Expro Group Reports 5.9% Revenue Decline and Net Loss in Q1 2026

Expro Group Holdings N.V. reported a decline in financial performance for the first quarter of 2026, with total revenue decreasing to $367.6 million from $390.9 million in the same period of 2025, marking a 5.9% year-over-year decline. The company experienced a net loss of $1.0 million, a significant drop from the net income of $13.9 million reported in the prior year. This resulted in a basic and diluted loss per share of $0.01, compared to earnings of $0.12 per share in the first quarter of 2025. The decrease in revenue and profitability was attributed to lower activity levels across several segments, particularly in the Middle East and North Africa (MENA) region, which was impacted by ongoing geopolitical tensions.

Operating costs and expenses for the quarter totaled $364.4 million, down from $380.5 million in the previous year, primarily due to reduced costs in general and administrative expenses and lower severance costs. The company reported an operating income of $3.2 million, down from $10.3 million in the prior year, while Adjusted EBITDA fell to $62.9 million, a decrease of 28.8% from $88.4 million in the same quarter of 2025. The Adjusted EBITDA margin also declined to 17.1% from 23.1% year-over-year, reflecting the impact of lower revenue and a less favorable activity mix.

In terms of strategic developments, Expro Group announced plans to acquire Norway-based Enhanced Drilling for approximately $215 million, which is expected to enhance its capabilities in managed pressure drilling solutions. Additionally, the company is in the process of changing its corporate domicile from the Netherlands to the Cayman Islands, a move aimed at improving operational efficiency and shareholder value. This transition is subject to shareholder approval, with a vote anticipated at the 2026 annual meeting.

Operationally, Expro's customer base remains diverse, with approximately 7,000 employees serving clients in over 60 countries. The company reported a slight increase in accounts receivable, which rose to $492.2 million from $477.0 million at the end of 2025. However, the company’s cash and cash equivalents decreased to $170.7 million from $196.1 million, reflecting a net cash outflow of $26.7 million during the quarter. The company also repurchased approximately 1.2 million shares at an average price of $16.52 per share, totaling around $20 million, as part of its ongoing stock repurchase program.

Looking ahead, Expro Group anticipates a challenging market environment due to ongoing geopolitical tensions and fluctuating oil prices. The company expects that while demand for its services may remain under pressure in the short term, there are opportunities for growth in the long term, particularly in the LNG sector and through brownfield optimization initiatives. The company remains focused on maintaining liquidity and financial flexibility, with total available liquidity reported at $517.3 million as of March 31, 2026.