Weatherford Announces Third Quarter 2026 Results
Key Highlights
- ➤Q3 revenue $1,143 million, up 3% sequentially and down 7% year-over-year
- ➤Q3 net income $120 million, up 208% sequentially; margin reached 10.5%
- ➤Adjusted free cash flow $155 million, up 57% year-over-year
- ➤Weatherford will redeem $236 million of 8.625% Senior Notes, cutting annual interest expense approximately $20 million
- ➤NCS Multistage acquisition strengthens completions technology and reservoir diagnostics capabilities
Expert Statements
Girish Saligram, President and Chief Executive Officer of Weatherford
“The One Weatherford team delivered an excellent third quarter, with adjusted EBITDA margin* expanding 204 basis points sequentially to 22.2% and adjusted free cash flow* of $155 million.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“Even as conflict-related operational disruptions in the Middle East weighed on activity levels, the strength of our diversified portfolio, disciplined cost management, and outstanding execution across the organization drove margin expansion and strong cash generation.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“These results demonstrate the durability of our operating model, agility to pivot in any phase of the cycle and the earnings potential of the business as activity recovers.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“We also made significant progress on our strategic priorities during the quarter.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“The closing of the NCS Multistage acquisition strengthens our completions portfolio, broadens our technology capabilities, and positions us to realize meaningful cost and commercial synergies.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“We further enhanced our capital structure by issuing a notice to redeem the remaining $236 million principal amount of our 2030 Senior Notes, reducing future interest expense.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“Shareholders approved our proposed redomestication to Delaware, an important step toward a simpler, more efficient corporate structure and improved free cash flow generation.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“Finally, our Enterprise Resource Planning (“ERP”) transformation remains on track, with our first major application launching very smoothly in the third quarter, enabling greater process standardization, simplification, operational efficiency and scalability across the enterprise.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“We enter the final quarter of the year with strong momentum to springboard into 2027.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“While the recent events in the Middle East have dampened expectations of a quick recovery, we still see a meaningful ramp in adjusted EBITDA* in the fourth quarter and are increasing our full year adjusted free cash flow* guidance yet again.”
Girish Saligram, President and Chief Executive Officer of Weatherford
“We see significant market opportunities for growth heading into 2027 and are very well positioned to capitalize on those.”
* Third quarter revenue of $1,143 million increased 3% sequentially * Third quarter operating income of $153 million increased 43% sequentially * Third quarter net income of $120 million increased 208% sequentially; net income margin of 10.5% * Third quarter adjusted EBITDA* of $254 million increased 14% sequentially; adjusted EBITDA margin* of 22.2% increased 204 basis points sequentially * Third quarter cash provided by operating activities of $192 million and adjusted free cash flow* of $155 million * Shareholder return of $47 million for the quarter, which included dividend payments of $19 million and share repurchases of $28 million * Completed the acquisition of NCS Multistage Holdings, Inc. (“NCS Multistage”) in a stock-and-cash transaction, strengthening Weatherford’s completions portfolio and expanding capabilities in reservoir diagnostics and well performance solutions * Secured shareholder approval for the redomestication to Delaware, a strategic initiative expected to generate approximately $20 million to $30 million of annual cash savings beginning in 2027, subject to previously disclosed regulatory and court approvals * Subsequent to quarter end, issued notice to redeem all of 8.625% Senior Notes due 2030 in an aggregate principal amount of $236 million, further improving gross leverage* and enhancing future adjusted free cash flow conversion* * Equinor awarded Weatherford a two-year extension and a new offshore completions award, across several strategic frame agreements to provide its integrated completions portfolio for the Statfjord and Oseberg licenses on the Norwegian Continental Shelf (*Non-GAAP – refer to the section titled Non-GAAP Financial Measures Defined and GAAP to Non-GAAP Financial Measures Reconciled)
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