Drilling Tools International Posts $38M Q1 Revenue, Completes Board Refresh, Reaffirms $155M–$170M Guidance

Drilling Tools International generated total consolidated revenue of $38.0 million in the first quarter, including $28.9 million in tool rental and $9.0 million in product sales. Net loss attributable to common stockholders was $1.5 million (loss of $0.04 per share), while adjusted EBITDA stood at $7.5 million and adjusted free cash flow was a loss of $160,000, with cash and cash equivalents of $2.8 million and net debt of $48.9 million as of March 31, 2026.

Management noted an earlier-than-expected spring breakup in Canada weighed on segment performance, while a 4% year-over-year decline in global rig count was offset by traction in international markets. Specialized product lines ClearPath and Drill-N-Ream gained share with offshore operators and customers tackling complex well configurations, enhancing higher-margin rental revenue.

During the quarter, the primary private equity sponsor distributed its remaining shares to limited partners, materially increasing public float and trading liquidity. A refreshed board composition now positions the company as a fully independent public entity with governance aligned to its next growth phase.

The company reaffirmed full-year guidance for revenue of $155 million to $170 million, adjusted EBITDA of $35 million to $45 million (23%–26% margin) and adjusted free cash flow of $17 million to $22 million. Management expects a post-breakup rebound in Canada and plans targeted investments in select international markets to drive improvement in the second half of the year.