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Nabors Industries Ltd. (NBR-6.06%) has filed its annual report on Form 10-K for the fiscal year ended December 31, 2024 filing.
The filing reports operating revenues of $2.9 billion for 2024, a decrease of 3% from the previous year. This decline is primarily attributed to reduced activity in the U.S. drilling segment, which saw a 15% decrease in operating revenues.
International drilling revenues increased by 7%, driven by an 8% increase in average rigs working, reflecting heightened activity in international markets.
Drilling Solutions segment revenues rose by 4%, supported by increased demand for international and third-party services, despite a decline in the U.S. market.
Rig Technologies segment experienced a 17% decrease in revenues due to lower activity levels in the U.S., although adjusted operating income remained stable due to a shift towards higher-margin product lines.
Net loss attributable to Nabors for 2024 was $176.1 million, compared to a net loss of $11.8 million in 2023. The increase in net loss is partly due to lower mark-to-market gains on common share warrants and losses from debt repurchases.
Interest expense increased by 14% to $210.9 million, reflecting higher effective interest rates on outstanding debt.
General and administrative expenses increased by 2% to $249.3 million, reflecting higher workforce and operating costs.
Depreciation and amortization expenses decreased by 2% to $633.4 million, due to older assets reaching the end of their useful lives.
The company reports cash and cash equivalents of $389.7 million and working capital of $427.6 million as of December 31, 2024.
Nabors completed a merger agreement to acquire Parker Drilling Company, with the transaction expected to close in the first quarter of 2025, subject to regulatory approvals.
Future cash requirements are expected to be met through current cash and investments, projected cash flows, and credit facilities, with purchase commitments totaling approximately $323.8 million for 2025.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Nabors Industries Ltd. annual 10-K report dated February 13, 2025. To report an error, please email earnings@qz.com.