NOV reported third-quarter 2026 revenue of $2.23 billion, up 4% from the prior quarter and 2% from a year earlier. Net income rose year over year but fell sequentially, while adjusted EBITDA was nearly unchanged from the second quarter.
The oilfield equipment and services company said manufacturing throughput and customer activity in the Middle East supported growth, but it expects some moderation in that region during the fourth quarter. It forecast roughly flat year-over-year revenue and adjusted EBITDA of $260 million to $300 million for the quarter.
Key details
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Earnings: Net income was $90 million, or 25 cents per diluted share—up $48 million from the third quarter of 2025 but down $22 million sequentially. Operating profit was $142 million, equal to 6.4% of sales. Adjusted operating profit was $188 million, up 11% year over year.
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Adjusted EBITDA: The company reported $281 million, or 12.6% of sales. That was $2 million below the second quarter and $23 million above the year-earlier quarter. The adjusted EBITDA figures include tariff-refund benefits of about $5 million in the third quarter, compared with about $40 million in the second quarter.
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Energy Equipment: Revenue was $1.22 billion, down 2% year over year, as the completion of some offshore production projects was not fully offset by demand for other products and services. Operating profit fell $8 million to $122 million. Adjusted EBITDA increased $7 million to $187 million, with improved margins attributed to project mix and better margins in the backlog. Operating profit included $14 million in other items and a $22 million loss from fixed-asset write-downs.
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Energy Products and Services: Revenue increased 9% year over year to $1.06 billion. Operating profit rose $50 million to $88 million, while adjusted EBITDA increased $18 million to $153 million. NOV attributed the growth to higher manufacturing output against a growing backlog of drill pipe and composite equipment, as well as cost and efficiency improvements. Operating profit included $7 million in other items and a $4 million gain on fixed-asset sales.
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Orders and backlog: New orders totaled $577 million, equivalent to a 91% book-to-bill ratio against $632 million of orders shipped from backlog. Energy Equipment capital-equipment backlog stood at $3.98 billion at September 30.
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Fourth-quarter outlook: NOV expects revenue to be roughly flat compared with the fourth quarter of 2025 and adjusted EBITDA of $260 million to $300 million. The outlook assumes Middle East operating conditions remain broadly similar to the third quarter, apart from the expected moderation in activity; a worsening of conditions could affect results.
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Market conditions: Chief Executive Jose Bayardo said some customers are adjusting drilling programs, which is expected to temper Middle East activity in the near term. He also pointed to energy-security priorities, the need to replenish inventories and limited availability of modern equipment as factors supporting demand for equipment and technologies that improve efficiency and project economics.
Plain-English implications
The 91% book-to-bill ratio means NOV shipped more Energy Equipment orders from its backlog during the quarter than it booked in new orders. The reported $3.98 billion backlog provides a sizable base of capital-equipment orders, while the fourth-quarter EBITDA range has a midpoint close to the third quarter’s $281 million.