Oil States International (OIS) Q3 2025 earnings summary

Executive summary

• Q3 2025 delivered strong results with $165 million in revenue and net income of $2 million ($0.03/share), reversing a prior-year loss, driven by offshore and international markets and robust backlog growth, despite lower U.S. land activity and increased tariffs.

• 75% of consolidated revenues came from offshore and international projects, reflecting a strategic shift to higher-margin, long-cycle work.

• Performance benefited from operational optimization, technology innovation, and targeted investments, with continued restructuring and facility exits in U.S. land-based operations.

Financial highlights

• Q3 2025 revenues were $165.2 million (down 5% YoY); adjusted consolidated EBITDA was $21 million (13% margin); net income was $2 million ($0.03/share), including $4 million in restructuring charges; adjusted net income was $5 million ($0.08/share).

• Cash flow from operations grew to $31 million in Q3, up 105% sequentially; free cash flow was $23 million.

• Repurchased $4 million in common stock and $6 million in convertible senior notes in Q3; year-to-date stock repurchases total $16.2 million.

• Cash and cash equivalents were $67.1 million as of September 30, 2025, with no borrowings under the credit facility.

Outlook and guidance

• Q4 consolidated revenues expected to increase 8%-13% sequentially; adjusted EBITDA forecasted at $21-$22 million.

• Full-year 2025 cash flow from operations projected to exceed $100 million, with free cash flow likely above $75 million.

• Offshore and international markets anticipated to strengthen into 2026, while U.S. land activity remains subdued due to commodity prices and OPEC+ production.

• Sufficient liquidity projected for the next twelve months, including full retirement of 2026 Notes at maturity.