Core Laboratories NV
NYSE:CLB
Core Laboratories NV
Core Laboratories NV engages in the provision of proprietary and patented reservoir description, production enhancement, and reservoir management services to the oil and gas industry. The company is headquartered in Amstelveen, Noord-Holland and currently employs 3,700 full-time employees. The firm operates through three segments: Reservoir Description, Production Enhancement and Reservoir Management. The Reservoir Description segment encompasses the characterization of petroleum reservoir rock, fluid and gas samples. The company provides analytical and field services to characterize properties of crude oil and petroleum products to the oil and gas industry. The Production Enhancement segment includes products and services relating to reservoir well completions, perforations, stimulations and production. The company provides integrated diagnostic services to evaluate the effectiveness of well completions. The Reservoir Management segment combines and integrates information from reservoir description and production enhancement services to increase production and recovery of oil and gas from its clients' reservoirs.
Core Laboratories NV engages in the provision of proprietary and patented reservoir description, production enhancement, and reservoir management services to the oil and gas industry. The company is headquartered in Amstelveen, Noord-Holland and currently employs 3,700 full-time employees. The firm operates through three segments: Reservoir Description, Production Enhancement and Reservoir Management. The Reservoir Description segment encompasses the characterization of petroleum reservoir rock, fluid and gas samples. The company provides analytical and field services to characterize properties of crude oil and petroleum products to the oil and gas industry. The Production Enhancement segment includes products and services relating to reservoir well completions, perforations, stimulations and production. The company provides integrated diagnostic services to evaluate the effectiveness of well completions. The Reservoir Management segment combines and integrates information from reservoir description and production enhancement services to increase production and recovery of oil and gas from its clients' reservoirs.
Revenue Growth: Core Lab's Q4 2025 revenue increased 3% sequentially and 7% year-over-year, with full-year revenue up slightly versus 2024.
Segment Performance: Reservoir Description revenue grew 5% sequentially and 6% year-over-year, while Production Enhancement revenue was flat sequentially but up over 8% year-over-year.
Margin Pressures: Reservoir Description operating margin remained strong at 14%, but Production Enhancement margin fell to 7% from 11% last quarter due to bad debt and tariff-related cost increases.
Shareholder Returns: Fifth consecutive quarter of share buybacks, with $5.7 million repurchased in Q4 and $15.5 million for the full year, alongside ongoing dividends.
Outlook & Guidance: Q1 2026 revenue is expected between $124 million and $130 million, with operating income of $9.7 million to $12.2 million and EPS of $0.11 to $0.15. Seasonal and weather-related headwinds are expected to impact Q1.
Debt Management: Net debt reduced by $18.7 million in 2025; a $50 million term loan replaced $45 million of fixed-rate notes, raising future interest expense.
International Demand: Strong global demand is driving results, particularly in Reservoir Description, despite soft U.S. onshore markets and ongoing geopolitical and tariff challenges.
