Shares of National Energy Services Reunited Corp. (NESR) tumbled 5.06% in pre-market trading on Tuesday following the release of its first-quarter earnings report. The oilfield services company's results revealed a significant revenue miss, disappointing investors and triggering a sell-off.
For the first quarter, National Energy Services Reunited reported adjusted earnings per share of $0.14, in line with analysts' expectations. However, the company's revenue of $303.1 million fell short of the estimated $341.73 million, representing an 11.30% miss. While the revenue showed a modest year-over-year increase of 2.11% from $296.85 million in the same period last year, the growth rate appears to have underwhelmed market participants.
Other key financial metrics from the report included a net income of $10.4 million and adjusted EBITDA of $62.5 million. The company's adjusted net income stood at $13 million for the quarter. Despite these figures, the revenue shortfall seems to be the primary driver of the stock's pre-market decline, as investors reassess the company's growth prospects in the current economic environment.
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