Slide 1: Key Takeaways First Quarter 2023
Key Takeaways FIRST QUARTER 2023
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: 1Q23 Key Takeaways
1Q23 Key Takeaways ▪ Revenue of $584M, up 7% sequentially, and up 23% year-over-year, compared to global rig count growth of 15% year-over-year ▪ GAAP Net Income attributable to NOW Inc. of $31M; GAAP EPS attributable to NOW Inc. stockholders of $0.28 ▪ Non-GAAP Net Income* of $28M; Non-GAAP diluted
Slide 4: Key Market Indicators
Key Market Indicators WTI/Rig Counts U.S. DUCs* U.S. Completions* ▪ WTI avg of $76 per barrel for 1Q23, ▪ March ended with a DUC count of ▪ March ended with a U.S. down 8% sequentially 4,676 wells in EIA regions completions count of 999 wells in EIA regions ▪ U.S. avg rig count of 761, lower ▪ 1Q23
Slide 5: 1Q23 Segment Results
1Q23 Segment Results Solid performance led by growth in U.S. and International on a year-over-year basis ▪ United States ▪ Revenue growth aided by the strengthening in U.S. drilling and completions activity ▪ Operating profit improvement driven by revenue growth and better gross margins ▪ Canada ▪ R
Slide 6: Selected Quarterly Results
Selected Quarterly Results Revenue & Gross Margin Percent Free Cash Flow ($ in millions) ($ in millions) $44 24.1% 24.1% 23.7% 23.4% 23.5% $22 22.6% $7 $4 $1 21.9% 21.3% $577 $584 $(5) $539 $547 20.8% $473 $(11) $439 $432 $400 $361 $(22) $(35) 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 1Q21 2Q21 3
Slide 7: Selected Quarterly Results
Selected Quarterly Results Net Income (Loss) attributable to NOW Inc. excl. Other EBITDA excl. Other Costs (Non-GAAP) ($ in millions) Costs (Non-GAAP) ($ in millions) ($ in millions) 9.2% 8.7% 8.6% 8.0% 5.9% 3.9% 3.9% $53 $34 $47 $47 $47 $29 $29 $28 2.0% $28 $15 0.8% $17 $17 $8 $3 $8 $6 $0 1Q21 2Q21
Slide 8: Selected Quarterly Results
Selected Quarterly Results Working Capital excl. Cash Total Liquidity at March 31, 2023 ($ in millions) ($ in millions) 16.7% 17.6% 15.3% 14.3% 14.5% 13.6% $168 12.3% 11.6% 10.6% $555 million $410 $366 Total Liquidity $329 $329 $258 $210 $197 $201 $187 $387 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q
Slide 9: Share Repurchases
Share Repurchases $80 million share repurchase Share Repurchases program (in millions) $40 $36 ▪ Repurchased $36M of shares during $35 $30 the quarter, with $43M accumulated $25 through 1Q23 $20 ▪ Shares retired at average price of $15 $10 $10.91 per share in 1Q23 $4 $3 $5 ▪ Program authorized Augus
Slide 10: CEO Wrap-Up and Guidance
CEO Wrap-Up and Guidance ▪ Solid operational execution, growth in all three reporting segments ▪ Strong International performance as revenue climbed 28% sequentially ▪ Completed two acquisitions in May 2023 to fortify the U.S. Process Solutions pump and seal distribution and service territories ▪ Re