National Oilwell Varco Inc. (NOV Quick QuoteNOV - Free Report) based in Houston, Texas is a world leader in the design, manufacture, and sale of comprehensive systems, components, products, and equipment used in oil and gas drilling and production worldwide.

The company reached its current form following the March 2005 merger between National Oilwell and Varco International. National Oilwell Varco divides its operations into four major segments: Rig Systems, Rig Aftermarket, Completion & Production Solutions, and Wellbore Technologies.

Currently, National Oilwell Varco has a Zacks Rank #3 (Hold) but that could change following its second quarter 2016 earnings report which has just released. The company has a good track record: its beaten estimates in 3 of the last four quarters at an average rate of 23.54%.

We have highlighted some of the key details from the just-released announcement below:

Earnings: National Oilwell Varco reports loss. Loss per share – excluding one-time items – came in at 30 cents, narrower than the Zacks Consensus Estimate for a loss of 33 cents.

Revenue: Revenues below expectations. Revenues of $1,724 million could not surpass the Zacks Consensus Estimate of $1,798 million.

Key Stats: Operating profit in the Rig Systems segment plunged from $424 million in second-quarter 2015 to $30 million. Rig Aftermarket’s operating profit came at $67 million against $155 million in the year-ago period. The Wellbore Technologies reported operating loss of $96 million as against income of $57 million in Apr-Jun quarter of 2015. Lastly, National Oilwell Varco’s Completion & Production Solutions unit earned a meagre $5 million in the second quarter, a steep decline from the $88 million earned in the year-ago period.

Check back later for our full write up on this National Oilwell Varco earnings report later!

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