Hunting PLC Delivers Robust Q3 2025 Performance with Double-Digit EBITDA Growth

Strong Quarterly Results Highlight Operational Momentum

Hunting PLC, the London-listed global precision manufacturing specialist, has reported encouraging financial performance for its third quarter ending 30 September 2025. Year-to-date EBITDA reached approximately $100.5 million, representing a 15% increase from the corresponding period last year. This solid growth trajectory reflects sustained operational momentum across the Company’s diverse business portfolio, with profitability margins holding steady at around 13%.

The Company’s order book stood at $416.4 million at quarter-end, providing a substantial foundation for continued revenue generation through the remainder of 2025 and into 2026. Management’s vigilant approach to capital deployment and strategic acquisition opportunities continues to support the Group’s expansion ambitions.

Business Segment Performance: Mixed but Generally Positive

Hunting Titan, the Company’s flagship operating segment, delivered notably stronger results compared to the same quarter in 2024. Production efficiency improvements and strategic market positioning in South America and the Middle East have driven enhanced profitability. Management capitalised on robust regional demand throughout the period.

The North America division exceeded preliminary expectations during Q3, bolstered by particularly strong demand for TEC-LOCK™ semi-premium connections within its OCTG (Oil Country Tubular Goods) product category. However, this strength was partially offset by softer performance in Advanced Manufacturing operations, which experienced challenging market conditions during the quarter.

Subsea Technologies demonstrated improved operational results as major projects progressed favourably. Notably, ExxonMobil’s Guyana development and TPAO’s Black Sea operations generated substantial order progression. Management has identified a positive market outlook extending through 2028, with new contract opportunities anticipated.

The recently acquired Flexible Engineered Solutions (FES) business is integrating smoothly, with management uncovering cross-selling opportunities exceeding initial acquisition expectations. FES is now projected to contribute approximately $3 million to Group EBITDA for the full year 2025, slightly above earlier estimates.

The EMEA (Europe, Middle East, Africa) region continues its restructuring programme, which has created near-term trading disruption. Facility closures in the Netherlands and Norway were completed alongside the opening of an expanded hub in Dubai. This operational transition is expected to generate annualised cost savings of approximately $11 million by June 2026.

Asia Pacific operations maintained alignment with management’s guidance, with no material deviations reported during the quarter.

Balance Sheet and Capital Position Remain Resilient

As of 30 September 2025, total cash and net borrowings amounted to $47.1 million, reflecting strategic inventory investments and ongoing share repurchase activity. The Company maintains a formidable net asset position of approximately $907 million, underpinning its financial stability.

Total available liquidity reached $336.5 million, comprising the $200 million undrawn revolving credit facility, $89.4 million in uncommitted facilities, and the quarter-end cash position. This liquidity buffer positions Hunting advantageously for bolt-on acquisition pursuits and investor returns programmes.

The Board successfully executed an option extension on the $200 million revolving credit facility, pushing maturity to October 2029 and providing enhanced funding certainty for strategic initiatives.

Working capital remains elevated at approximately $366.5 million compared to the interim position, driven by raw material inventory acquired for committed customer orders. Management anticipates a reduction of around $25 million by year-end as these materials are processed through production cycles.

Capital Allocation and Shareholder Returns

Under the active share buyback programme initiated on 28 August 2025, the Company has acquired 3.51 million ordinary shares for cancellation, absorbing $15.6 million through 21 October 2025. Management expects to complete approximately $30 million of the authorised repurchase programme, representing roughly 75% completion, by year-end.

The 2025 interim dividend of 6.2 cents per share will be distributed on 31 October 2025, absorbing approximately $9.6 million of cash. Full-year capital expenditure guidance has been set at $35-$40 million, encompassing tangible and intangible asset investments.

Year-End Outlook and Guidance Revision

Management now anticipates full-year 2025 EBITDA to settle at the lower end of its previously published guidance range of $135-$145 million. This projection maintains strong year-over-year growth compared to 2024 results, despite EMEA restructuring headwinds affecting near-term trading.

Projected year-end cash and net borrowings are expected to fall within the $40-$45 million range, accounting for ongoing share buyback expenditure and working capital movements. This cash position, combined with available liquidity, provides the Company with meaningful flexibility for strategic deployment.

Strategic Priorities and Market Outlook

The tender pipeline across most product categories remains robust, with management actively assessing significant new opportunities within the OCTG division. Subsea segment management maintains constructive outlooks, anticipating fresh tender releases throughout 2026.

The organic oil recovery (OOR) business, following its recent technology acquisition, is scaling operations with two North Sea treatments currently underway for a major operator. This emerging capability diversification represents a growth avenue within traditional energy services.

The Directors continue evaluating a range of acquisition prospects, with particular emphasis on subsea and well completion sector targets that complement existing operational capabilities.

Management remains attentive to macroeconomic conditions, though current trading momentum suggests resilience across most business categories. The Company’s next scheduled trading update is set for 13 January 2026.