US versus international rig count
In 3Q16, the US rig count fell 35% over 3Q15. The US rig count reached its multi-year high in September 2014. Since then, it has fallen 69% as of November 18. By October 31, the international rig count fell 17% from a year ago. This is lower than the US rig count fall, which fell 22% in the past year until November 18.
Nabors Industries’ US revenues
In 2015, Nabors Industries’ (NBR) revenue share from the United States fell. In 2015, NBR’s US revenue share fell to 47% compared to 69% in 2014. NBR’s revenue share from international operations rose 53% in 2015 from 31% in 2014.
During the same period, NBR’s aggregate revenues fell 43%. By comparison, McDermott International’s (MDR) 2015 revenues rose 33% over 2014. NBR is only 0.02% of the iShares Russell 3000 ETF (IWV). The energy sector makes up 6.8% of IWV. To learn more about the US rig count and crude oil prices, read Market Realist’s Will Crude Oil Prices Crash after the US Presidential Election?.
Next, we’ll discuss Nabors Industries’ debt.