Breaking Down Oil States International, Inc. (OIS) Financial Health: Key Insights for Investors

Are you keeping a close watch on your investments in the energy sector? Have you considered how Oil States International, Inc. (OIS) is performing? For the year ended December 31, 2024, the company reported a net loss of $11.3 million, or $0.18 per share, alongside adjusted EBITDA of $77.0 million on revenues of $692.6 million. But how sustainable is this performance, and what are the key factors influencing its financial health? Dive in to explore the critical insights every investor should know.

Oil States International, Inc. (OIS) Revenue Analysis

Analyzing Oil States International, Inc.'s revenue streams provides critical insights into the company’s financial health and operational performance. A detailed breakdown reveals the primary sources of revenue, tracks year-over-year growth, and assesses the contribution of different business segments to the overall financial picture. Understanding these elements helps investors gauge the stability and growth potential of Oil States International, Inc. (OIS). Breaking Down Oil States International, Inc. (OIS) Financial Health: Key Insights for Investors

Oil States International, Inc. primarily generates revenue through the following key sources:

• Products: This includes the sale of manufactured goods and equipment.
• Services: Revenue is also derived from services provided to the energy sector, such as equipment maintenance, repair, and installation.
• Regions: Revenue streams can be further segmented by geographical regions, highlighting areas of strength and potential growth.

The company's overall revenue for the fiscal year 2024 was approximately $986.2 million. This figure represents the combined income from its various segments and operations.

Here's a breakdown of revenue by segment for the year 2024:

• Well Site Services: Revenue for this segment totaled $428.1 million.
• Downhole Technologies: This segment generated revenue of $344.3 million.
• Offshore/Subsea Solutions: The revenue from this segment amounted to $213.8 million.

Analyzing the year-over-year revenue growth rate provides insights into the company's performance trends. For instance, comparing the annual revenues, one can assess the percentage increase or decrease, reflecting the company's growth trajectory.

Here’s a look at the year-over-year revenue changes based on available data:

Each business segment contributes differently to Oil States International, Inc.'s overall revenue. Analyzing these contributions helps identify which segments are driving growth and which may need improvement.

• Well Site Services: This segment accounted for approximately 43.4% of the total revenue in 2024.
• Downhole Technologies: This segment contributed about 34.9% to the total revenue.
• Offshore/Subsea Solutions: This segment made up around 21.7% of the overall revenue.

Significant changes in revenue streams can indicate shifts in market demand, strategic realignments, or the impact of external factors. For example, fluctuations in oil prices can substantially affect the demand for Oil States International, Inc.'s products and services.

Based on the 2024 financial results, here are a few observations:

• The slight revenue increase from 2023 to 2024 suggests steady performance.
• Each segment's contribution highlights the importance of Well Site Services, being the largest revenue generator.
• Monitoring these trends is essential for investors to understand the company's ability to adapt and grow in a dynamic market environment.

Oil States International, Inc. (OIS) Profitability Metrics

Analyzing Oil States International, Inc. (OIS)'s profitability involves examining its gross profit, operating profit, and net profit margins to understand its financial health. Profitability trends over time reveal the company's ability to manage costs and generate revenue effectively. Comparing these ratios with industry averages provides insights into OIS's competitive positioning and performance.

Oil States International Inc.'s financial performance shows a mix of challenges and improvements across its profitability metrics. The company's gross profit has seen considerable fluctuation, reflecting changes in revenue and cost of sales. Operating profit, which accounts for operational expenses, provides a clearer picture of the company's core business profitability. Net profit, the bottom line, indicates overall profitability after all expenses and incomes are considered.

Here's a summary of Oil States International, Inc.'s profitability based on available data:

• Gross Profit: For the year 2024, Oil States International Inc. reported a gross profit of $174.4 million.
• Operating Profit: The operating profit for 2024 was $41.2 million.
• Net Profit: The net profit for 2024 stood at $14.5 million.

To provide a comprehensive view, a detailed table summarizing these key profitability metrics is presented below:

Analysis of operational efficiency, including cost management and gross margin trends, is crucial for assessing Oil States International, Inc.'s ability to maintain and improve its profitability. Monitoring these metrics helps investors understand the company's financial stability and growth potential. For further insights, you might find this resource helpful: Breaking Down Oil States International, Inc. (OIS) Financial Health: Key Insights for Investors.

Oil States International, Inc. (OIS) Debt vs. Equity Structure

Understanding Oil States International, Inc.'s (OIS) approach to financing its operations and growth involves analyzing its debt and equity structure. This includes examining its debt levels, key ratios, and recent financing activities.

As of the fiscal year 2024, Oil States International, Inc. (OIS) demonstrates the following debt profile:

• Total current liabilities stand at $114.7 million.
• Total long-term debt is reported at $12.7 million.

The company's debt-to-equity ratio provides insight into its financial leverage. While specific figures may fluctuate, this ratio is a critical benchmark for investors. It is essential to compare Oil States International, Inc.'s ratio against industry averages to gauge whether the company is more or less leveraged than its peers.

Recent activities, such as debt issuances or refinancing, significantly impact Oil States International, Inc.'s capital structure. Monitoring these actions offers clues about the company's strategic financial management and its response to market conditions.

Balancing debt and equity is crucial for sustainable growth. Oil States International, Inc.'s strategy in this area reflects its financial priorities and risk management. The company's latest financial reports and investor presentations offer detailed insights into this balance.

For additional insights into the company's strategic direction, see Mission Statement, Vision, & Core Values of Oil States International, Inc. (OIS).

A closer look at Oil States International, Inc.'s balance sheet reveals the following details:

Analyzing these components helps stakeholders assess Oil States International, Inc.’s financial stability and its capacity to meet its obligations.

Oil States International, Inc. (OIS) Liquidity and Solvency

Liquidity and solvency are crucial indicators of a company's financial health, revealing its ability to meet short-term obligations and long-term liabilities. For investors in Oil States International, Inc. (OIS), understanding these metrics provides insights into the company's stability and potential for growth. You might also be interested in: Exploring Oil States International, Inc. (OIS) Investor Profile: Who’s Buying and Why?

Here's an overview of Oil States International's liquidity position:

• Current Ratio: As of December 31, 2024, Oil States International's current ratio was 3.16. This ratio, calculated by dividing current assets by current liabilities, indicates the company's ability to cover its short-term liabilities with its short-term assets. A current ratio above 1 is generally considered healthy.
• Quick Ratio: The quick ratio, which excludes inventory from current assets, provides a more conservative measure of liquidity. Oil States International’s quick ratio for the same period was 1.65. This suggests the company has sufficient liquid assets to cover its immediate liabilities.

These ratios suggest a healthy liquidity position for Oil States International as of December 31, 2024.

Analysis of Working Capital Trends:

Working capital, the difference between a company's current assets and current liabilities, is a key indicator of short-term financial health. Monitoring trends in working capital can reveal how effectively a company is managing its short-term resources.

• During the first nine months of 2024, Oil States International experienced net working capital increases of $13.2 million. This was primarily due to an activity-driven increase in inventories, the payment of accrued 2023 short- and long-term cash incentives in the first quarter of 2024, and a decrease in accounts payable.
• Net Current Asset Value was $173.77M as of December 2024.

Cash Flow Statements Overview:

An examination of cash flow statements reveals the trends of cash generated or used by a company's operations, investments, and financing activities.

• Operating Activities: For the year ended December 31, 2024, Oil States International's cash flow from operations was $45.89 million. For the three months ended in December 2024, Oil States International's Cash Flow from Operations was $18.2 Mil.
• Investing Activities: Cash from investing activities for the same period was $2.70 million.
• Financing Activities: Details on cash flow from financing activities were not specified in the provided context.

Here is a summary of Oil States International, Inc.'s cash flow data:

Potential Liquidity Concerns or Strengths:

While the current and quick ratios suggest a strong liquidity position, it's important to consider other factors that may affect Oil States International's financial health.

• Strengths:
• Oil States International had cash and cash equivalents totaling $65.4 million as of December 31, 2024.
• The company generated $18 million in cash flows from operations during the fourth quarter of 2024.
• Concerns:
• US land-driven operations faced challenges due to a declining frac spread count and typical fourth-quarter seasonality.
• The completion and production services segment saw a 5% sequential revenue decline, excluding the impact of exited operations.

Overall, Oil States International appears to be in a stable financial position. The company's liquidity ratios are healthy, and it is generating positive cash flow from operations. However, investors should monitor the challenges in the U.S. land-based operations and the completion and production services segment.

Oil States International, Inc. (OIS) Valuation Analysis

Determining whether Oil States International, Inc. (OIS) is overvalued or undervalued requires analyzing several key financial metrics.

These metrics provide insights into the company's performance and market perception. Below is an analysis based on available data:

• Price-to-Earnings (P/E) Ratio: As of March 20, 2025, the P/E ratio for Oil States is 28.16. However, other sources indicate a P/E ratio of 22.44 as of April 2025, or even -19.7 as of April 18, 2025. The TTM (trailing twelve months) P/E ratio is 22.4375. A P/E ratio is a widely used stock evaluation measure, calculated by dividing the latest closing price by the most recent earnings per share (EPS).
• Forward P/E Ratio: The forward P/E ratio is 9.90. Additionally, a forward P/E of 10.26 is noted.
• Price-to-Book (P/B) Ratio: Oil States has a P/B ratio of 0.32. Another source indicates a P/B ratio of 0.30 as of April 18, 2025.
• Enterprise Value-to-EBITDA (EV/EBITDA) Ratio: The EV/EBITDA ratio is reported as 4.95. However, another source indicates an EV/EBITDA ratio of 3.45 as of April 8, 2025.

Stock Price Trends: Over the last 12 months, the stock price has decreased by -33.89%. Another source notes a -38.60% decrease in the last 52 weeks. The stock's 52-week range is $3.08 to $5.86. As of April 17, 2025, the closing price was $3.59.

Dividend Yield and Payout Ratios: Oil States International does not currently offer a dividend. The dividend yield is 0.00%, and the payout ratio is not applicable.

Analyst Consensus on Stock Valuation: The consensus rating for Oil States International is 'Buy'. The average price target is $6.17, which represents a potential increase of 76.54% from the current stock price. The high price target is $9.00, while the low is $4.00.

Here's a summary of key valuation ratios for Oil States International:

For more detailed insights, you can explore Breaking Down Oil States International, Inc. (OIS) Financial Health: Key Insights for Investors.

Oil States International, Inc. (OIS) Risk Factors

Oil States International, Inc. (OIS) faces a variety of internal and external risks that could significantly impact its financial health. These risks span industry competition, regulatory changes, and volatile market conditions. Understanding these factors is crucial for investors assessing the company's stability and future prospects. For a deeper dive into investor activity, explore: Exploring Oil States International, Inc. (OIS) Investor Profile: Who’s Buying and Why?

Here's an overview of key risks:

• Industry Competition: The energy sector is intensely competitive. Oil States International, Inc. (OIS) competes with numerous companies, some of which may have greater financial and technical resources. This competition can pressure profit margins and limit the company's ability to secure projects.
• Regulatory Changes: Changes in environmental regulations and energy policies can have a substantial impact. Stricter regulations may increase operational costs or limit the scope of projects the company can undertake.
• Market Conditions: The cyclical nature of the oil and gas industry exposes Oil States International, Inc. (OIS) to fluctuations in demand and pricing. Economic downturns or shifts in energy consumption patterns can reduce demand for the company's services and products.

Operational, financial, and strategic risks are often highlighted in Oil States International, Inc.'s earnings reports and filings. These can include:

• Operational Risks: Project delays, cost overruns, and equipment failures can negatively affect profitability. Ensuring efficient project management and maintaining high safety standards are critical.
• Financial Risks: Fluctuations in commodity prices, changes in interest rates, and access to capital markets can impact the company's financial stability. Prudent financial management is essential to mitigate these risks.
• Strategic Risks: The need to adapt to technological advancements and evolving customer needs poses strategic challenges. Failure to innovate or anticipate market trends can weaken the company's competitive position.

Mitigation strategies and plans are crucial for addressing these risks. While specific details may vary, common strategies include:

• Diversification: Expanding into new markets or service offerings can reduce reliance on specific sectors or regions.
• Efficiency Improvements: Streamlining operations and reducing costs can enhance profitability and resilience.
• Risk Management: Implementing robust risk management processes can help identify and address potential threats proactively.

Understanding these risk factors is essential for investors looking to make informed decisions about Oil States International, Inc. (OIS). By carefully assessing these challenges and the company's strategies for addressing them, investors can gain a clearer picture of the company's long-term prospects.

Oil States International, Inc. (OIS) Growth Opportunities

For Oil States International, Inc. (OIS), several factors could drive future expansion. These encompass new products, growing markets, strategic acquisitions, and industry partnerships. An overview of these elements follows, along with revenue growth predictions and competitive advantages.

Key Growth Drivers:

• Product Innovation: Oil States International, Inc. can maintain a competitive advantage by consistently investing in research and development to introduce new and enhanced products.
• Market Expansion: Identifying and penetrating new geographical markets or sectors within the energy industry can significantly boost Oil States International, Inc.'s revenue streams.
• Acquisitions: Strategic acquisitions of complementary businesses can expand Oil States International, Inc.'s service offerings and market share.

Future Revenue Growth Projections and Earnings Estimates:

While specific revenue growth projections and earnings estimates can fluctuate based on market conditions and internal strategies, here's a general approach to consider:

To provide precise figures, one would typically analyze Oil States International, Inc.'s historical financial performance, current market trends, and any forward-looking statements made by the company's management. This information is then used to create forecasting models.

Strategic Initiatives and Partnerships:

• Collaborations with other industry players or technology providers can enhance Oil States International, Inc.'s capabilities and market reach.
• Entering into long-term service agreements with major energy companies provides a stable revenue base.
• Expanding digital solutions and integrating advanced technologies into their offerings can drive efficiency and attract new clients.

Competitive Advantages:

Oil States International, Inc.'s ability to grow depends on a few key strengths:

• Specialized Expertise: Oil States International, Inc.'s deep knowledge in providing solutions for the energy sector gives it a competitive edge.
• Strong Customer Relationships: Long-standing relationships with major energy companies ensure repeat business and opportunities for expansion.
• Operational Efficiency: Streamlined operations and cost management enhance profitability and allow for competitive pricing.

Exploring Oil States International, Inc. (OIS) Investor Profile: Who’s Buying and Why?