0001437749-26-004727
SEC filingRevenue declined 6.2% to $1.61B, but adjusted EBITDA grew 1.6% on margin improvement.
Expro Group Holdings N.V. describes itself as a leading provider of energy services working for clients across the entire well life cycle. The company offers cost-effective, innovative solutions with a focus on safety and service quality. With roots dating to 1938, Expro has approximately 8,500 employees and operates in over 50 countries, serving leading exploration and production companies in both onshore and offshore environments. Its portfolio spans well construction, well flow management, subsea well access, and well intervention and integrity.
Expro is organized into four geographic operating and reporting segments: North and Latin America (NLA), Europe and Sub-Saharan Africa (ESSA), Middle East and North Africa (MENA), and Asia-Pacific (APAC). For the year ended December 31, 2025, NLA contributed 34.7% of consolidated revenue, ESSA 30.3%, MENA 22.6%, and APAC 12.4%. Total revenue for 2025 was $1.607 billion.
Expro’s well construction offerings include tubular running services, cementing, downhole circulation tools, and hydraulic pipe recovery systems. Under well management, it provides well flow management systems, subsea well access solutions (including Subsea Test Tree Assemblies and Intervention Riser Systems), and well intervention and integrity services. Named technologies include CoilHose™ (lightweight wellbore intervention), Octopoda™ (annular fluid treatments), Galea™ (autonomous intervention), and expandable casing patches for ‘patch and perf’ operations.
Expro derives revenue from services and product sales to customers primarily in the oil and gas industry. No single customer accounted for more than 10% of revenue in 2025; one customer represented approximately 10.5% in 2024 and 12.5% in 2023. The company operates globally with direct customer relationships.
The markets are competitive. Expro competes with several companies, some with greater financial resources. Key competitive factors include technology, quality, price, safety, operating footprint, and responsiveness. Expro differentiates through its portfolio of cost-effective, technology-enabled products, high customer service, innovation, global support, quality systems, experienced personnel, and a strong reputation for safety and ethics.
Expro’s corporate strategy for 2026 focuses on three themes: relevancy, resilience, and results. Specific objectives include exceeding industry safety and operational performance expectations; advancing its portfolio to provide cost-effective, lower-carbon solutions; driving efficiency and asset utilization; nurturing a culture based on core values (purposeful, adaptive, tough, tireless); and leveraging data to improve business practices and customer value.
As of December 31, 2025, Expro had approximately 8,500 employees worldwide. About 20% are subject to collective bargaining agreements, with 10% under agreements expiring within one year. Approximately 13% of employees are located in the U.S., where most are at-will. Expro emphasizes diversity and inclusion, employee learning and development, fair compensation, health and wellbeing programs, and community involvement. Safety metrics: LTIF was 0.00 in 2025 and 2024; TRCF was 0.37 in 2025, down from 1.05 in 2024.
For the year ended December 31, 2025, Expro reported revenue of $1,607.1 million, a decrease of 6.2% from $1,712.8 million in 2024. The decline was primarily driven by lower activity in the ESSA and APAC segments. Net income remained relatively flat at $51.7 million versus $51.9 million, as higher adjusted EBITDA and lower foreign exchange losses offset increased depreciation and severance costs. Adjusted EBITDA grew 1.6% to $353.0 million, and the adjusted EBITDA margin expanded 170 basis points to 22.0%, reflecting a more favorable activity mix despite the revenue headwinds. Depreciation and amortization increased 17.5% to $192.1 million, largely due to the Coretrax acquisition and capital expenditures.
Segment performance varied significantly. The MENA segment stood out with revenue growth of 9.5% to $363.6 million and Segment EBITDA growth of 17.0% to $132.7 million (margin 36.5%), driven by strong well flow management activity in Iraq, Saudi Arabia, and Algeria. In contrast, the ESSA segment experienced a 13.7% revenue decline to $486.9 million, due to non-recurring projects in Congo and Angola, but Segment EBITDA margin improved to 30.7% (from 25.8%) as the mix shifted toward higher-margin services. NLA revenue dipped 1.4% to $558.0 million, with Segment EBITDA margin falling to 23.8% (from 25.1%) on less favorable mix. APAC revenue dropped 20.6% to $198.5 million, driven by lower subsea well access activity in China and Australia, and Segment EBITDA margin declined to 21.5% (from 23.1%).
Management provided a cautiously optimistic outlook for 2026, noting that international and offshore spending is expected to recover modestly despite softer oil prices. The company guided capital expenditures of $110-120 million for 2026, consistent with 2025 levels. Demand is expected to be supported by brownfield activity, production optimization, and deepwater projects in Brazil, Guyana, and the Middle East. Expro maintains a strong balance sheet with $550.9 million in total liquidity and a new $500 million credit facility maturing in 2029. The $100 million stock repurchase program underscores management's confidence in cash generation and capital allocation discipline.
As of December 31, 2025, Expro held $196.1M in cash and cash equivalents plus $1.4M restricted cash. Total debt stood at $79.1M under the new $500M credit facility (maturing 2029), down from $121.1M a year earlier due to $42M in repayments. The effective interest rate was 7.5%. Shareholders' equity increased to $1,534.1M from $1,491.5M, driven by net income and other comprehensive income offset by share repurchases.
Total purchase commitments of $69.1M as of year-end: $52.0M for property, plant and equipment and $17.1M for inventory purchases. Lease obligations (operating and finance) amounted to $96.0M in undiscounted future payments, with $23.5M due within one year for operating leases. No material loss contingencies were accrued.
Expro's Board approved a new $100M stock repurchase program on October 30, 2025, effective through December 31, 2026. During 2025, the company repurchased 3.7M shares for $40.1M under the prior program. No dividends were paid. Capital expenditures totaled $112.4M (7.0% of revenue), allocated across segments: NLA $40.4M, ESSA $20.8M, MENA $26.6M, APAC $17.5M, and central $7.2M. Debt reduction remained a priority with $42M repaid.
Expro reports four geographic segments. Revenue in 2025: NLA $558.0M (down 1.4% YoY), ESSA $486.9M (down 13.7%), MENA $363.6M (up 9.5%), APAC $198.5M (down 20.6%). Segment EBITDA totaled $457.7M, with ESSA leading at $149.4M, followed by NLA $132.9M and MENA $132.7M. No single customer exceeded 10% of revenue in 2025, and U.S. revenue was 19.3% of total.
Expro Group's business is fundamentally tied to oil and gas exploration, development, and production activity, which itself depends on commodity prices and customer expectations. The risk factor highlights volatility from OPEC+ production decisions, geopolitical events (Russia-Ukraine war, Middle East conflicts), and global economic conditions. A prolonged downturn could lead to asset impairments or reduced demand.
The company faces inherent physical hazards—equipment failures, blowouts, explosions—that can cause loss of life and property. Insurance and contractual indemnities may not suffice in all cases, especially for catastrophic events or uninsured political violence. The lack of full protection could result in material losses.
Operations span politically volatile regions (Eastern Europe, Africa, Middle East, Latin America), exposing the company to expropriation, currency controls, civil unrest, and corruption. Local managers may face personal liability. These risks are difficult to predict but could severely disrupt operations.
Competitive pressure requires continuous technological advancement. Failure to develop new products or protect intellectual property through patents and trade secrets could erode market position. Competitors may independently develop superior technologies, and patent enforcement is limited geographically.
Customer credit risk is concentrated in the energy industry; prolonged low prices could lead to payment delays or defaults. The company's Revolving Credit Facility imposes covenants and variable interest rates, which could restrict operations and increase costs. Supplier concentration in certain product lines adds vulnerability.
Extensive regulations—environmental (GHG emissions, drilling moratoria), trade sanctions, anti-corruption (FCPA), and data privacy (GDPR)—impose compliance costs and legal risks. Violations could result in fines, debarment, or reputational harm. Climate change legislation may further reduce demand for oilfield services.
As a Dutch company, shareholder rights differ from US norms, and anti-takeover provisions may discourage acquisition. Stock price volatility is driven by earnings results, industry news, and broader market conditions. These factors could affect investor returns and capital access.
No cash flow data was extracted from the provided excerpt. The document only includes the auditor's report and goodwill impairment discussion, not the actual cash flow statement. Without explicit figures, a cash flow quality analysis cannot be performed.