Nabors Industries Ltd. reported a strong first quarter in 2025, with operating revenues of $736 million and a net income attributable to shareholders of $33 million, or $2.18 per diluted share. This performance was significantly boosted by a one-time, non-cash net gain of $113 million from the Parker transaction, which also contributed to the company's portfolio and free cash flow. Despite some challenges in the U.S. drilling segment, international operations showed improving performance, and strategic initiatives like the SANAD joint venture and the expanded alliance with Corva AI are expected to drive future growth.
Operating revenues for Q1 2025 were $736 million, a slight increase from $730 million in Q4 2024.
Net income attributable to Nabors shareholders was $33 million, a significant improvement from a net loss of $54 million in the previous quarter.
The acquisition of Parker Wellbore was completed in March, strengthening Nabors' portfolio and is expected to be immediately accretive to 2025 free cash flow.
The SANAD joint venture deployed its tenth newbuild rig, with two more planned for startup in the second half of 2025, contributing materially to adjusted EBITDA.
Nabors expects a substantial improvement in free cash flow generation over the remaining three quarters of 2025, driven by international drilling profitability, recovery in Lower 48 rig count, and Parker's incremental contribution.
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