WFRD · Weatherford International Q2 FY2026 earnings call record财报电话会记录

“To summarize our Q2 2026 performance, we delivered revenue of $1.105 billion, adjusted EBITDA of $223 million at a 20.2% margin, and adjusted free cash flow of $139 million, representing a 62.3% conversion on adjusted EBITDA.”

“This compares favorably to the 31.1% conversion we delivered in the second quarter of 2025 and the 36.5% conversion we delivered in the first quarter of this year and was driven primarily by working capital release, continued collections, including from our key customer in Mexico, and lower capital expenditures.”

“In the second quarter of 2026, we returned $36 million to shareholders, comprising $20 million in dividends and $16 million in share repurchases.”

“Adjusted free cash flow conversion is now expected to be in the mid to high 40% range, an increase from our prior outlook, and our effective tax rate is expected to be in the low to mid 20% range for 2026.”

“We delivered $139 million of adjusted free cash flow at a 62.3% conversion, an adjusted free cash flow margin of 13% of revenue in a quarter with meaningful operational disruption.”

“What I am supremely confident of is that we have a backlog right now, as well as a pipeline in front of us that allows us to go get that higher margin.”

“Girish, you mentioned that the Mid East headwind was largely in line with your $30 million-$50 million estimate in the first half, and that the impact will obviously continue in the second half.”

“I am not going to give an outlook and guidance for 2027 right now, but I think it is suffice to say that we are well-positioned, and 2027 should definitely be a year of growth for us.”

“Maybe this is for Anuj, but could you talk about just kind of your revised outlook for free cash flow conversion, given what second quarter looked like, kind of the fact that you're now in this mid to upper 40%s getting close to your 50% number.”

“The aim is to take that CapEx to high-grade EBITDA, to high-grade EBITDA margin, and then be vigilant in converting that to a 50% free cash flow number.”

“A lot of customers I talk to are struggling with this notion of they have a lot of data, and they have it from different vintages, they have it from different acquisitions, and they have a big data lake, and they're able to put it all together.”

“To make sense of that data is the challenge, and that's where we have a very compelling offering with our UDM, with PetroVisor, that allows customers to say, okay, this is how I normalize things and harmonize them together.”