Hunting (HTG) Trading Update summary

Business performance and strategy

• Strong first half results with EBITDA for H1 2025 reaching approximately $68–$70 million, up 16% year-on-year, and a margin of about 13%.

• Focus on proprietary technology for oil and gas, energy transition, and advanced manufacturing.

• High margins in OCTG and Subsea businesses, with international growth and successful acquisitions.

• Emphasis on operational excellence, safety, and environmental standards.

• North America and Asia Pacific segments outperformed expectations, while EMEA and Subsea Technologies were slightly behind.

Product and market developments

• Titan business (perforating systems) and Subsea are key growth areas, with recent FES acquisition expanding FPSO capabilities.

• Advanced Manufacturing serves oilfield, aerospace, and defense with precision components.

• Energy transition revenue mainly from geothermal, with slow activity due to political factors.

• Organic Oil Recovery acquisition expected to deliver high-margin growth and global market access.

• Expansion in India and Middle East through joint ventures and new facilities.

Financial and shareholder returns

• Announced increased dividend target, raising annual dividend growth from 10% to 13%.

• $40 million share buyback program to commence after H1 2025 results, aiming for completion within 12 months.

• Focus on value-accretive M&A, with strong balance sheet supporting further acquisitions.

• Capital investment in the $35–$40 million range, aligned with depreciation.

• Free cash flow conversion targeted at 50% or greater.