Despite recent external challenges, DNOW is “off to a nice start.”
In a Thursday earnings call, the Houston-based company revealed a 7% first quarter increase in revenue, results that CEO David Cherechinsky characterized as “better-than-expected.”
Cherechinsky points to headwinds that impacted the 160-year-old distributor, who mainly supplies the oil and gas industry. These included lower U.S. rig counts, weakness in oil and gas prices and inconsistent weather. Despite all this, DNOW – number 14 on ID’s 2022 Big 50 List – was able to attain quarterly revenues of $584 million
The company’s international segment saw even more impressive growth, with sequential revenue up 28% to reach operating profit levels last seen in 2014.
Cherechinsky emphasized that the company remains debt-free and possesses “ample liquidity and … an advantageous variety of tools to further advance DNOW’s position in the market.”
