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/Mis Actual Consensu

s s

Estimate

Q3 Miss $818.19 $838.85

Operatin mln mln (4

g Analysts

Revenue )

Q3 Net $302.46

Income mln

Q3 Miss $236.30 $238.44

Adjusted mln mln (5

EBITDA Analysts

)

Q3 Beat $75.96 $14.05

Adjusted mln mln (2

Operatin Analysts

g Income )

Q3 $420.03

Pretax mln

Profit

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 ( NBR ) is $39.00, about 21.2% below its October 27 closing price of $47.25

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(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.)