National Energy Services Reunited Corp. Reports 33.5% Revenue Growth to $404.6 Million

National Energy Services Reunited Corp. (NESR) reported significant financial growth in its latest quarterly results, with revenues reaching $404.6 million for the three-month period ending March 31, 2026, compared to $303.1 million for the same period in 2025. This represents a 33.5% increase year-over-year. The company's net income also saw a substantial rise, totaling $23.8 million, up from $10.4 million in the prior year, resulting in earnings per share of $0.24, compared to $0.11 in the previous year.

The increase in revenue was primarily driven by heightened activity in the MENA region, particularly in Saudi Arabia, where there was a notable uptick in hydraulic fracturing stages and well testing activities. The Production Services segment generated $241.0 million, a 28.1% increase from $188.1 million, while the Drilling and Evaluation Services segment reported $163.5 million, up 42.3% from $115.0 million. The cost of services also increased, totaling $352.8 million, but the cost as a percentage of total revenue slightly decreased to 87.2% from 87.6%, indicating improved cost absorption.

In terms of operational metrics, NESR's total assets grew to $1.92 billion as of March 31, 2026, up from $1.85 billion at the end of 2025. The company’s cash and cash equivalents decreased to $93.0 million from $124.8 million, while accounts receivable increased significantly to $227.9 million, reflecting higher sales volumes. The company’s total liabilities also rose to $928.7 million, up from $883.6 million, largely due to increased accounts payable and accrued expenses.

Strategically, NESR has focused on enhancing its operational capabilities and expanding its market presence. The company is currently working on refinancing its 2021 Secured Facilities Agreement, which includes a $430 million term loan and a working capital facility. The company has also committed to capital expenditures of $75.8 million, indicating ongoing investment in its operational infrastructure. Looking ahead, NESR anticipates continued demand for its services, driven by geopolitical factors and increased upstream activity in the region, although it acknowledges the potential for market volatility due to external conditions.