We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Dril-Quip's (DRQ) Q4 Earnings Miss Estimates on Higher Costs
Read MoreHide Full Article
Dril-Quip, Inc. reported fourth-quarter 2023 adjusted earnings of 4 cents per share, which missed the Zacks Consensus Estimate of 11 cents. The bottom line also declined from the year-ago quarter’s 6 cents.
The company’s total quarterly revenues of $126 million increased from the year-ago quarter’s figure of $97 million. The figure, however, missed the Zacks Consensus Estimate of $136 million.
Significant rise in total costs and expenses led to weak quarterly earnings.
Dril-Quip reported net bookings of $122.7 million for the quarter, up 25% year over year. At the end of the reported quarter, the company had $264 million in its backlog.
DRQ reported a fourth-quarter operating income of $4.6 million, indicating a turnaround from the prior-year period’s reported loss of $2.4 million.
Total Costs and Expenses
The cost of sales increased to $121.8 million from $99.2 million in the year-ago period. Engineering and product development costs also increased to almost $3 million from $2.7 million.
Total costs and expenses were $121.8 million compared with $99.2 million registered in the corresponding period of 2022.
Free Cash Flow
In the fourth quarter, Dril-Quip generated a free cash flow of $14.5 million against a negative free cash flow of $22.8 million a year ago.
Financials
Dril-Quip recorded $11.6 million in capital expenditure for the quarter.
As of Dec 31, 2023, the company’s cash balance was $191.4 million. Its balance sheet is free of debt load, highlighting a sound financial position.
Guidance
DRQ expects revenues this year to grow 15% to 20% year over year. The company, carrying a Zacks Rank #3 (Hold), anticipates Subsea product bookings in 2024 in the band of $200-$225 million.
Three giants from the energy space that earlier reported their quarterly figures are Exxon Mobil Corporation (XOM - Free Report) , BP plc (BP - Free Report) and Chevron Corporation (CVX - Free Report) .
ExxonMobilreported fourth-quarter 2023 earnings per share of $2.48 (excluding identified items), which beat the Zacks Consensus Estimate of $2.21. However, the bottom line declined from the year-ago level of $3.40.
Total quarterly revenues of $84.3 billion missed the Zacks Consensus Estimate of $91.8 billion and declined from the year-ago quarter’s figure of $95.4 billion.
Better-than-expected quarterly earnings primarily resulted from increased liquids production. The positives were partially offset by lower realizations of crude and natural gas prices. To view our detailed earnings blog: ExxonMobil (XOM - Free Report) Q4 Earnings Beat Estimates, Revenues Fall Y/Y.
BP reported fourth-quarter 2023 adjusted earnings of $1.07 per American Depositary Share on a replacement-cost basis, excluding non-operating items. The bottom line missed the Zacks Consensus Estimate of $1.09 and declined from $1.59 reported a year ago.
Total quarterly revenues of $52,586 million lagged the Zacks Consensus Estimate of $59,530 million and declined from $70,356 million reported in the year-ago quarter.
Chevronreported adjusted fourth-quarter earnings per share of $3.45, topping the Zacks Consensus Estimate of $3.29. The outperformance could be attributed to higher-than-expected U.S. production in the company’s key upstream segment. The unit’s domestic output of 1,598 thousand oil-equivalent barrels per day (MBOE/d) set a new quarterly record and beat the consensus mark of 1,462 MBOE/d.
However, the company’s bottom line fell from the year-ago adjusted profit of $4.09 due to weaker oil and natural gas realizations, plus a dip in U.S. refined product sales margins.
The company generated revenues of $47.2 billion. The sales figure missed the Zacks Consensus Estimate of $52.6 billion and decreased 16.5% year over year. To view our detailed earnings blog: Chevron (CVX - Free Report) Q4 Earnings Beat on Record U.S. Production.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Shutterstock
Dril-Quip's (DRQ) Q4 Earnings Miss Estimates on Higher Costs
Dril-Quip, Inc. reported fourth-quarter 2023 adjusted earnings of 4 cents per share, which missed the Zacks Consensus Estimate of 11 cents. The bottom line also declined from the year-ago quarter’s 6 cents.
The company’s total quarterly revenues of $126 million increased from the year-ago quarter’s figure of $97 million. The figure, however, missed the Zacks Consensus Estimate of $136 million.
Significant rise in total costs and expenses led to weak quarterly earnings.
Dril-Quip, Inc. Price, Consensus and EPS Surprise
Dril-Quip, Inc. price-consensus-eps-surprise-chart | Dril-Quip, Inc. Quote
Q4 Performance
Dril-Quip reported net bookings of $122.7 million for the quarter, up 25% year over year. At the end of the reported quarter, the company had $264 million in its backlog.
DRQ reported a fourth-quarter operating income of $4.6 million, indicating a turnaround from the prior-year period’s reported loss of $2.4 million.
Total Costs and Expenses
The cost of sales increased to $121.8 million from $99.2 million in the year-ago period. Engineering and product development costs also increased to almost $3 million from $2.7 million.
Total costs and expenses were $121.8 million compared with $99.2 million registered in the corresponding period of 2022.
Free Cash Flow
In the fourth quarter, Dril-Quip generated a free cash flow of $14.5 million against a negative free cash flow of $22.8 million a year ago.
Financials
Dril-Quip recorded $11.6 million in capital expenditure for the quarter.
As of Dec 31, 2023, the company’s cash balance was $191.4 million. Its balance sheet is free of debt load, highlighting a sound financial position.
Guidance
DRQ expects revenues this year to grow 15% to 20% year over year. The company, carrying a Zacks Rank #3 (Hold), anticipates Subsea product bookings in 2024 in the band of $200-$225 million.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Important Energy Earnings
Three giants from the energy space that earlier reported their quarterly figures are Exxon Mobil Corporation (XOM - Free Report) , BP plc (BP - Free Report) and Chevron Corporation (CVX - Free Report) .
ExxonMobilreported fourth-quarter 2023 earnings per share of $2.48 (excluding identified items), which beat the Zacks Consensus Estimate of $2.21. However, the bottom line declined from the year-ago level of $3.40.
Total quarterly revenues of $84.3 billion missed the Zacks Consensus Estimate of $91.8 billion and declined from the year-ago quarter’s figure of $95.4 billion.
Better-than-expected quarterly earnings primarily resulted from increased liquids production. The positives were partially offset by lower realizations of crude and natural gas prices. To view our detailed earnings blog: ExxonMobil (XOM - Free Report) Q4 Earnings Beat Estimates, Revenues Fall Y/Y.
BP reported fourth-quarter 2023 adjusted earnings of $1.07 per American Depositary Share on a replacement-cost basis, excluding non-operating items. The bottom line missed the Zacks Consensus Estimate of $1.09 and declined from $1.59 reported a year ago.
Total quarterly revenues of $52,586 million lagged the Zacks Consensus Estimate of $59,530 million and declined from $70,356 million reported in the year-ago quarter.
Lower realizations of commodity prices led to weak quarterly results. To view our detailed earnings blog: BP Misses Q4 Earnings Estimates, Expects 2024 Production Hike.
Chevronreported adjusted fourth-quarter earnings per share of $3.45, topping the Zacks Consensus Estimate of $3.29. The outperformance could be attributed to higher-than-expected U.S. production in the company’s key upstream segment. The unit’s domestic output of 1,598 thousand oil-equivalent barrels per day (MBOE/d) set a new quarterly record and beat the consensus mark of 1,462 MBOE/d.
However, the company’s bottom line fell from the year-ago adjusted profit of $4.09 due to weaker oil and natural gas realizations, plus a dip in U.S. refined product sales margins.
The company generated revenues of $47.2 billion. The sales figure missed the Zacks Consensus Estimate of $52.6 billion and decreased 16.5% year over year. To view our detailed earnings blog: Chevron (CVX - Free Report) Q4 Earnings Beat on Record U.S. Production.