Overview

* NOV Q2 revenue of $2.19 bln beats analyst expectations, per LSEG data

* Net income for Q2 down 52% yr/yr, impacted by prior year's business sale gain

* Adjusted EBITDA for Q2 down 10% yr/yr due to macroeconomic uncertainties

Outlook

* Company expects Q3 2025 revenue to decline 1-3% year-over-year

* NOV projects Q3 2025 Adjusted EBITDA between $230 mln and $250 mln

* Company anticipates lower industry activity levels through H2 2025

* NOV sees offshore activity growth resuming in 2026

Result Drivers

* MACROECONOMIC UNCERTAINTY - NOV cites macroeconomic uncertainty and unwinding of OPEC+ quotas as factors leading to deferred orders and lower revenues

* SALES MIX SHIFT - Increase in capital equipment revenues offset by decline in spare part and product sales, impacting margins

* DRILLING ACTIVITY - Lower global drilling activity reduced demand for consumable products, affecting Energy Products and Services segment

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $2.19 $2.14

Revenue bln bln (16

Analysts

)

Q2 EPS $0.29

Q2 Net $114 mln

Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 9 "hold" and 2 "sell" or "strong sell"

* The average consensus recommendation for the oil related services and equipment peer group is "buy"

* Wall Street's median 12-month price target for Nov Inc ( NOV ) is $16.00, about 11.5% above its July 28 closing price of $14.16

* The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release:

(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.)