Company Reports

Expro Group reported strong 2024 first-quarter results, with total revenue growing 13% year on year to $383 million, exceeding the high end of the $365 million-$375 million guidance range. Adjusted EBITDA grew 61% year on year to $67 million, at the midpoint of management’s previous guidance. The firm’s diversified international presence proved favorable: although most geographic segments saw sequential declines in activity, that was partially offset by well flow management revenue in Middle East and North Africa. Management reaffirmed 2024 full-year revenue and adjusted EBITDA guidance of $1.650 billion and $350 million at the midpoint, respectively. Both are in line with our estimates. We maintain our $22 fair value estimate and no-moat rating. We view Expro Group as slightly undervalued.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro Group reported strong 2023 fourth-quarter results, with total revenue growing 16% year on year, exceeding previous guidance by approximately 9%. Adjusted EBITDA grew 10% to $85 million, at the high end of the $75 million-$85 million guidance range. Its 70% sequential growth rate reveals Expro’s nearly full recovery from operational challenges, such as the light well intervention mishap, in the third quarter. Management released 2024 full-year revenue and adjusted EBITDA guidance of $1,650 million and $350 million at the midpoint, respectively. Both are in line with our estimates. We maintain our $22 fair value estimate and no-moat rating. We view High Uncertainty Expro Group as slightly undervalued.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro Group underwhelmed in the third quarter due to a handful of operational challenges that led to a 7% sequential drop in revenue. Firmwide adjusted EBITDA margin fared even worse, contracting over 500 basis points quarter over quarter to 13% (following a nearly 600-basis-point sequential increase last quarter). A late-September operating incident in Australia has left the firm’s recently introduced vessel-deployed lightwell intervention, or LWI, equipment on the bottom of the ocean, resulting in a suspension of all LWI operations until further notice.

Expro International performed very well in the second quarter, posting sequential revenue growth of 17% (up 27% year over year) while expanding the firmwide adjusted EBITDA margin nearly 600 basis points (up 175 basis points year over year) quarter over quarter to 18%. We maintain our $22 per share fair value estimate and no-moat rating following results.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro posted a solid first quarter, with revenue increasing 21% year over year, while the firmwide adjusted EBITDA margin contracted less than 100 basis points to 12%. On a sequential basis, revenue and margins both contracted by 3% and 760 basis points, respectively. We maintain our no-moat rating and $22 per share fair value estimate following results.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro International rounded out 2022 on a high note as offshore activity gained momentum around the world. We’re raising our fair value estimate to $22 from $19, mostly due to our improved outlook for the firm’s profitability over the next several years. By our estimate, adjusted EBITDA margins will average in the low-20s through 2026, about 300 basis points higher than our prior estimate. We also slightly raised our revenue forecast, with top line growth averaging about 9% per year through 2026, roughly 50 basis points above our previous estimate. Our no-moat rating and stable moat trend are unchanged following results.

Expro’s third-quarter results were at the high end of its guidance, with revenue increasing 7% quarter over quarter and a firmwide adjusted EBITDA margin reaching 14%. We’re slightly raising our fair value estimate to $19 per share from $18. We maintain our no-moat rating and stable moat trend.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro beat expectations this quarter, posting sequential revenue growth of 12% and an adjusted EBITDA margin of 16%, compared with prior guidance of 10% and 14%, respectively. The firm also approved up to $50 million in share buybacks through 2023 and repurchased $13 million worth of shares this quarter. We’re slightly raising our fair value estimate to $18 from $17 as global offshore investment picks up speed. Our no-moat rating, stable trend, and Morningstar Uncertainty Rating of High are unchanged following results.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.

Expro Group posted solid results overall for its first quarter, with total revenue growing 12% year over year but decreasing 5% sequentially due to disruptions in Europe and Asia. Operating margins reached 19%, a 2-percentage-point increase compared with last year but a 4-percentage-point decrease compared with last quarter. We’ll incorporate the operating and financial results into our model shortly, but for now, our fair value estimate and no-moat rating are unchanged.

Expro’s product portfolio spans the well cycle, from exploration and appraisal through abandonment. Product lines include well flow management, well intervention and integrity, subsea well access, and well construction. Expro is a leader in well testing, a small but crucial component of well construction, and holds a strong reputation in niche subsea equipment and services markets.