NOW Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.89%.
Did DNOW Beat Earnings? Q3 2025 Results
DNOW Inc. fell just short of Wall Street's expectations in Q3 2025, posting earnings per share of $0.23 against a consensus estimate of $0.23, a miss of 1.41%, while revenue of $634 million trailed the $637.13 million estimate by 0.49%, sending shares lower in the immediate aftermath. Still, the underlying story carries genuine momentum: revenue grew 4.6% year-over-year, reaching the company's highest quarterly total since Q4 2019, powered chiefly by U.S. segment revenue that climbed to $527 million from $482 million a year ago. The quarter was also shaped by roughly $4 million in transaction-related charges tied to the pending all-stock merger with MRC Global Inc., a deal valued at approximately $1.50 billion that both boards have unanimously approved and expect to close in Q4 2025, with projected annual cost synergies of $70 million. CEO David Cherechinsky signaled confidence in the path ahead, forecasting 2025 as the fifth consecutive year of revenue growth and the best full-year EBITDA result in the company's history as a public company, backed by $266 million in cash and zero long-term debt.
- Highest level of revenue since Q4 2019
- Strong U.S. segment revenue growth year-over-year
- EBITDA excluding other costs margin improved to 8.0% from 6.9% YoY
- Zero impairment charges in Q3 2025 vs $5 million in Q3 2024
- Customer service focus and supply chain management innovation
“I am proud of our DNOW team for the impressive results achieved in the third quarter, with $51 million in EBITDA, or 8.0% of revenue. We extended our strong performance into the third quarter, achieving our highest level of revenue since the fourth quarter of 2019.”
DNOW CEO, on the earnings call
Forward Guidance & Outlook
DNOW expects 2025 to represent its fifth consecutive year of growth and is forecasting its best full-year earnings ever as a public company in terms of total EBITDA results. The proposed merger with MRC Global Inc. is anticipated to close in Q4 2025, subject to closing conditions.
DNOW YoY Financials
DNOW Revenue by Segment
DNOW Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.