HAMILTON, BERMUDA (By Nabors, 29.Jul.2025, Words: 653) — Nabors Industries Ltd. reported second quarter 2025 operating revenues of $833 million, compared to operating revenues of $736 million in the first quarter. Net loss attributable to Nabors shareholders for the quarter was $31 million, compared to net income of $33 million in the first quarter. This equates to a loss per diluted share of $2.71, compared to earnings per diluted share of $2.18 in the first quarter.
The first quarter included a one-time, non-cash net gain on the Parker transaction of $113.0 million, or $9.68 per diluted share. Second-quarter adjusted EBITDA was $248 million, compared to $206 million in the previous quarter.
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2Q:25 Highlights
- The SANAD drilling joint venture with Saudi Aramco deployed two newbuild rigs in the Kingdom. These bring the total number of deployments to twelve. Two more units are scheduled to start operations over the balance of this year.
- Saudi Aramco awarded the fourth tranche of newbuilds to SANAD. This award of five rigs marks the next step in SANAD’s 50-rig newbuild program. The first rigs of this tranche are scheduled to commence operating in 2026, with the final one in 2027.
- Several impactful international rig reactivations were completed in Kuwait. All three previously announced awards have commenced operations, one of which began in early July. These high-specification rigs are working under multiyear contracts and are expected to contribute materially to the International Drilling segment earnings during the second half of 2025 and beyond.
- Nabors’ high-specification PACE® series SmartRigs® set several milestones extending lateral wellbore lengths.
- In the Bakken, a PACE®-X rig followed up drilling an operator’s first four-mile lateral in the formation with two more four-mile lateral wells.
- Also in the Bakken, another operator utilizing a PACE®-B rig drilled back-to-back four-mile lateral wells.
- In the Haynesville a PACE®-X rig drilled the basin’s longest lateral at 20,000 feet; the well reached a total depth of 32,000 feet.
- In the Eagle Ford, a PACE®-M rig drilled a record well in the basin, at 32,525 feet, including a 22,500-foot lateral section.
- Significant progress was made on the integration of the Parker Wellbore businesses acquired in March. These contributed materially to Nabors financial results in the second quarter. Cost synergies realized during the quarter support the $40 million previously targeted for 2025.
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Anthony G. Petrello, Nabors Chairman, CEO and President, commented, “Our second quarter results demonstrated the strength of the Nabors portfolio while reflecting a full quarter contribution from the acquisition of Parker Wellbore. In total, EBITDA from the legacy Nabors businesses increased sequentially. I am pleased with the performance of the Parker operations, and our progress to realize expected cost synergies.
“Recent deployments of high-spec rigs in the Middle East along with those scheduled over the balance of 2025 should drive growth in our International Drilling segment. The SANAD newbuild program is a key element of our future value creation. The award of the fourth five-rig tranche cements SANAD’s growth prospects into 2027.
“Before the impact from Parker, adjusted EBITDA grew sequentially in all three of the business lines in our U.S. Drilling segment. The Lower-48 rig market in oil focused basins remains flat to down, and we are working to mitigate the impact of the current industry rig count and dayrates. At the same time, natural gas drilling has moved upwards. We see our rig count and leading-edge pricing stabilizing in the third quarter and through the end of the year.
“Our U.S. Offshore and Alaska operations are performing well. Including the contributions of Parker, these two businesses comprise a growing portion of our overall U.S. Drilling segment. In particular, our Alaska fleet is poised to capitalize on growth in that market.
“With the addition of Parker’s operations, Nabors Drilling Solutions now comprises over 25% of adjusted EBITDA from our operating segments. The Parker product lines in NDS – the largest being Quail Tools – outperformed our expectations in the second quarter. These results highlight the potential that led us to the acquisition.”
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