Hunting PLC’s shares tumbled 13.3% to $410.5 on Friday after the oilfield services company reported a 6% year-over-year decline in first-half revenue to $497 million, missing expectations as a surge in subsea technology demand was offset by delays in Kuwait Oil Company (KOC) orders and restructuring costs.
Adjusted EBITDA fell 12% to $62.1 million, with the margin slipping to 12% from 13% a year earlier. Earnings per share dropped to 15.2 cents from 19.6 cents, partly due to an 8% reduction in issued share capital from buybacks. The interim dividend rose 13% to 7.0 cents per share, continuing a multi-year upward trend.
The company’s subsea technologies segment delivered the strongest performance, with revenue surging 96% to $115.6 million and EBITDA more than tripling to $23.6 million. Hunting Titan, another growth driver, posted a 45% revenue increase to $152.9 million, though it faced a 500% spike in tungsten costs. North America revenue declined 10% to $169.9 million, while Asia Pacific revenue collapsed 68% to $49.9 million due to the absence of KOC orders. EMEA reported a $3.5 million EBITDA loss as restructuring continued ahead of a planned segment merger with Asia Pacific.
Free cash flow turned negative at $27.8 million, down from a positive $66.2 million in the prior-year period, driven by a $58 million working capital outflow and higher tax payments. Net debt stood at $51.4 million as of June 30, compared with net cash of $28.1 million at year-end 2025. Working capital rose to $391.3 million, lifting the working capital-to-revenue ratio to 37% from 33%.
Hunting maintained its full-year capital expenditure guidance of $40–50 million and reaffirmed plans for $100 million in share buybacks through 2028. The company’s order book totaled $386.5 million, with $260 million expected to convert to 2026 revenue. Full-year EBITDA guidance was lowered to $138–141 million, reflecting the KOC delay, though subsea EBITDA is projected to exceed $38 million for the year.
Since 2019, Hunting has reduced operating sites by 31%, distribution centers by 26%, and headcount by 24% as part of a structural overhaul. The company’s non-oil and gas division, Dearborn, reported $38 million in revenue, with 90% tied to aerospace, defense, and power generation.
