Slide 1: Second Quarter 2025 Earnings Presentation
Second Quarter 2025 Earnings Presentation August 6, 2025
Slide 2: Disclosure Statement
Disclosure Statement Statements made in the course of this presentation that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. It is important to note that the Company's actual results could differ materially fro
Slide 3: Company Overview
Company Overview NYSE: DNOW 160 2,575 LOCATIONS EMPLOYEES Leading energy and industrial distributor and supply chain solutions company Operating for over 160 years Headquartered in Houston, Texas Comprehensive network of energy centers, customer onsite and process solutions locations, complemented w
Slide 4: Second Quarter 2025 Achievements and Highlights
Second Quarter 2025 Achievements and Highlights $628M $25M $29M REVENUE GAAP NET INCOME NON-GAAP NET INCOME Up 5% sequentially, at the top- attributable to DNOW Inc; GAAP attributable to DNOW Inc, end of our guided range diluted EPS attributable to excluding other costs; Non- DNOW Inc. stockholders
Slide 5: Capital Allocation Framework
Capital Allocation Framework Formidable Balance … to fund growth and capital allocation program Sheet… Fund organic growth Inorganic growth Working Capital Efficiency and efficient operations through acquisitions Efficient use of working capital as Working Capital needs Patient, disciplined a percen
Slide 6: Combining Value-Creating Transaction for DNOW and MRC Global
Value-Creating Creates a Premier Transaction for Energy and Industrial DNOW and MRC Solutions Provider COMBINING Shareholders Joins Highly Strengthens Global Complementary Reach in Attractive Footprints Across Key Growth Sectors Energy and Industrial Hubs in the U.S. Greatly Increases Combines and S
Slide 7: 2Q25 Segment Results
2Q25 Segment Results (Year-over-Year) 2Q24 2Q25 Var. Var. % United States $512 $528 $16 3% Canada 56 48 -8 -14% United States International 65 52 -13 -20% Revenue increased primarily due to contributions from an Revenue $633 $628 -$5 -1% acquisition completed in the fourth quarter 2024; partially of
Slide 8: Selected Quarterly Results
Selected Quarterly Results Net Income attributable to DNOW Inc. Revenue & Gross Margin Percent ($ in millions) excl. Other Costs (Non-GAAP) ($ in millions) 27.0% 25.0% 23.4% 23.3%* 23.2%* 22.8% 22.9%* 22.9% 22.6% 23.0% 22.3% 21.8%* 21.0% $29 $633 $606 $628 $594 $588 $599 $28 $28 $555 $563 $571 $27 $
Slide 9: Selected Quarterly Results
Selected Quarterly Results EBITDA excl. Other Costs (Non-GAAP) Free Cash Flow* ($ in millions) ($ in millions) 8.1% 7.9% 7.8% 7.9% 7.9% 7.9% 7.7% $119 6.9% 6.9% $103 $79 $80 $72 $51 $50 $47 $46 $45 $46 $41 $44 $42 $39 $18 $0 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 EBITDA excl. Other Costs % $(2
Slide 10: Selected Quarterly Results
Selected Quarterly Results Working Capital excl. Cash and as % of Revenue Total Liquidity at June 30, 2025 ($ in millions) ($ in millions) 17.7% 17.5% 16.4% 16.2% 15.6% 15.8% 15.7% 15.6% 14.4% $232 $582 in Total Liquidity $416 $414 $395 $380 $388 $393 $371 $350 $351 $330 2Q23 3Q23 4Q23 1Q24 2Q24 3Q2
Slide 11: Strategic Growth Plan to Increase Shareholder Value
Strategic Growth Plan to Increase Shareholder Value Focused on growing sustainable earnings and free cash flow through the cycle Inorganic accumulation Share buyback strategy to grow program earnings and FCF Support organic Repurchased $19M in Announced DNOW/ growth through free Additional growth sh
Slide 12: Significantly Strengthened Financial Performance Over Time
Significantly Strengthened Financial Performance Over Time Key trends and financial performance as market activity changes 2H 20141 2018 2023 2024 1H 2025 U.S. Rigs2 1,907 1,032 689 600 580 U.S. Completions3 6,865 4,172 3,241 2,950 2,904 WW Rigs2 3,635 2,211 1,814 1,735 1,653 Revenue $2.1B $3.1B $2.
Slide 13: 2Q 2025 Key Takeaways
2Q 2025 Key Takeaways Strong first half to 2025, growing Announced merger agreement second quarter sequential with MRC Global, creating a Outlook revenue and EBITDA through the premier energy and industrial continued execution of our solutions provider, greatly 3Q25 revenue expected to growth strate
Slide 14: Investor Relations
Investor Relations Brad Wise Vice President, Digital Strategy & Investor Relations Contact email: ir@dnow.com For the most recent investor presentation, please click here