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Hunting PLC on Wednesday reported ‘solid’ trading in its first half, reaffirmed 2026 guidance, and noted progress in its search for a new chief executive. The London-based provider of equipment and engineering services to the oil and gas industry said earnings before interest, tax, depreciation and amortisation had tracked in line with guidance during the first half. Hunting estimated first-half Ebitda at $62 million, in line with previously disclosed 40:60 phasing. The Ebitda margin was about 12%, ‘reflecting the continued rebalancing of the earnings profile of the group towards higher growth segments of the global oil and gas market,’ the company said. It ended the first half with a sales order book of $387 million, compared with $358 million at the end of 2025. The Subsea business benefited from ‘continued contract momentum in Guyana’, securing orders worth $63.5 million for the titanium stress joint product line. Together with strong trading for the Hunting Titan segment, this offset lower results in other divsions. Perforating Systems performed better than expected, thanks to favourable demand conditions and North American market share gains. In OCTG, Advanced Manufacturing and Other Manufacturing, activity was lower due to order phasing, but is expected to pick up in the second half. Working capital had increased to $394 million at June 30, while total cash and bank borrowings stood at $19 million. Hunting reported progress in commercialising its organic oil recovery technology, which has been ordered by a customer in Pakistan, and which has seen positive well testing in North America, the Middle East and the North Sea. The technology is currently in use by Buccaneer Energy PLC. Hunting expects this unit’s revenue to range from $10 million to $15 million in 2026, growing to $100 million per year by 2030. The restructuring of the Europe, Middle East & Africa segment is ongoing, Hunting noted, with OCTG operations in Aberdeen transferred to Badentoy and the Fordoun site slated for closure by the end of the summer. Going forward, Hunting sees itself as ‘ well positioned to navigate near-term oil price and market volatility’. It considers the outlook for Asia Pacific, the Americas and the Middle East to be ‘robust...driven by AI driven power demand, oil and gas security of supply, and changes to Opec’. The company left its full-year Ebitda guidance, which ranges from $145 million to $155 million, unchanged, projecting a margin of 13% to 14%. It also said it was on track for roughly $15 million in cost savings between 2026 and 2027. The year-end total borrowings position is expected to be $60 million to $65 million. Chief Executive Jim Johnson commented: ‘Looking ahead, although the conflict in the Middle East and resultant oil price dynamics may create near-term volatility, the rigorous execution of our strategy means we will benefit from longer-term, multi-year oil and gas expansion plans, as well as an increased focus on energy security and independence and AI driven power demand. The CEO continued: ’Our multiple product lines and global footprint provide the business with exceptional structural resilience and mean we are well positioned to continue to deliver growth and expand market share despite wider market uncertainty.‘ Last month, Johnson gave notice of his intention to retire as a director by mid-2027. Hunting has engaged a recruitment firm to assist with the search for his replacement. ‘The process will consider internal and external candidates and will incorporate a global search given the international profile of Hunting’s operations and personnel,’ Hunting noted on Wednesday. It has also proposed to appoint KPMG LLP as is auditor for financial 2027, subject to approval at the annual general meeting. Hunting publishes interim results on August 21. Its shares rose 5.0% to 472.50 pence on Wednesday morning in London. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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