Core Laboratories Q3 revenue slightly misses estimates on project delays
Overview
Oilfield services provider's Q3 revenue slightly missed analyst expectations, up 6% sequentially
Adjusted EPS for Q3 met consensus
Company repurchased 87,873 shares for $1.1 mln during the quarter
Outlook
Core Labs sees Q4 2026 revenue between $128.5 mln and $134.5 mln
Company expects Q4 2026 EPS of $0.12 to $0.20
Core Labs expects Q4 revenue to remain relatively flat sequentially due to Middle East disruptions
Result Drivers
INTERNATIONAL DEMAND - Co said increased demand across Europe-Africa, Asia-Pacific, Latin America and Middle East drove sequential revenue growth in Reservoir Description segment
US PRODUCT SALES - Co said Production Enhancement segment revenue growth was led by strong US product sales, benefiting from improved land completion activity and increased adoption of proprietary technologies
PROJECT DELAYS - Co said timing of diagnostic service activity in Gulf of America, with several large projects delayed, partially offset gains in Production Enhancement segment
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Miss* | $132.10 mln | $132.14 mln (3 Analysts) |
Q3 Adjusted EPS | Meet | $0.16 | $0.16 (3 Analysts) |
Q3 EPS | $0.12 |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy."
Wall Street's median 12-month price target for Core Laboratories Inc. is $13.00, about 23.9% above its October 28 closing price of $10.49
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 16 three months ago
Reuters Recommended Reads
Oct 28 - Oilfield services firms lean on Middle East rebound but risks persist
Oct 27 - Baker Hughes Q3 net income down by a third on Chart deal costs despite revenue, adj EPS beat
Oct 27 - NOV Q3 revenue beats estimates on Middle East demand
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)