Drilling Tools International Corporation · NASDAQ:DTI
Drilling Tools International — Q1 2026 Earnings Presentation
42 slides from Drilling Tools International's earnings presentation, May 8, 2026
Slide 1: Investor Presentation Summer 2026
NASDAQ: DTI INVESTOR PRESENTATION SUMMER 2026 DRILLINGTOOLS.COM
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS General: Drilling Tools International Corporation (“DTI”) is making this presentation available in connection with the release of its financial results for the three months ended March 31, 2026. The information contained in this presentation does not purport to be all-incl
Slide 3: Built for Outperformance: Overview by the CEO
OVERVIEW BY THE CEO BUILT FOR OUTPERFORMANCE At DTI, we’re focused on execution, innovation and building for the future. The energy landscape is constantly evolving and so are the needs of our customers. This level of change requires great companies that can anticipate, adapt and overcome. I firmly
Slide 4: The Lifecycle to Provide Mission Critical Drilling Tools
THE LIFECYCLE TO PROVIDE MISSION CRITICAL DRILLING TOOLS Sustainable Financial Results Expanding Global Footprint DTI continues to expand globally with extensive $38.0 Million $7.5 Million operations in North America, Europe, Middle East, Q1 2026 revenue reflects Q1 2026 Adj. EBITDA Africa and throu
Slide 5: Blue Chip Customer Base Across E&P and OFS Companies
BLUE CHIP CUSTOMER BASE ACROSS E&P AND OFS COMPANIES 5
Slide 6: DTI Leadership Team
DTI LEADERSHIP TEAM EXPERIENCE MATTERS Experienced, talented, and committed management team with history of success WAYNE PREJEAN DAVID JOHNSON Chair of the Board & Chief Financial Officer Chief Executive Officer MIKE DOMINO ALDO RODRIGUEZ TRENT POPE ASHLEY LANE Executive Vice President Executive Vi
Slide 7: Our Customers & Why They Rent Tools
OUR CUSTOMERS & WHY THEY RENT TOOLS Benefits operators receive from Complex drilling, completions, and workover renting tools programs lead most operators and service providers to focus on core competencies while preferring to ► Outsources Logistics, Inspection, Storage & Maintenance rely on third-p
Slide 8: Comprehensive Offering to Supply Downhole Technology
COMPREHENSIVE OFFERING TO SUPPLY DOWNHOLE TECHNOLOGY ACROSS WELL CONSTRUCTION AND ABANDONMENT OPERATIONS Differentiated and extensive inventory of tools to address the wide-ranging needs of Oil & Gas customers across all regions Crossover Subs/Accessories Surface & Downhole Drill Pipe Heavy Weight R
Slide 9: Modern Manufacturing & Repair Services
MODERN MANUFACTURING & REPAIR SERVICES Responsive, Scalable Ability to manufacture most of our rental tools enables cost reduction & and Low Cost control of supply chain • We purchase premium drill pipe and tubing from reputable and qualified third parties Machine and repair equipment ensures produc
Slide 10: Key Operational Differentiators
KEY OPERATIONAL DIFFERENTIATORS COMPASS provides the customer traceability and transparency in the rental tool process. Proprietary COMPASS Order Customers can order their own tools online through Management System Compass with an “Amazon-style” experience. Unique, Proprietary Software and Support S
Slide 11: Executing Our Strategic Plan
EXECUTING OUR STRATEGIC PLAN DELIVERING RESILIENT RESULTS DTI ACHIEVEMENTS SINCE BECOMING A PUBLIC COMPANY IN JUNE 2023 ➢ Have grown annual Adjusted Free Cash Flow(1) each year since going public ➢ Maintaining healthy Adjusted Free Cash Flow Margins(2) ➢ Despite declining activity levels in 2025, Ad
Slide 12: Capital Allocation Strategy
Capital Allocation Strategy Prioritizing Financial Strength Through Disciplined Approach ► Maintenance & Organic Growth Investments ► Unique CapEx lever that enables DTI to selectively deploy “The completion of the HHEP share capital for future strategic growth or harvest Adj. Free Cash distribution
Slide 13: Organic Growth Drivers
ORGANIC GROWTH DRIVERS ✓ Results will include contributions from all acquisitions to date ✓ Leverage our global footprint of distribution and sales channel to market ✓ Expand scope of tools & services through technological advancements ✓ Leading edge downhole technology for extended reach drilling ✓
Slide 14: M&A Growth Strategy: Significant Consolidation Upside
M&A GROWTH STRATEGY: SIGNIFICANT CONSOLIDATION UPSIDE DTI has established a framework and robust pipeline to strategically consolidate the oilfield service rental tool industry through accretive acquisitions Large Fragmented Industry Large universe of potential targets – primarily smaller, specializ
Slide 15: M&A Growth Strategy: M&A Pipeline
M&A GROWTH STRATEGY: SIGNIFICANT CONSOLIDATION UPSIDE M&A Pipeline Unlocking value through acquisition 500+ 100+ ~25 ~5 and integration 15
Slide 16: Synergies
SYNERGIES Clear path to margin enhancement Adjusted Free Cash Flow(1) Growth and free cash flow optimization $17.0M - $22.0M $19.2M Status update ► DTI has developed a proven integration playbook ► As targeted, DTI achieved 100% of the $4.5 million in previously announced SDPI synergies DTI in 2025
Slide 17: Sustainable Growth
SUSTAINABLE GROWTH (in millions) Revenue $200 2,000 1,950 (Global Rig Count) $175 $155-170 1,900 $159.6 1,850 $154.4 $150 1,800 $152.0 1,750 $125 1,700 1,650 $100 1,600 FY 23 FY 24 FY 25 FY 26E (2) (3) Revenue Annual Global Rig Count Adjusted Free Cash Flow (1) (in millions) $25 2,000 $17-22 1,950 (
Slide 18: Components of Adjusted EBITDA
COMPONENTS OF ADJUSTED EBITDA Leveraging flexibility to maintain capital discipline and harvest Adjusted Free Cash Flow Commentary Smart Capital Expenditures Adj. Free Cash Flow(1) can $7.3 be directly influenced by Growth CapEx strategy $24.1 $17.2 $17.0 - $22.0 $19.2 Growth CapEx is company funded
Slide 19: Peer Adj. Free Cash Flow Margin Comparisons
PEER ADJ. FREE CASH FLOW MARGIN(1) COMPARISONS 2025 Actual(2) 2026 Estimates(3) 30% 30% 25% 25% 20% 20% 15% 15% 10% 10% 5% 5% 0% 0% WHD XPRO BKR DTI RNGR OIS RES BOOM WHD XPRO BKR DTI RNGR OIS RES BOOM Tool recovery revenue Lost or damaged equipment charges, allows DTI to sustain its fleet, maintain
Slide 20: Significant Undervaluation Compared to Peers
Significant Undervaluation Compared to Peers (1) (2) EV/EBITDA (2025A) EV/EBITDA (2026E) DTI’s Peer DTI’s Peer Group Group 10.8x 9.2x 9.5x 8.5x 7.9x 8.1x 7.9x 6.6x 6.6x 4.7x 4.3x 4.2x Manufacturers NAM Land Diversified Offshore NAM Land Drilling Tools Diversified Manufacturers Offshore NAM Land NAM
Slide 21: New Geographic Segments
DRILLING TOOLS* INTERNATIONAL NEW GEOGRAPHIC SEGMENTS
Slide 22: Western Hemisphere Overview
WESTERN HEMISPHERE OVERVIEW Regional Highlights Revenue Contribution ► Sustainable rental activity with major market share ► Approximately 50% of all drilling rigs in NA Q1 2026 Sales(1) Product Rental utilize DTI tools and equipment ► Presence across all major basins in North America 83% Western $
Slide 23: Eastern Hemisphere Overview
EASTERN HEMISPHERE OVERVIEW Revenue Contribution(1) Regional Highlights ► Expanded international market share over the past Q1 2026 Sales(2) Product Rental twelve months with the acquisitions of Deep Casing Tools, European Drilling Projects and Titan Tools 17% Western $ 7.7M $ 25.7M ► Expect interna
Slide 24: Eastern Hemisphere Expansion for a Global Footprint
EASTERN HEMISPHERE EXPANSION FOR A GLOBAL FOOTPRINT GLOBAL REVENUE SPLIT WESTERN | EASTERN HEMISPHERE ~8% ‘24 ~14% ‘25 ~18% ‘26 “Our Eastern Hemisphere operations continue to experience immense growth since we began our consolidation journey in 2024. This global expansion led to our “One DTI” initia
Slide 25: 2026 Financial Outlook
2026 FINANCIAL OUTLOOK Delivering Adjusted Free Cash Flow Throughout The Cycle ✓ DTI expects to deliver solid Adjusted Free Cash Flow in 2026 despite muted Western Hemisphere Key guidance summary activity levels ($ thousands) FY 2026 Guidance(3) ✓ Diversified service portfolio Revenue $155,000 - $17
Slide 26: DTI's Differentiated Growth Strategy
DTI’S DIFFERENTIATED GROWTH STRATEGY Creates A Compelling Investment Profile 1 A Market Leader in Downhole Tools for the Oil & Gas Industry 2 Blue Chip Customers 3 Strategic Model Delivering Through-Cycle Outperformance 4 Proven Growth: Organic & M&A in Fragmented Industry 5 Strong Balance Sheet / L
Slide 27: Additional Information
DRILLING TOOLS* INTERNATIONAL ADDITIONAL INFORMATION
Slide 28: Organizational Structure
ORGANIZATIONAL STRUCTURE CORPORATE UPDATE HHEP Completes Share Distribution Board Refresh Improved float and liquidity 3 New Directors ➢ Approximately 90% of shares outstanding now in ➢ Ira H. Green, Daniel J. Kimes, Jeremy D. Thigpen public float ➢ Strengthened governance framework ➢ Former sponsor
Slide 29: Historical Footprint 2020 at a Glance
HISTORICAL FOOTPRINT 2020 AT A GLANCE 15 North America 0 Europe 0 Middle East 0 Asia 29
Slide 30: Eastern Hemisphere Expansion Current Footprint in 2026
EASTERN HEMISPHERE EXPANSION CURRENT FOOTPRINT IN 2026 15 North America 4 Europe 5 Middle East 2 Asia 30
Slide 31: Historical Product Line Adoption 2020 at a Glance
HISTORICAL PRODUCT LINE ADOPTION 2020 AT A GLANCE 31
Slide 32: Product Line Expansion Current Market Adoption in 2026
PRODUCT LINE EXPANSION CURRENT MARKET ADOPTION IN 2026 32
Slide 33: ESG & Safety Are Integral to Our Success
ESG & SAFETY ARE INTEGRAL TO OUR SUCCESS DTI is committed to environmental stewardship ✓ Continuous evaluations and control measures to ensure minimization of waste ✓ Pursuing highest levels of operational proficiency to reduce rework, and use of Environmental chemicals and waste ✓ Actively promotin
Slide 34: Financial Information
DRILLING TOOLS* INTERNATIONAL FINANCIAL INFORMATION
Slide 35: First Quarter 2026 Income Statement
FIRST QUARTER 2026 INCOME STATEMENT Drilling Tools International Corp. Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (In thousands of U.S. dollars and rounded) Three Months Ended March 31, 2026 2025 Revenue, net: Tool rental $ 28,910 $ 34,533 Product sale 9,049 8,347 Total reven
Slide 36: First Quarter 2026 Balance Sheet
FIRST QUARTER 2026 BALANCE SHEET Drilling Tools International Corp. Consolidated Balance Sheets (Unaudited) (In thousands of U.S. dollars and rounded) March 31, December 31, 2026 2025 ASSETS Current assets Cash $ 2,840 $ 3,648 Accounts receivable, net 40,335 37,683 Related party note receivable, cur
Slide 37: First Quarter 2026 Cash Flow Statement
FIRST QUARTER 2026 CASH FLOW STATEMENT Drilling Tools International Corp. Consolidated Statements of Cash Flows (Unaudited) (In thousands of U.S. dollars and rounded) For the three months ended March 31, 2026 2025 Cash flows from operating activities: Net income (loss) $ (1,538) $ (1,669) Adjustment
Slide 38: Reconciliation of First Quarter 2026 Adjusted EBITDA
RECONCILIATION OF FIRST QUARTER 2026 ADJUSTED EBITDA Drilling Tools International Corp. Reconciliation of GAAP to Non-GAAP Measures (Unaudited) (In thousands of U.S. dollars and rounded) Three months ended March 31, 2026 2025 Net income (loss) $ (1,538) $ (1,669) Add (deduct): Income tax expense (be
Slide 39: Reconciliation of First Quarter 2026 Adjusted Free Cash Flow
RECONCILIATION OF FIRST QUARTER 2026 ADJUSTED FREE CASH FLOW Drilling Tools International Corp. Reconciliation of GAAP to Non-GAAP Measures (Unaudited) (In thousands of U.S. dollars and rounded) Three months ended March 31, 2026 2025 Net income (loss) $ (1,538) $ (1,669) Add (deduct): Income tax exp
Slide 40: Reconciliation of First Quarter 2026 Adjusted Net Income (Loss)
RECONCILIATION OF FIRST QUARTER 2026 ADJUSTED NET INCOME (LOSS) Drilling Tools International Corp. Reconciliation of GAAP to Non-GAAP Measures (Unaudited) (In thousands of U.S. dollars and rounded) Three months ended March 31, 2026 2025 Net income (loss) $ (1,538) $ (1,669) Add (deduct): Transaction
Slide 41: Reconciliation of 2026 Outlook: Net Income to Adjusted EBITDA
RECONCILIATION OF 2026 OUTLOOK Net Income (Loss) to Adjusted EBITDA Drilling Tools International Corp. Reconciliation of Estimated Consolidated Net Income (Loss) to Adjusted EBITDA (In thousands of U.S. dollars and rounded) (Unaudited) Twelve Months Ended December 31, 2026 Low High Net income (loss)
Slide 42: Reconciliation of 2026 Outlook: Net Income to Adjusted Free Cash Flow
RECONCILIATION OF 2026 OUTLOOK Net Income (Loss) to Adjusted Free Cash Flow Drilling Tools International Corp. Reconciliation of Estimated Consolidated Net Income (Loss) to Adjusted Free Cash Flow (In thousands of U.S. dollars and rounded) (Unaudited) Twelve Months Ended December 31, 2026 Low High N
Drilling Tools International — Q1 2026 Earnings Presentation on 6ix