The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Nabors Industries beat slightly on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share dropped to a loss.
Gross margin dropped, operating margin improved, and net margin dropped.
Nabors Industries reported revenue of $1.74 billion. The 18 analysts polled by S&P Capital IQ predicted a top line of $1.72 billion on the same basis. GAAP reported sales were 32% higher than the prior-year quarter's $1.32 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.52. The 25 earnings estimates compiled by S&P Capital IQ predicted $0.50 per share on the same basis. GAAP EPS were -$0.37 for Q4 compared to $0.19 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 37.5%, 370 basis points worse than the prior-year quarter. Operating margin was 16.1%, 1,420 basis points better than the prior-year quarter. Net margin was -6.1%, 990 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.82 billion. On the bottom line, the average EPS estimate is $0.53.
Next year's average estimate for revenue is $7.39 billion. The average EPS estimate is $2.24.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Nabors Industries is outperform, with an average price target of $25.52.
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