NorAm Drilling (NORAM) Q2 2026 earnings summary

Executive summary

• Revenue increased 12.3% quarter-over-quarter to $29.4 million, with all 11 rigs contracted and operational, driven by higher utilization and the return of two rigs to operation.

• Adjusted EBITDA rose to $6.3 million, and operating profit was $4.8 million, both up from Q1 2026.

• Net profit after tax was $4.2 million, with EPS of $0.10.

• Rig utilization reached 98.6%, up from 90.3% in Q1.

• Backlog stood at $30.3 million as of August 25, 2026.

Financial highlights

• Q2 2026 revenue was $29.4 million, up from $26.2 million in Q1 and $24.9 million in Q2 2025.

• Adjusted EBITDA: $6.3 million in Q2 2026 vs. $4.5 million in Q1 2026.

• Operating profit was $4.8 million, up from $3 million in Q1.

• Net profit for Q2 2026: $4.2 million, up from $3.7 million in Q2 2025.

• Cash balance at quarter-end was $8.1 million, with no debt and an undrawn $4.5 million RCF.

Outlook and guidance

• All rigs are contracted and working, with 7 out of 11 on term contracts.

• Major E&Ps are maintaining 2026 CapEx plans, while private operators are increasing theirs.

• WTI volatility and current prices above $69/bbl support new drilling and higher rig counts.

• CapEx for the year is expected to total $3–$4 million, with $1–$2 million in the second half, mainly for spares and vehicles.

• Dividend payments will continue, subject to positive net cash flow.