NYSE$XPRO

Expro Group Holdings NV · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Announced third quarter 2023 results, showing a decrease in net income compared to the previous quarter, but an increase in revenue year-over-year.

Expro Group Holdings N.V. reported revenue of $370 million, a net loss of $14 million, and adjusted EBITDA of $50 million for the third quarter of 2023. The results were impacted by lower activity in NLA, suspension of vessel-deployed LWI operations, and structural challenges in the U.S. onshore market.

  • Revenue was $370 million, down 7% sequentially and up 11% year-over-year.
  • Net loss was $14 million, compared to net income of $9 million in Q2 2023 and net loss of $18 million in Q3 2022.
  • Adjusted EBITDA was $50 million, down 31% sequentially and up 4% year-over-year.
  • Net cash provided by operating activities was $59 million, compared to $25 million in Q2 2023.

Headline financials

Total Revenue

$370M

Previous: $334M+10.6%
EPS (adj)

-$0.06

Previous: -$0.07+14.3%
Adjusted EBITDA

$50M

No prior period
Adjusted EBITDA margin

14.0%

No prior period
Capital Expenditures

-$84.6M

Previous: -$50.6M-67.2%
Free Cash Flow

-$98.5M

Previous: -$68.2M-44.4%
Net Income

-$13.9M

Previous: -$17.6M+21.1%
Operating Income

-$1.57M

Previous: -$7.63M+79.4%
Gross Profit

-$317M

Previous: -$283M-11.9%
Cash & Equivalents

$255M

Previous: $154M+66.1%
Total Assets

$1.98B

Previous: $1.85B+6.6%
Stock-Based Comp

$4.93M

No prior period

Revenue & EPS history

Frank's International · Revenue · Quarterly

$370M

Q3 2023+10.6%vs Q3 2022
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Forward guidance

Expro anticipates a rebound in NLA offshore activity in the coming quarters, but expects structural challenges in the U.S. onshore market to require structural solutions. Capital expenditures are planned in the range of approximately $30 million to $40 million for the remainder of 2023.

Tailwinds

  • International and offshore markets expected to be resilient.
  • Increased upstream spending supporting a multi-year growth phase.
  • Anticipating a rebound in NLA offshore activity in the coming quarters.
  • Expansion of subsea well access sector in NLA.
  • Acceleration of PRT Offshore’s surface equipment offering in the Europe and Sub-Saharan Africa (“ESSA”) and Asia Pacific (“APAC”) regions.

Headwinds

  • Near-term volatility in energy services.
  • Sequentially lower activity in the U.S.
  • Short-term softness in the U.S. Gulf of Mexico.
  • Structural challenges for tubular running services (TRS) business in the U.S. onshore markets.
  • Suspension of vessel-deployed LWI operations.

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 Q3 2023

Historical avgQ3 2023

-0.4%

Avg return

Earnings day

-1.9%

Avg return

5 days after

-2.3%

Avg return

30 days after

57%

21 / 37 earnings

Positive

+17.0%

Q4 2020

Best reaction

-17.4%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.2%-14.8%-8.1%
Q4 2025+6.1%+5.9%-0.6%
Q3 2025+0.1%+2.7%+2.1%
Q1 2025+2.9%-0.7%+3.5%
Q4 2024-0.4%-8.7%-19.0%
Q3 2024-8.8%-13.7%-10.1%
Q2 2024+1.1%-5.8%-13.2%
Q1 2024+3.8%-2.4%+12.7%
Q4 2023+0.5%-3.7%+1.3%
Q3 2023-17.4%-21.8%-21.5%
Q2 2023-5.5%-3.7%-0.4%
Q1 2023-5.2%-1.7%+0.9%
Q4 2022+4.1%+15.1%-10.3%
Q3 2022+2.2%+3.7%+1.8%
Q2 2022-3.1%+9.5%+17.9%
Q1 2022-8.5%-21.8%-7.8%
Q4 2021-1.6%+8.5%+11.0%
Q3 2021+2.4%+1.3%-22.7%
Q2 2021+4.5%+6.4%+13.2%
Q1 2021+1.4%+6.6%-7.1%
Q4 2020+17.0%+30.5%+2.9%
Q3 2020+2.7%-8.2%+45.1%
Q2 2020+0.8%+12.6%+0.8%
Q1 2020+7.0%-8.9%+32.2%
Q3 2019+0.4%+2.4%-8.1%
Q2 2019+0.8%-6.0%-13.0%
Q1 2019-6.6%-0.5%-0.7%
Q3 2018+5.5%+7.2%-9.8%
Q2 2018+2.6%-1.5%-5.6%
Q1 2018-2.3%-0.8%+0.9%
Q4 2017-1.9%-16.8%-13.9%
Q3 2017+5.9%+3.3%-2.4%
Q2 2017-8.9%-10.5%-17.0%
Q1 2017+2.1%-2.9%-12.1%
Q4 2016-0.9%-2.3%-19.9%
Q3 2016-1.1%-5.7%+11.7%
Q2 2016-16.4%-21.4%-20.0%
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2013
Q1 2014
Q4 2013
Q4 2011
Q1 2012
Q2 2013
Q3 2012
Q3 2013
Q2 2012
Q4 2012

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