Oil States (OIS) Q4 2025 Earnings Call Transcript

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Fri, February 20, 2026 astatine 10:31 AM CST 32 min read

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Friday, February 20, 2026 astatine 10 a.m. ET

• President and Chief Executive Officer — Cynthia B. Taylor

• Executive Vice President, Chief Financial Officer, and Treasurer — Lloyd A. Hajdik

Cynthia B. Taylor: Thank you, Ellen. Good morning, and convey you for joining our league telephone contiguous wherever we volition sermon our 4th fourth 2025 results and supply our thoughts connected marketplace trends successful summation to discussing our company-specific strategy and outlook for 2026. We are pleased to study beardown 4th fourth results with adjusted EBITDA exceeding our guidance and quarterly currency flows from operations astatine historically precocious levels. We generated $50 cardinal of currency flows from operations, which was utilized to discontinue an equivalent magnitude of our outstanding convertible elder notes. Following the repayment, our currency connected manus exceeded outstanding indebtedness by $15 cardinal astatine year-end.

We proceed to advancement our multiyear strategy to optimize Oil States International, Inc.’s concern premix successful favour of operations focused successful the offshore and planetary markets. Our consolidated 4th fourth results were driven by backlog conversion, disciplined execution, and improved margins successful our Completion and Production Services and Downhole Technologies conception arsenic some segments are showing affirmative trends pursuing restructuring. Fourth 4th consolidated revenues accrued 8% some sequentially and year-over-year with gross maturation tempered by our strategical decisions to exit definite underperforming U.S. land-based operations. These actions person resulted successful a displacement successful our concern premix with 77% of our revenues generated from offshore and markets successful the existent 4th compared to 72% successful the prior-year period.

Going forward, our sharpened absorption connected much differentiated merchandise and work lines should supply sustained incremental margins and currency flows to enactment returns to our stockholders. Our Offshore Manufactured Products conception delivered different standout 4th with revenues and adjusted conception EBITDA expanding 1,312% sequentially. Backlog continued to increase, totaling $435 million, the highest level since March 2015, supported by bookings of $160 million, yielding a quarterly book-to-bill ratio of 1.3 times. Importantly, successful our Completion and Production Services segment, our caller absorption connected high-grading technologies and work lines has translated into improved adjusted EBITDA margins and currency flow.

In our Downhole Technologies segment, we are focused connected marketplace introductions of our revamped exertion domestically on with planetary enlargement of our afloat merchandise suite. Despite it being aboriginal days into these strategies, we realized improved contributions from our perforating and completion products during the quarter. During 2025, Oil States International, Inc. secured aggregate caller contracts and successfully deployed precocious offshore technologies that reenforce our enactment successful high-specification offshore and planetary markets. Continued adoption of our managed unit drilling strategy and the archetypal palmy deployment of our low-impact workover bundle demonstrated meaningful operational improvements for our customers including reduced nonproductive time, enhanced safety, and improved task efficiency.