Q2 26 EPS Adjusted
$0.12
BEAT +41.18%
Est. $0.09
Q2 26 Revenue
$1.31B
BEAT +3.19%
Est. $1.27B
Market Reaction
Did DNOW Beat Earnings? Q2 2026 Results
DNOW Inc. Delivered a strong second-quarter 2026 beat across the board, with adjusted EPS of $0.12 clearing the $0.09 consensus by 41.18% and revenue of $1.31 billion topping estimates of $1.27 billion by 3.19%, more than doubling year-over-year from… Read more DNOW Inc. Delivered a strong second-quarter 2026 beat across the board, with adjusted EPS of $0.12 clearing the $0.09 consensus by 41.18% and revenue of $1.31 billion topping estimates of $1.27 billion by 3.19%, more than doubling year-over-year from $628 million, a gain of 108.1%. The primary catalyst was the completed Whitco Supply acquisition, which dramatically expanded the company's U.S. Segment to $1.11 billion in quarterly revenue, a 13% sequential increase, while U.S. Midstream revenues crossed $1 billion on an annualized run rate. Adjusted EBITDA reached $60 million, or 4.6% of revenue, up 54% sequentially, and the company generated exceptional free cash flow of $124 million, fueled by tighter receivables management and inventory streamlining. On a GAAP basis, DNOW posted a net loss of $21 million, weighed down by non-cash charges including a $19 million LIFO reserve increase and $7 million in intangibles amortization. Management repurchased $75 million in shares year-to-date and expressed confidence in continued integration progress and cost discipline heading into the second half of 2026.
Key Takeaways
- • 10% sequential revenue increase driven by 13% growth in U.S. segment
- • Adjusted EBITDA rose 54% sequentially to $60 million reflecting stronger volumes and integration/cost management execution
- • Record Q2 operating cash flow of $133 million driven by strong receivables collections and inventory streamlining
- • U.S. midstream revenues surpassed $1 billion on an annualized basis
- • Gas utility and upstream sector revenues delivered strongest sequential growth since 2022
DNOW Forward Guidance & Outlook
CEO David Cherechinsky expressed confidence about the second half of 2026, noting the company continues to take decisive steps to position DNOW for long-term success. Integration and cost management initiatives are producing encouraging results.
DNOW YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
DNOW Revenue by Segment
With YoY comparisons, source: SEC Filings
DNOW Revenue by Geography
With YoY comparisons, source: SEC Filings
“I am thrilled with our significantly improved performance during the second quarter of 2026, highlighted by $133 million of cash flow from operating activities, a record second-quarter achievement. Strong collections improved the quality and liquidity of accounts receivable, while inventory streamlining further enhanced exceptional cash generation.”
— David Cherechinsky, Q2 2026 Earnings Press Release
DNOW Earnings Trends
DNOW vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
DNOW EPS Trend
Earnings per share: estimate vs actual
DNOW Revenue Trend
Quarterly revenue: estimate vs actual
DNOW Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT | $0.09 | $0.12 | +41.18% | $1.31B | +3.19% |
| Q1 26 MISS | $0.06 | $0.01 | -83.33% | $1.18B | +10.90% |
| Q4 25 BEAT FY | $0.15 | $0.15 | +0.00% | $959.0M | -1.08% |
| FY Full Year | — | $0.86 | — | $2.82B | — |
| Q3 25 MISS | $0.23 | $0.23 | -1.41% | $634.0M | -0.49% |
| Q2 25 BEAT | $0.21 | $0.27 | +26.58% | $628.0M | +2.50% |
| Q1 25 BEAT | $0.17 | $0.22 | +26.95% | $599.0M | +2.02% |