uploads///Rig count and Revenue

How Much the Rig Count Could Affect NBR in 2Q17

By

Jun. 20 2017, Updated 1:36 p.m. ET

Rig count

In 1Q17, the US rig count rose 25% compared to 4Q16. Since March 31, 2017, the US rig count has risen another 13% as of the week ended June 16, 2017.

On May 31, 2017, the international rig count rose by one compared to April 2017. A higher rig count could increase Nabors Industries’ (NBR) revenue and earnings in 2Q17.

Article continues below advertisement

Nabors Industries’ revenue share

In 1Q17, Nabors Industries’ revenue share in North America remained unchanged at 76% compared to 4Q16. Compared to a year earlier, however, NBR’s North American revenue share rose from 69% to 76%. NBR’s revenue share from international operations was 24% in 1Q17.

From 4Q16 to 1Q17, NBR’s aggregate revenue rose 4%. In comparison, Superior Energy Services’ (SPN) 1Q17 revenue rose 13% over 4Q16. Baker Hughes’ (BHI) revenue fell 6%, while Helmerich & Payne’s (HP) revenue rose 10% during the same period.

NBR makes up only 0.01% of the iShares Russell 3000 ETF (IWV). IWV has risen 18% in the past year, compared to the 21% fall in NBR’s stock price.

Advertisement

More From Market Realist

    • CONNECT with Market Realist
    • Link to Facebook
    • Link to Twitter
    • Link to Instagram
    • Link to Email Subscribe
    Market Realist Logo
    Do Not Sell My Personal Information

    © Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.