Oil States International (OIS) Q2 2026 Earnings Call Transcript
Oil States International (OIS) reported Q2 2026 revenue of $157 million and adjusted EBITDA of $19 million, up 8% and 14% sequentially. Net income was $6 million ($0.10/share), with adjusted net income $8 million ($0.14/share) excluding convertible note and other charges. Backlog rose to $451 million, with 1.2x book-to-bill. Cash used in operations was $6 million.
How this was made
The 30-second read
Why it matters
Traders can update expectations for full-year order conversion and margin trajectory based on the decade-high backlog, reiterated book-to-bill target (1x or greater), and explicit second-half dependencies on pricing discipline, product mix, and raw material availability.
Market read
The call combines strong order momentum (backlog and book-to-bill) with identifiable cost/supply constraints, which should drive near-term positioning around margin and revenue conversion.
What to watch
Margin risk is tied to specific constrained inputs (tungsten, explosive powder, copper) and powder availability; if these worsen, the stated pricing discipline may not fully protect EBITDA.
Background
Oil States International held its Q2 2026 earnings call, covering consolidated results, segment performance, backlog/book-to-bill, cash flow, and balance-sheet actions.
Ticker impact
Oil States reported Q2 2026 revenues of $157M and adjusted EBITDA of $19M, plus a decade-high $451M backlog and 1.2x book-to-bill.
Near-term bias modestly positive, with upside sensitivity to any confirmation that pricing discipline offsets raw-material headwinds.
The article provides multiple concrete operating metrics (revenue, EBITDA, backlog, book-to-bill) and identifies specific margin headwinds, which typically drive earnings revisions and order-flow expectations.
Market effects
Reinforces demand visibility in offshore, deepwater, subsea, and military-linked downhole/offshore manufactured products, while underscoring supply-chain constraints for shaped-charge inputs.
Highlights continued offshore and international revenue mix shift, which can influence sentiment toward non-US upstream capex cycles.
Connects order visibility to geopolitical and defense program demand, while commodity volatility and OPEC+ policy are cited as ongoing macro drivers.
Counterpoint
Backlog strength may be skewed toward multi-year military programs, which could mask weaker timing in commercial drilling and connector/production facility orders.
Key entities
- companyOil States International
Reported Q2 2026 financial and operating results, including segment EBITDA margins, backlog, and book-to-bill, and discussed margin headwinds from shaped-charge input costs and powder availability.
