The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Nabors Industries missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share shrank significantly. GAAP earnings per share expanded.
Gross margins dropped, operating margins shrank, net margins grew.
Nabors Industries reported revenue of $1.60 billion. The 17 analysts polled by S&P Capital IQ wanted to see sales of $1.66 billion on the same basis. GAAP reported sales were 6.2% lower than the prior-year quarter's $1.73 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.22. The 25 earnings estimates compiled by S&P Capital IQ forecast $0.29 per share. Non-GAAP EPS of $0.22 for Q4 were 58% lower than the prior-year quarter's $0.52 per share. (The prior-year quarter included -$0.67 per share in earnings from discontinued operations.) GAAP EPS were $0.09 for Q4 versus -$0.37 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 36.1%, 120 basis points worse than the prior-year quarter. Operating margin was 11.1%, 480 basis points worse than the prior-year quarter. Net margin was 1.7%, 780 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.72 billion. On the bottom line, the average EPS estimate is $0.35.
Next year's average estimate for revenue is $6.87 billion. The average EPS estimate is $1.33.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Nabors Industries is hold, with an average price target of $17.89.
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