Hunting PLC’s shares fell 13.09% to $411.50 after the company reported a first-half earnings decline and trimmed full-year guidance, citing the indefinite postponement of a major Kuwait Oil Company (KOC) tender.
The London-listed oilfield services provider posted H1 2026 revenue of £497 million, up 49% year-over-year, supported by growth across its Titan, Subsea, and advanced manufacturing segments. Earnings before interest, taxes, depreciation, and amortization (EBITDA) totaled £62.1 million, a 12% margin, while profit after tax reached £24.8 million. Earnings per share declined 22.4% to £0.152 from £0.196 in the prior-year period.
The company increased its interim dividend by 13% to £0.07 per share. Gross profit margin remained stable at 27%, and return on capital stood at 9.1%, with management targeting a rise above 10% by year-end. Net borrowings were £19 million, while receivables climbed £60 million to £293 million. Working capital cash consumption totaled £58 million, partly offset by a £27.8 million one-off import tax payment.
Hunting revised its full-year 2024 EBITDA guidance to £138 million–£141 million, down from prior expectations, due to the deferred KOC tender. The company’s order book stood at £386 million after excluding KOC, with £260 million expected to be booked in 2026. Capital expenditure is projected to rise slightly in H2 to between £40 million and £50 million.
Chief Executive Jim Johnson noted that the company’s strategy remained on track despite regional disruptions. He said KOC had canceled a major tender, originally valued at well over $300 million, citing regional stress and logistical challenges around the Strait of Hormuz. A new KOC tender, valued between $120 million and $180 million, is expected to enter the market within 60 days, with deliveries slated to begin in June 2025.
The Subsea segment is projected to exceed £38 million in EBITDA by 2026. Titan’s international business grew 50% year-over-year, while the company navigated a 500% surge in tungsten costs without eroding margins. Hunting secured a £16 million order from a new independent operator in the Gulf of America and reduced headcount by 24% compared with 2019. Treasury share purchases rose 300% to fund long-term incentive programs without share dilution.
