National Energy Services Reunited Corp. Reports 34.9% Sequential Revenue Gain to $398.3M and Cuts Net Debt by $90M
National Energy Services Reunited Corp. delivered Q4 2025 revenue of $398.3M, up 34.9% sequentially and 15.9% year-over-year, with adjusted EBITDA of $84.4M (+32%) and adjusted net income of $31.9M (+106.6%). Year-end net debt fell $90M to $185.3M, and annual operating cash flow rose 15.2% to $264.2M.
1. Q4 Financial Highlights
National Energy Services Reunited Corp. posted revenue of $398.3 million for the quarter ended December 31, 2025, marking a 34.9% sequential and 15.9% year-over-year increase. Adjusted EBITDA climbed 32% to $84.4 million, while adjusted net income more than doubled sequentially to $31.9 million, reflecting improved utilization and contract mobilizations.
2. Impact of Discrete Items on Net Income
Reported net income of $7.8 million was weighed down by non-cash impairment charges totaling $8.1 million, $4.7 million of mobilization-related restructuring costs in Oman, $7.1 million of credit loss provisions mainly in Oman, and $3.7 million of other write-offs tied to a Saudi Arabia vendor bankruptcy.
3. Cash Flow and Balance Sheet Strength
Operating cash flow for the year reached $264.2 million, a 15.2% increase year-over-year, while free cash flow amounted to $120.8 million. The company reduced net debt by nearly $90 million over 2025, ending the year with $185.3 million of net debt and bolstered liquidity.
4. Backlog Growth and 2026 Outlook
NESR secured significant contract awards, including an integrated unconventional completions scope in Saudi Arabia’s Jafurah development, reinforcing its partnership with Aramco. Management emphasizes efficient backlog execution, strong margins, and multi-year growth opportunities across the Middle East and North Africa as it enters 2026.