Oilfield services provider Nabors Q3 net income rises on gains from asset sale

Nabors Industries

28/10/2025 20:36

Overview

Nabors Q3 operating revenue misses analyst expectations, per LSEG data

Net income for Q3 driven by one-time gain from Quail Tools sale

Adjusted operating income for Q3 beats analyst expectations

Outlook

Nabors expects Lower 48 average rig count of 57 - 59 rigs in Q4 2025

Company anticipates Lower 48 daily adjusted gross margin of approximately $13,000

Nabors forecasts International daily adjusted gross margin of $18,100 - $18,200

Result Drivers

QUAIL TOOLS SALE - One-time gain from sale of Quail Tools significantly boosted net income for Q3

INTERNATIONAL DRILLING - Strong performance in International Drilling segment contributed to adjusted operating income exceeding expectations

DEBT REDUCTION - Sale proceeds from Quail Tools used to reduce gross debt, improving financial leverage

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Operating Revenue
Miss
$818.19 mln
$838.85 mln (4 Analysts)
Q3 Net Income
$302.46 mln
Q3 Adjusted EBITDA
Miss
$236.30 mln
$238.44 mln (5 Analysts)
Q3 Adjusted Operating Income
Beat
$75.96 mln
$14.05 mln (2 Analysts)
Q3 Pretax Profit
$420.03 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and 3 "sell" or "strong sell"

The average consensus recommendation for the oil & gas drilling peer group is "buy."

Wall Street's median 12-month price target for Nabors Industries Ltd is $39.00, about 21.2% below its October 27 closing price of $47.25

Press Release: ID:nPn3My5x6a

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)