NYSE$NOV

NOV Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Reported fourth quarter and full year earnings, showing revenue increase and significant net income driven by deferred tax asset release.

NOV Inc. reported a strong fourth quarter in 2023, with revenues of $2.34 billion, up 13% year-over-year, and net income of $598 million, which included a $485 million release of valuation allowances on deferred tax assets. The company's full-year revenue was $8.58 billion, with a net income of $993 million.

  • Fourth quarter revenue reached $2.34 billion, a 13% increase year-over-year.
  • Net income for the fourth quarter was $598 million, including a $485 million release of valuation allowances on deferred tax assets.
  • Operating profit for the fourth quarter was $161 million, representing 6.9% of sales.
  • Full-year 2023 revenue totaled $8.58 billion, with net income at $993 million.

Headline financials

Total Revenue

$2.34B

Previous: $2.07B+13.0%
EPS (adj)

$1.51

Previous: $0.26+480.8%
Capital Expenditures

-$76M

Previous: $66M-215.2%
Net Income

$598M

Previous: $104M+475.0%
Operating Income

$161M

Previous: $162M-0.6%
Gross Profit

$491M

Previous: $443M+10.8%
Stock-Based Comp

$17M

Previous: $17M+0.0%

Revenue & EPS history

NOV · Revenue · Quarterly

$2.34B

Q4 2023+13%vs Q4 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

NOV · $1.56B total across 2 segments · Q2 2023

  • Energy Products & Services
    $804M+20.7%
  • Energy Equipment
    $753M+17.8%

Forward guidance

The company expects that growing adoption of advanced technologies and growth in international and offshore markets should more than offset declining demand from North America during 2024. They also expect for improving working capital efficiencies and profitability to drive robust cash flow during the year.

Tailwinds

  • Growing adoption of NOV’s advanced technologies.
  • Continued growth in international and offshore markets.
  • Improving working capital efficiencies.
  • Improving profitability.
  • Robust cash flow during the year.

Headwinds

  • Geopolitical risks remain elevated.
  • Economic risks remain elevated.
  • Capital discipline remains a focus in the energy complex.
  • Declining demand from North America.
  • Unspecified risks associated with reliance on secure, reliable, clean, and low-cost sources of energy.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+0.2%

Avg return

Earnings day

+0.3%

Avg return

5 days after

-0.1%

Avg return

30 days after

42%

30 / 72 earnings

Positive

+14.3%

Q3 2019

Best reaction

-11.8%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.7%+3.0%+7.1%
Q4 2025+0.8%+3.0%+7.1%
Q3 2025+7.1%+4.7%+8.2%
Q1 2025-2.0%+0.2%+0.3%
Q4 2024+12.7%+9.3%+2.6%
Q3 2024+2.9%+0.5%+8.7%
Q2 2024+8.8%+12.1%-1.4%
Q1 2024+0.2%-1.8%-3.1%
Q4 2023-9.7%-10.2%-12.4%
Q3 2023+0.8%+2.6%-2.0%
Q2 2023-1.8%+6.4%+6.6%
Q1 2023-9.0%-8.1%-17.3%
Q4 2022+0.0%+3.3%-3.0%
Q3 2022-3.8%+0.3%-1.0%
Q2 2022+11.1%+18.4%+22.5%
Q1 2022-2.2%+0.6%+8.6%
Q4 2021-7.4%-10.2%+4.7%
Q3 2021-0.1%-4.4%-12.2%
Q2 2021-3.4%-3.1%-8.4%
Q1 2021+10.4%+10.9%+20.5%
Q4 2020-1.8%-13.5%-20.6%
Q3 2020-6.5%-8.6%+48.0%
Q2 2020-9.3%-9.7%-6.5%
Q1 2020-2.1%-2.7%+10.3%
Q4 2019+8.7%+4.9%-29.5%
Q3 2019+14.3%+11.0%+9.3%
Q2 2019+6.0%+1.7%-11.7%
Q1 2019+3.4%-1.3%-15.5%
Q4 2018-5.2%-4.5%-14.3%
Q3 2018-2.6%+0.8%-14.2%
Q2 2018+10.8%+14.9%+5.8%
Q1 2018+1.5%+0.6%+7.8%
Q4 2017-0.8%-7.3%+2.3%
Q3 2017-1.2%+1.7%-5.3%
Q2 2017-0.7%-4.4%-8.5%
Q1 2017-2.3%-4.4%-8.5%
Q4 2016+4.7%+5.2%+0.6%
Q3 2016-6.8%-11.2%-0.6%
Q2 2016+3.5%+2.0%+10.5%
Q1 2016+13.7%
Q4 2015-6.8%
Q3 2015+1.4%
Q2 2015+5.4%
Q1 2015-3.2%
Q4 2014-7.2%
Q3 2014-0.1%
Q2 2014-3.5%
Q1 2014-6.4%
Q4 2013+0.1%
Q3 2013+4.8%
Q2 2013-1.4%
Q1 2013-1.9%
Q4 2012-5.4%
Q3 2012-2.9%
Q2 2012+9.4%
Q1 2012-1.6%
Q4 2011-1.3%
Q3 2011-2.3%
Q2 2011-11.8%
Q1 2011+1.0%
Q4 2007-2.4%
Q4 2010-2.4%
Q3 2010+0.1%
Q2 2010-1.0%
Q1 2009+0.8%
Q1 2010+2.8%
Q4 2009+1.1%
Q3 2008+4.9%
Q3 2009+4.9%
Q2 2009-1.1%
Q2 2008-1.1%
Q4 2008-1.1%

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