Nabors Industries Ltd.

nabors.com

What Do They Do?

Drills land-based and offshore oil and natural gas wells for oil and gas companies, and supplies drilling software, well services and equipment to operators.

How Do They Make Money?

Oil and gas companies pay daily rates for drilling services as work proceeds, with bills typically sent monthly; equipment buyers pay for manufactured top drives and other capital equipment when it ships.

revenue

Segment	Share	How money arrives
U.S. Drilling Recurring	31% FY2022: 41%	Recurring
International Drilling Recurring	50% FY2022: 45%	Recurring
Drilling Solutions	16% FY2022: 9.2%
Rig Technologies Sold outright	4.8% FY2022: 7.4%	Sold outright
Other	−1.8% FY2022: −3.2%

Who Are Their Customers?

Sells drilling services to major international, national and independent oil and gas companies. Saudi Aramco’s per-rig contracts are primarily operated through SANAD, Nabors’ joint venture with Saudi Aramco.

Do Revenues Turn Into Profits?

Yes. It kept 9 cents of every revenue dollar as net income in FY2025, but spent more cash than it brought in: free cash flow was −$22.7M.

Operating income, FY2025

15% of revenue

▲ +13% vs FY2024 ($416.8M, 14%)

Net income, FY2025

9% of revenue

▲ Now profitable vs FY2024 (−$176.1M, −6%)

Free cash flow, FY2025

−1% of revenue

▼ Now a loss vs FY2024 ($13.5M, 0%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Jun 30, 2026

Revenue: ▼ −2%; vs $832.8M in Q2 FY2025
Net income: ▼ −28% (Loss); vs −$30.9M in Q2 FY2025

International Drilling share of revenue vs 46.2% in Q2 FY2025

Sep 8, 2026 Signed a multi-year rig contract in Venezuela The contract will restart drilling operations in Venezuela.
Aug 27, 2026 Invested in Quaise with geothermal drilling-services exclusivity The investment establishes an exclusive drilling-services arrangement for Quaise geothermal projects.
Jul 28, 2026 Gave full-year adjusted EBITDA and free cash flow guidance Nabors expects adjusted EBITDA of $920 to $930 million and adjusted free cash flow of $20 to $30 million.

Growing. Revenue grew 58% in 4 years, from $2B in FY2021 to $3.2B in FY2025, about 12% a year.

Revenue over time

U.S. Drilling International Drilling Drilling Solutions Rig Technologies Other Canada Drilling

$5B$2.5B$0

FY2021 FY2022 FY2023 FY2024 FY2025

Who Do They Compete With?

Competes with Helmerich & Payne, Patterson-UTI Energy, Cactus Drilling, Precision Drilling, Ensign Energy Services, NOV, Pason Systems, Baker Hughes, Halliburton, SLB, Expro Group Holdings, Weatherford International, and Forum Energy Technologies

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