National Energy Services Reunited (NASDAQ:NESR) Releases Quarterly Earnings Results, Beats Estimates By $0.09 EPS

National Energy Services Reunited (NASDAQ:NESR) announced its quarterly earnings results on Monday. The company reported $0.44 EPS for the quarter, beating analysts’ consensus estimates of $0.35 by $0.09, FiscalAI reports. The company had revenue of $520.75 million during the quarter, compared to analysts’ expectations of $448.54 million. National Energy Services Reunited had a return on equity of 9.77% and a net margin of 4.53%.The firm’s revenue for the quarter was up 59.1% on a year-over-year basis.

Here are the key takeaways from National Energy Services Reunited’s conference call:

• Record second-quarter results: Revenue rose 59.1% year over year to $520.8 million, while adjusted EBITDA reached $106.2 million, or a 20.4% margin. Adjusted diluted EPS increased to a record $0.44, supported by the Jafurah ramp-up and stronger activity in Saudi Arabia, Oman, and Egypt.
• Management now views $2 billion of 2026 revenue as a minimum objective, after reaching its prior annualized exit-rate target two quarters early. It expects full-year adjusted EBITDA margins broadly in line with 2025, free-cash-flow conversion of approximately 35%-40%, and capital expenditures of $210 million-$215 million.
• Cash generation and leverage remained strong, with second-quarter operating cash flow of $174 million, free cash flow of $99.9 million, and net debt of $99.6 million, or 0.3x adjusted EBITDA. NESR also plans to begin a quarterly dividend of $0.10 per share in the fourth quarter and maintain its $50 million share-repurchase authorization.
• Regional geopolitical disruptions created approximately $4 million of incremental freight and logistics costs in the quarter, while Iraq continued to weigh on activity. Management expects these costs to remain elevated in the third quarter and noted that tender awards may be delayed by roughly a quarter if conditions persist.
• NESR highlighted substantial longer-term growth opportunities through its 3B3 strategy, including larger Middle East tenders, expansion into new anchor countries such as Syria, Kuwait’s Ahmadi Innovation Valley technology agreement, and commercialization of its Roya drilling and Nedaa decarbonization and mineral-recovery technologies.

National Energy Services Reunited Stock Up 23.3%

National Energy Services Reunited stock opened at $35.79 on Tuesday. The company has a current ratio of 1.04, a quick ratio of 0.90 and a debt-to-equity ratio of 0.18. National Energy Services Reunited has a 1-year low of $6.66 and a 1-year high of $36.60. The company has a fifty day simple moving average of $27.02 and a 200 day simple moving average of $24.33. The company has a market cap of $3.61 billion, a P/E ratio of 55.06, a price-to-earnings-growth ratio of 0.34 and a beta of 0.33.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on NESR. Citigroup reaffirmed a “buy” rating on shares of National Energy Services Reunited in a research note on Monday. Barclays reissued an “overweight” rating and set a $45.00 price objective on shares of National Energy Services Reunited in a research report on Tuesday. Weiss Ratings lowered shares of National Energy Services Reunited from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, July 29th. Zacks Research raised shares of National Energy Services Reunited from a “hold” rating to a “strong-buy” rating in a research report on Monday, June 29th. Finally, Wall Street Zen raised shares of National Energy Services Reunited from a “buy” rating to a “strong-buy” rating in a research note on Saturday, May 16th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Buy” and a consensus target price of $32.29.

National Energy Services Reunited News Roundup

Here are the key news stories impacting National Energy Services Reunited this week:

• Positive Sentiment: NESR reported adjusted earnings of $0.44 per share, beating the consensus estimate of $0.35. Earnings also more than doubled from $0.21 a year earlier. NESR Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Revenue reached $520.8 million, exceeding expectations by roughly $72 million and rising 59.1% year over year. Net income climbed 189.6% to $44.0 million, while adjusted EBITDA increased 50.5% to $106.2 million. NESR Q2 Revenue Rises 59 Percent
• Positive Sentiment: Cash generation was also strong, with $174.0 million in operating cash flow and $99.9 million in free cash flow. The company ended the quarter with $175.0 million in cash against $274.6 million of debt.
• Positive Sentiment: BTIG Research raised its NESR price target from $32 to $40 and maintained a “buy” rating, providing additional analyst support for the rally. Analyst Price Target Coverage
• Positive Sentiment: The earnings beat drove NESR to a new 52-week high, reinforcing investor optimism about accelerating growth and improving profitability. NESR Sets New 52-Week High
• Neutral Sentiment: Despite the positive results, the stock’s valuation is elevated after its advance, with a reported P/E ratio near 55. Investors may now focus on whether NESR can sustain its rapid revenue and earnings growth.

Insider Buying and Selling

In other news, Director Yousif Mohammed Ali Al-Nowais sold 1,919,594 shares of the stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $26.80, for a total transaction of $51,445,119.20. Following the completion of the transaction, the director directly owned 229,198 shares in the company, valued at $6,142,506.40. This represents a 89.33% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Over the last quarter, insiders have sold 5,129,198 shares of company stock worth $135,731,984. Insiders own 9.70% of the company’s stock.

Institutional Trading of National Energy Services Reunited

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Dodge & Cox grew its stake in National Energy Services Reunited by 5.6% in the third quarter. Dodge & Cox now owns 2,255,894 shares of the company’s stock valued at $23,145,000 after purchasing an additional 119,100 shares in the last quarter. Citadel Advisors LLC bought a new stake in shares of National Energy Services Reunited during the 3rd quarter worth approximately $22,722,000. Boston Partners raised its stake in shares of National Energy Services Reunited by 155.6% during the 4th quarter. Boston Partners now owns 1,953,328 shares of the company’s stock worth $30,594,000 after purchasing an additional 1,189,035 shares in the last quarter. Millennium Management LLC boosted its holdings in shares of National Energy Services Reunited by 1,482.3% in the 4th quarter. Millennium Management LLC now owns 1,237,585 shares of the company’s stock valued at $19,381,000 after buying an additional 1,159,372 shares during the last quarter. Finally, Dimensional Fund Advisors LP boosted its holdings in shares of National Energy Services Reunited by 153.9% in the 4th quarter. Dimensional Fund Advisors LP now owns 963,287 shares of the company’s stock valued at $15,085,000 after buying an additional 583,898 shares during the last quarter. Institutional investors own 15.55% of the company’s stock.

National Energy Services Reunited Company Profile

National Energy Services Reunited Corp (NASDAQ: NESR) is a publicly traded oilfield services company formed in 2021 through a business combination that brought together complementary drilling and production service providers. The company’s mission is to deliver integrated solutions across the upstream oil and gas value chain, combining regional expertise with global operational standards.

NESR’s service portfolio spans drilling, completion and production, offering products and capabilities such as cementing, coiled tubing, hydraulic fracturing, well stimulation, pumping services and intervention solutions.