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DTI

Drilling Tools International Corp.

DTI

Drilling Tools International Corp. • NASDAQ
$2.40 ▼ -2.04% (-0.05)
Market Cap $84.98 M
52w High $3.82
52w Low $1.43
Dividend Yield 0%
P/E -12.63
Volume 98.92K
Outstanding Shares 35.41M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $38.817M ▼ $20.414M ▼ $-903K ▲ -2.326% ▲ $-0.03 ▲ $7.705M ▲
Q2-2025 $39.421M ▼ $21.023M ▼ $-2.407M ▼ -6.106% ▼ $-0.068 ▼ $6.505M ▲
Q1-2025 $42.88M ▲ $31.889M ▲ $-1.669M ▼ -3.892% ▼ $-0.047 ▼ $6.203M ▲
Q4-2024 $39.846M ▼ $31.482M ▲ $-1.345M ▼ -3.375% ▼ $-0.039 ▼ $6.149M ▼
Q3-2024 $40.093M $19.855M $867K 2.162% $0.028 $7.651M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $4.373M ▲ $227.397M ▼ $106.277M ▼ $121.109M ▼
Q2-2025 $1.145M ▼ $230.279M ▼ $107.757M ▼ $122.522M ▼
Q1-2025 $2.789M ▼ $233.169M ▲ $110.473M ▲ $122.696M ▲
Q4-2024 $6.185M ▼ $222.431M ▲ $102.472M ▲ $119.959M ▼
Q3-2024 $11.961M $218.844M $95.654M $123.19M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-903K ▲ $9.962M ▲ $-604K ▲ $-6.153M ▼ $3.228M ▲ $6.42M ▲
Q2-2025 $-2.407M ▼ $2.195M ▼ $-4.861M ▲ $1.056M ▼ $-1.644M ▲ $-5.77M ▼
Q1-2025 $-1.669M ▼ $2.431M ▲ $-7.28M ▲ $1.392M ▼ $-3.396M ▲ $-2.612M ▲
Q4-2024 $-1.345M ▼ $-3.665M ▼ $-7.454M ▲ $4.525M ▼ $-5.776M ▼ $-6.891M ▼
Q3-2024 $867K $5.332M $-19.404M $19.865M $5.177M $1.966M

Revenue by Products

Product Q3-2024Q4-2024Q1-2025Q2-2025
Product
Product
 $10.00M ▲$20.00M ▲$10.00M ▼$10.00M ▲
Tool Rental
Tool Rental
 $30.00M ▲$60.00M ▲$40.00M ▼$40.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has grown nicely over the past few years and has recently flattened at a higher level, showing that the business has scaled up from its earlier size. Profitability has improved from losses a few years ago to modest profits more recently, but the latest year looks close to breakeven at the net income level, suggesting that margins are still thin and somewhat volatile. Operating profit and EBITDA are positive but not very large relative to revenue, which means the company does not have a lot of room for error if activity slows or costs rise. Overall, the income statement shows a company that has moved out of its early loss-making phase into consistent, but still fragile, profitability.

Balance Sheet

Balance Sheet The balance sheet has expanded meaningfully, with total assets and shareholders’ equity both climbing, which reflects growth and investment in the business. Debt has also increased, so leverage is higher than in prior years, which can enhance growth but also adds financial risk in a cyclical industry like oilfield services. Cash on hand is positive but modest, meaning liquidity should be watched closely, especially given the company’s investment needs. On balance, the company looks stronger and larger than a few years ago, but it is also carrying more obligations that will need to be supported by steady cash generation.

Cash Flow

Cash Flow Operating cash flow is positive, which is a healthy sign that the core business is generating cash rather than consuming it. However, free cash flow has been consistently negative because the company is spending heavily on capital equipment and growth projects. This pattern points to a business that is in an investment phase, building out its tool fleet and capabilities, rather than one that is harvesting cash. The key question going forward is whether these investments will translate into higher, more stable cash flows that can comfortably cover debt, maintenance capex, and any shareholder returns.

Competitive Edge

Competitive Edge DTI operates in a specialized corner of the oilfield services market, focused on downhole drilling tools with a rental-heavy model. Its large rental fleet, wide geographic reach, and ability to provide a broad package of tools make it harder for smaller competitors to match its offering, especially given the upfront capital required to build a similar fleet. Proprietary technologies like Drill-N-Ream and the tools acquired through recent deals strengthen its differentiation and customer value proposition. At the same time, the company still operates in a highly competitive, cyclical sector where large integrated service companies and regional specialists can pressure pricing and utilization, so its advantages need to be actively maintained.

Innovation and R&D

Innovation and R&D The company appears to lean heavily on innovation and acquisitions to expand its technology base. It now controls a much larger portfolio of patented tools, including wellbore conditioning systems and casing tools that can improve drilling efficiency and reduce risk for customers. Management is clearly focused on using R&D and M&A to broaden the tool set, cover more phases of the well lifecycle, and push further into international markets. The opportunity is to build a differentiated, higher-margin toolkit that customers rely on, but this also requires continual investment, careful integration of acquired technologies, and disciplined selection of targets—no small task for a company with limited free cash flow.

Summary

DTI looks like a growth-oriented oilfield tools company that has moved from losses to modest profitability while significantly scaling its asset base and technology portfolio. The core business generates cash, but aggressive investment in tools and acquisitions keeps free cash flow negative and leverage elevated, which raises execution and cycle-risk if drilling activity slows. On the positive side, DTI’s rental model, large fleet, global footprint, and growing stable of proprietary technologies create a credible competitive position in its niche. The main things to monitor going forward are margin resilience, the pace at which growth investments convert into stronger cash generation, and how well the company manages debt and integration risk in a volatile energy services market.

NEWS

November 6, 2025 · 4:15 PM UTC

Drilling Tools International Corp. Reports 2025 Third Quarter Results

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October 16, 2025 · 4:15 PM UTC

Drilling Tools International Corp. Announces 2025 Third Quarter Earnings Release and Conference Call Schedule

Read more