Nabors Industries Ltd. · NYSE:NBR
Nabors Industries — Q2 2016 Earnings Presentation
11 slides from Nabors Industries's earnings presentation, Aug 3, 2016
Slide 1: Forward-Looking Statements
2 We often discuss expectations regarding our markets, demand for our products and services, and our future performance in our annual and quarterly reports, press releases, and other written and oral statements. Such statements, including statements in this document incorporated by reference that re
Slide 2: Forward-Looking Statements
Forward-Looking Statements We often discuss expectations regarding our markets, demand for our products and services, and our future performance in our annual and quarterly reports, press releases, and other written and oral statements. Such statements, including statements in this document incorpor
Slide 3: Financial Summary
4 Financial Summary Diluted Earnings (Losses) Per Share from continuing operations Includes 23¢ per share of tax expense Includes 7¢ per share in favorable tax adjustments as well as charges and impairments of 79¢ per share related to our equity investment in C&J Energy Services, Ltd., other small a
Slide 4: Current Debt and Liquidity
5 Current Debt and Liquidity 1. Capitalization defined as Net Debt plus Shareholders’ Equity 2. Coverage defined as TTM Adjusted EBITDA / TTM Interest Expense 3. Leverage defined as Total Debt / TTM Adjusted EBITDA Note: Subtotals may not foot due to rounding High 1Q16 2Q16 Change Change ($MM's) 3/3
Slide 5: Current Debt and Liquidity
Current Debt and Liquidity High 1016 2016 Change Change (sMm's) 3131/2012__3/31/2016 __6/30/2016__1Q16 to 2Q16_2Q16 from High Total Debt $4,750 $3,590 $3,503 ($87) ($1,247) Cash and ST Investments 494 222 256 34 (238) Net Debt $4,256 $3,369 $3,247 ($121) ($1,009) Shareholder’s Equity 5811 3,904 3,71
Slide 6: 2Q16 Rig Utilization & Availability
7 2Q16 Rig Utilization & Availability As of 6/30/16 Note: Subtotals may not foot due to rounding Rig Fleet(1) 2Q16 Rig Years(2) Average Utilization U.S. Lower 48 AC 175 44 25% Legacy 47 1 1% U.S. Lower 48 Total 222 44 20% U.S. Offshore 17 6 35% Alaska 16 3 21% Canada 54 4 8% International 161 101 63
Slide 7: 6/30/16 U.S. Rig Utilization Power Type and Capacity
8 6/30/16 U.S. Rig Utilization Power Type and Capacity * Including seven (7) rigs stacked on rate Walking Skidding Pad Not Pad Total Capable Capable Rigs Work. Total Util. Work. Total Util. Work. Total Total Work. Total Util. Work. Total Util. AC 39* 124 31% 4 18 22% 43* 142 30% 5 33 15% 48 175 27%
Slide 8: 6/30/16 International Working Rigs
9 6/30/16 International Working Rigs Total 102 Algeria 9 India 3 Malaysia 1 Russia 3 Argentina 20 Italy 1 Mexico 1 Saudi 42 Colombia 4 Kazakhstan 2 Oman 5 Venezuela 5 Ecuador 3 Kuwait 2 PNG 1
Slide 9: 6/30/16 International Working Rigs
30/16 International Working Rigs igeria 9] india 3 falaysia 1 ussia 3 rgentina — 20| italy 1 lexico 1 audi 42 lombia 4 azakhstan 2 man 5| Nenezuela 5 2 1 ccuador 3 NG ‘ ) NABORS
Slide 10: Rig Margins & Activity
11 Rig Margins & Activity (1) Margin = gross margin per rig per day for the period. Gross margin is computed by subtracting direct costs from operating revenues for the period. 3Q15 4Q15 1Q16 2Q16 Drilling Margin (1) Rig Yrs Margin (1) Rig Yrs Margin (1) Rig Yrs Margin (1) Rig Yrs U.S. Drilling $11,
Slide 11: Rig Margins & Activity
Rig Margins & Activity 3Q15 4Q15 1Q16 2Q16 Drilling Margin Rig Yrs [Margin Rig Yrs [Margin Rig Yrs |Margin) Rig Yrs U.S. Drilling | $11,177 103.0 | $12,274 91.0 | $10,043 64.9 | $12,274 53.7 Canada 6,349 17.2 9,473 14.4 3,585 12.5 5,484 4.2 International] 18,613 121.3 | 16,321 117.5 | 16,489 110.5 |