Get 40% Off
🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

DNOW misses Q1 earnings, revenue estimates; Raises FY guidance

EditorRachael Rajan
Published 05/10/2024, 07:13 AM
© Reuters.
DNOW
-

HOUSTON - DNOW Inc. (NYSE: DNOW) reported its first-quarter financial results, revealing earnings that fell short of Wall Street expectations. The company announced an adjusted EPS of $0.21, which was $0.03 below the analyst consensus of $0.24. Revenue for the quarter was also below expectations at $563 million, compared to the consensus estimate of $567.87 million.

In comparison to the same period last year, the company's revenue experienced a slight decrease. Despite this, DNOW Inc. expressed confidence in its performance and future prospects. David Cherechinsky, President and CEO of DNOW, commented on the company's robust free cash flow of $80 million and the successful acquisition of Whitco Supply LLC, which has bolstered the company's capabilities in the U.S. midstream market.

The CEO's optimism is further reflected in the company's upgraded full-year outlook for 2024. DNOW now anticipates revenue growth in the mid-to-high single-digit percentage range, with a projected second-quarter revenue increase of ten to fifteen percent, assuming heightened market activity.

DNOW ended the first quarter debt-free, with $188 million in cash, following the strategic acquisition of Whitco Supply. The company's solid balance sheet and diversified customer base are seen as key factors in its positive outlook for the remainder of the year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.