentially. Total adjusted EBITDA increased to pre-pandemic levels, and the U.S. Drilling segment once again delivered strong growth, largely driven by continued dayrate increases in the Lower 48 market," said Nabors Chairman, President and CEO Anthony Petrello.
The U.S. Drilling segment adjusted EBITDA grew +84% Y/Y (+31% Q/Q) to $114.5M.
International Drilling adjusted EBITDA increased 4% Q/Q to $85.9M. The company noted that improved performance in Saudi Arabia and Latin America led the growth.
Adjusted free cash flow totaled $35M in Q3. Meanwhile, net debt was $2.16B, a $23M reduction compared to Q2.
Outlook :
"Favorable pricing and activity trends continue to improve across the globe. We expect fourth quarter results for all segments to increase materially over those of the third quarter," said Nabors CFO William Restrepo.
The company expects Capital expenditures for the full year 2022 to be between $380M to $400M. Free cash flow for full year expected above $100M.
For further details see:
Nabors stock surges 25% as Q3 net loss narrows; sees Q4 'increase materially' Q/Q