Drilling Tools International Corp. Updates Estimated 2024 Full Year Financial Outlook
Drilling Tools International Corp. (NASDAQ: DTI), a global oilfield services company, has updated its 2024 financial outlook with positive projections. The company expects 2024 revenue to be at the high-end of previous guidance, Adjusted EBITDA near the midpoint, Adjusted Net Income above the high-end, and Adjusted Free Cash Flow to more than double compared to the prior year.
Despite a challenging demand environment, CEO Wayne Prejean expressed satisfaction with the company's strong Q4 execution and successful integration of recent acquisitions. DTI anticipates building upon its 2024 results despite industry expectations of a flat market environment this year. The company will report its Q4 and full-year 2024 results in a conference call scheduled for March 14, 2025.
Drilling Tools International Corp. (NASDAQ: DTI), un'azienda globale di servizi per il settore petrolifero, ha aggiornato le sue previsioni finanziarie per il 2024 con proiezioni positive. L'azienda prevede che i ricavi del 2024 saranno al massimo delle indicazioni precedenti, l'EBITDA rettificato sarà vicino al punto medio, il reddito netto rettificato supererà il massimo e il flusso di cassa libero rettificato raddoppierà rispetto all'anno precedente.
Nonostante un ambiente di domanda difficile, il CEO Wayne Prejean ha espresso soddisfazione per la forte esecuzione del Q4 e per l'integrazione riuscita delle recenti acquisizioni. DTI prevede di costruire sui risultati del 2024 nonostante le aspettative di un mercato piatto quest'anno. L'azienda presenterà i risultati del Q4 e dell'intero anno 2024 in una conferenza telefonica programmata per il 14 marzo 2025.
Drilling Tools International Corp. (NASDAQ: DTI), una empresa global de servicios en el sector petrolero, ha actualizado su perspectiva financiera para 2024 con proyecciones positivas. La compañía espera que los ingresos de 2024 estén en el extremo superior de las guías anteriores, que el EBITDA ajustado esté cerca del punto medio, que el ingreso neto ajustado supere el extremo superior y que el flujo de caja libre ajustado se más que duplique en comparación con el año anterior.
A pesar de un entorno de demanda desafiante, el CEO Wayne Prejean expresó satisfacción con la sólida ejecución del Q4 y la exitosa integración de las adquisiciones recientes. DTI anticipa construir sobre sus resultados de 2024 a pesar de las expectativas de la industria de un entorno de mercado plano este año. La compañía reportará sus resultados del Q4 y del año completo 2024 en una llamada de conferencia programada para el 14 de marzo de 2025.
Drilling Tools International Corp. (NASDAQ: DTI), 글로벌 석유 서비스 회사,는 2024년 재무 전망을 긍정적으로 업데이트했습니다. 회사는 2024년 수익이 이전 가이던스의 상한에 이를 것으로 예상하며, 조정된 EBITDA는 중간 수준에, 조정된 순이익은 상한을 초과하고 조정된 자유 현금 흐름은 지난해에 비해 두 배 이상 증가할 것으로 예상합니다.
어려운 수요 환경에도 불구하고 CEO Wayne Prejean은 회사의 강력한 Q4 실행과 최근 인수의 성공적인 통합에 만족감을 나타냈습니다. DTI는 올해 산업의 평탄한 시장 환경에 대한 기대에도 불구하고 2024년 결과를 기반으로 성장할 것으로 예상하고 있습니다. 회사는 2024년 Q4 및 전체 연도 결과를 2025년 3월 14일 예정된 컨퍼런스 콜에서 발표할 예정입니다.
Drilling Tools International Corp. (NASDAQ: DTI), une entreprise mondiale de services pétroliers, a mis à jour ses prévisions financières pour 2024 avec des projections positives. L'entreprise s'attend à ce que les revenus de 2024 soient à la limite supérieure des indications précédentes, que l'EBITDA ajusté soit proche du point médian, que le revenu net ajusté soit supérieur à la limite supérieure, et que le flux de trésorerie libre ajusté soit plus que doublé par rapport à l'année précédente.
Malgré un environnement de demande difficile, le PDG Wayne Prejean a exprimé sa satisfaction quant à la forte exécution du Q4 et à l'intégration réussie des récentes acquisitions. DTI prévoit de s'appuyer sur ses résultats de 2024 malgré les attentes de l'industrie d'un environnement de marché stable cette année. L'entreprise annoncera ses résultats du Q4 et de l'année 2024 lors d'une conférence téléphonique prévue pour le 14 mars 2025.
Drilling Tools International Corp. (NASDAQ: DTI), ein globales Unternehmen für Ölservice, hat seine Finanzprognose für 2024 mit positiven Projektionen aktualisiert. Das Unternehmen erwartet, dass die Umsätze 2024 am oberen Ende der bisherigen Schätzungen liegen, dass das bereinigte EBITDA nahe dem Durchschnitt liegen wird, dass der bereinigte Nettogewinn über dem oberen Ende liegt und dass der bereinigte freie Cashflow im Vergleich zum Vorjahr mehr als doppelt so hoch ausfällt.
Trotz eines herausfordernden Nachfrageumfelds äußerte CEO Wayne Prejean Zufriedenheit mit der starken Ausführung im Q4 und der erfolgreichen Integration der jüngsten Übernahmen. DTI erwartet, dass es auf seinen Ergebnissen von 2024 aufbauen kann, trotz der branchenüblichen Erwartungen eines stagnierenden Marktes in diesem Jahr. Das Unternehmen wird seine Ergebnisse für Q4 und das Gesamtjahr 2024 in einer für den 14. März 2025 geplanten Telefonkonferenz bekannt geben.
- Revenue projected at high-end of guidance
- Adjusted Net Income expected above high-end of guidance
- Adjusted Free Cash Flow to more than double year-over-year
- Successful integration of recent acquisitions with realized synergies
- Challenging demand environment in the industry
- Flat market environment expected for the upcoming year
Insights
The updated financial outlook from DTI reveals several important developments that warrant investor attention. The standout metric is the more than doubled adjusted free cash flow compared to the previous year, which demonstrates remarkable operational efficiency improvements and effective working capital management. This substantial increase in free cash flow generation is particularly significant given the challenging demand environment, as it provides DTI with enhanced financial flexibility for debt reduction, strategic investments, or potential shareholder returns.
The company's ability to achieve the high-end of revenue guidance while maintaining EBITDA at the midpoint suggests successful pricing strategies but potentially some margin pressure. However, the fact that adjusted net income is tracking above the high-end of guidance indicates effective cost management and successful realization of acquisition synergies, which could provide sustainable benefits beyond 2024.
The management's commentary about a flat market environment presents both challenges and opportunities. While industry headwinds persist, DTI's demonstrated ability to execute in difficult conditions - as evidenced by Q4 2024 performance - positions them well to potentially gain market share. The successful integration of recent acquisitions and realized synergies provide additional operational leverage that could help DTI outperform in a static market.
From a strategic perspective, DTI's global presence across 16 North American centers and 11 international locations provides geographical diversification that could help mitigate regional market fluctuations. The company's focus on horizontal and directional drilling tools aligns with the industry's continued emphasis on efficiency and technological advancement in well development.
Announces Fourth Quarter and Full Year 2024 Earnings Release and Conference Call Schedule
Updated Full Year 2024 Financial Outlook
- 2024 Revenue to be at the high-end of previously disclosed guidance
- 2024 Adjusted EBITDA to be near the midpoint of previously disclosed guidance
- 2024 Adjusted Net Income to be above the high-end of previously disclosed guidance
- 2024 Adjusted Free Cash Flow to be more than double the prior year period
Commenting on the Company's updated 2024 financial outlook, Wayne Prejean, DTI's Chief Executive Officer, stated, "I am pleased with the strong execution by our teams in the fourth quarter to close out 2024 despite a challenging demand environment in our industry. We continue to have success in integrating our latest acquisitions, realizing synergies and positioning DTI for the future. Although industry expectations are for a flat market environment this year, we anticipate building upon our 2024 results and activities."
Fourth Quarter and Full Year 2024 Earnings Release and Conference Call Schedule
The Company plans to report 2024 fourth quarter and full year financial results prior to the Company's live conference call, which can be accessed via dial-in or webcast, on Friday, March 14, 2025 at 10:00 a.m. Eastern Time (9:00 a.m. Central Time).
What: | Drilling Tools International 2024 Fourth Quarter and Full Year Conference Call |
When: | Friday, March 14, 2025 at 10:00 a.m. Eastern Time / 9:00 a.m. Central Time |
How: | Live via phone – By dialing 1-201-389-0869 and asking for the DTI call at least 10 minutes prior to the start time, or Live Webcast – By logging onto the webcast at the address below |
Where: | |
For those who cannot listen to the live call, a replay will be available through March 21, 2025, and may be accessed by dialing 1-201-612-7415 and using passcode 13751110#. Also, an archive of the webcast will be available shortly after the call at https://investors.drillingtools.com/news-events/events for 90 days. Please submit any questions for management prior to the call via email to DTI@dennardlascar.com.
About Drilling Tools International Corp.
DTI is a
Contact:
DTI Investor Relations
Ken Dennard / Rick Black
InvestorRelations@drillingtools.com
Forward-Looking Statements
This press release may include, and oral statements made from time to time by representatives of the Company may include, "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements regarding the business combination and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this press release are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "will," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward looking. These forward-looking statements include, but are not limited to, statements regarding DTI and its management team's expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. Forward looking statements in this press release may include, for example, statements about: (1) the demand for DTI's products and services, which is influenced by the general level activity in the oil and gas industry; (2) DTI's ability to retain its customers, particularly those that contribute to a large portion of its revenue; (3) DTI's ability to employ and retain a sufficient number of skilled and qualified workers, including its key personnel; (4) DTI's ability to source tools and raw materials at a reasonable cost; (5) DTI's ability to market its services in a competitive industry; (6) DTI's ability to execute, integrate and realize the benefits of acquisitions, and manage the resulting growth of its business; (7) potential liability for claims arising from damage or harm caused by the operation of DTI's tools, or otherwise arising from the dangerous activities that are inherent in the oil and gas industry; (8) DTI's ability to obtain additional capital; (9) potential political, regulatory, economic and social disruptions in the countries in which DTI conducts business, including changes in tax laws or tax rates; (10) DTI's dependence on its information technology systems, in particular Customer Order Management Portal and Support System, for the efficient operation of DTI's business; (11) DTI's ability to comply with applicable laws, regulations and rules, including those related to the environment, greenhouse gases and climate change; (12) DTI's ability to maintain an effective system of disclosure controls and internal control over financial reporting; (13) the potential for volatility in the market price of DTI's common stock; (14) the impact of increased legal, accounting, administrative and other costs incurred as a public company, including the impact of possible shareholder litigation; (15) the potential for issuance of additional shares of DTI's common stock or other equity securities; (16) DTI's ability to maintain the listing of its common stock on Nasdaq; and (17) other risks and uncertainties separately provided to you and indicated from time to time described in filings and potential filings by DTI with the Securities and Exchange Commission (the "SEC"). You should carefully consider the risks and uncertainties described in the definitive proxy statement/prospectus/consent solicitation statement with the SEC by the Company on July 2, 2024 (the "Proxy Statement"), and the information presented in DTI's annual report on Form 10-K filed March 28, 2024 (the "10-K"). Such forward-looking statements are based on the beliefs of management of DTI, as well as assumptions made by, and information currently available to DTI's management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors detailed in the Proxy Statement or the 10-K. All subsequent written or oral forward-looking statements attributable to the Company or persons acting on its behalf are qualified in their entirety by this paragraph. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of each of DTI, including those set forth in the Risk Factors section of the Proxy Statement and described in the 10-K. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.
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SOURCE Drilling Tools International Corp.
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