NOW Inc

DNOW delivered a strong second-quarter beat headlined by a landmark merger announcement, with non-GAAP diluted EPS of $0.27 clearing the $0.21 consensus estimate by 26.58% and revenue of $628.00 million topping expectations by 2.50%, even as the top line slipped a modest 0.8% from a year ago. The standout driver was a resurgent U.S. segment, which posted $528.00 million in revenue, up sharply from $474.00 million in Q1 2025, propelling the company to its best second-quarter EBITDA in its public-company history at $51.00 million, or 8.1% of revenue. Cash generation also impressed, with $45.00 million from operations reversing a $16.00 million outflow in the prior quarter, leaving DNOW debt-free with $232.00 million in cash. Overshadowing the quarterly results was the all-stock merger agreement with MRC Global, valued at approximately $1.50 billion and targeting a Q4 2025 close, which management framed as a catalyst for expanded exposure to AI infrastructure, LNG, and electrification markets. DNOW reaffirmed full-year revenue, EBITDA, and $150.00 million free cash flow guidance, signaling confidence heading into the second half.