Revenue: As of FY2026 Q1, the actual value is USD 45.64 M, missing the estimate of USD 51 M.EPS: As of FY2026 Q1, the actual value is USD -0.14, missing the estimate of USD 1.58.EBIT: As of FY2026 Q1, the actual value is USD 874 K.<h3>Segment Revenue</h3>NCS Multistage Holdings, Inc.’s total revenues for the three months ended March 31, 2026, were $45.6 million, a decrease of - $4.4 million or -8.7% compared to $50.0 million for the same period in 2025.<h4>Product Sales</h4>Product sales totaled $32.6 million for the three months ended March 31, 2026, a decrease of - $2.5 million or -7.1% from $35.1 million in 2025, constituting 71% of total revenues in 2026 and 70% in 2025.<h4>Services Revenue</h4>Services revenue was $13.1 million for the three months ended March 31, 2026, marking a decrease of - $1.9 million or -12.6% from $14.9 million in 2025, and accounted for 29% of total revenues in 2026 versus 30% in 2025.<h4>Revenue by Geographic Area</h4>Total revenues in the United States increased to $19.1 million in Q1 2026 from $9.4 million in Q1 2025, an increase of $9.8 million or 104.2%. Product sales in the U.S. increased by $7.3 million (106.9%) to $14.2 million, while services revenue increased by $2.4 million (96.8%) to $4.9 million.Conversely, total revenues in Canada decreased to $23.2 million in Q1 2026 from $37.7 million in Q1 2025, a decrease of - $14.5 million or -38.5%. Canadian product sales decreased by - $10.7 million (-39.8%) to $16.2 million, and services revenue decreased by - $3.8 million (-35.2%) to $7.0 million. Canada’s revenues accounted for approximately 51% of total revenues for Q1 2026, down from 75% for Q1 2025.Revenues from other countries increased to $3.3 million in Q1 2026 from $2.9 million in Q1 2025, an increase of $0.4 million or 12.7%. Product sales in other countries increased by $0.9 million (63.0%) to $2.2 million, while services revenue decreased by - $0.5 million (-31.0%) to $1.1 million.<h3>Operational Metrics</h3>NCS Multistage Holdings, Inc. reported a net loss attributable to the company of - $0.4 million for the three months ended March 31, 2026, a significant decrease from net income of $4.1 million for the same period in 2025.Income from operations decreased by - $3.4 million or -80.2%, to $0.8 million for Q1 2026 from $4.3 million in Q1 2025.<h4>Gross Margin</h4>Total gross margin decreased to 38.1% in Q1 2026 from 42.3% in Q1 2025. Product sales gross margin decreased to 37.8% from 40.5%, and services gross margin decreased to 38.8% from 46.4% over the same periods.<h4>Operating Costs</h4>Total cost of sales (exclusive of D&amp;A) was $27.5 million in Q1 2026, a decrease of - $0.7 million or -2.4% from $28.2 million in Q1 2025. Selling, General and Administrative (SG&amp;A) expenses decreased by - $0.5 million or -2.9% to $15.7 million in Q1 2026 from $16.2 million in Q1 2025. Within SG&amp;A, payroll and employee benefits decreased from $9.95 million to $9.6 million, and share-based compensation decreased from $1.4 million to $1.2 million. Depreciation increased by $0.1 million or 7.4% to $1.3 million, and amortization increased by $0.1 million or 80.8% to $0.3 million. Operating costs denominated in Canadian dollars approximated 21% for Q1 2026, down from 35% for Q1 2025.<h4>Other Income (Expense)</h4>Net interest expense was - $0.03 million in Q1 2026 compared to - $0.04 million in Q1 2025. Other income, net, increased by $1.0 million or 111.0% to $1.9 million in Q1 2026 from $0.9 million in Q1 2025. A foreign currency exchange loss, net, of - $0.11 million was reported in Q1 2026 compared to - $0.003 million in Q1 2025.<h4>Income Tax Expense</h4>Income tax expense was $0.8 million in Q1 2026, up from $0.7 million in Q1 2025, with an effective tax rate of 32.4% for Q1 2026 compared to 13.1% for Q1 2025.<h3>Cash Flow</h3>Net cash provided by operating activities was $1.3 million for the three months ended March 31, 2026, an increase from - $1.6 million used in operating activities for the same period in 2025.Net cash used in investing activities was - $0.6 million for Q1 2026, compared to - $0.5 million for Q1 2025, primarily due to purchases of property and equipment, and the purchase and development of software and technology.Net cash used in financing activities was - $2.9 million for Q1 2026, compared to - $0.8 million for Q1 2025, driven by payments on finance leases, payment of contingent consideration, and treasury shares withheld for equity-settled awards.Cash and cash equivalents were $34.5 million as of March 31, 2026, down from $36.7 million as of December 31, 2025.<h3>Unique Metrics</h3>NCS Multistage Holdings, Inc. acquired Reservoir Metrics, LLC for $7.1 million on July 31, 2025, with $1.3 million of contingent consideration paid in January 2026. ResMetrics contributed $1.8 million in revenue and a loss of - $0.2 million before tax to consolidated results for Q1 2026.Total outstanding indebtedness related to finance lease obligations was $7.2 million as of March 31, 2026. The ABL Facility had an available borrowing base of $18.5 million with no outstanding borrowings, and the Repeat Precision Promissory Note had a $2.5 million borrowing capacity with no outstanding indebtedness.Capital expenditures were $0.6 million for Q1 2026 and $0.5 million for Q1 2025.<h3>Future Outlook and Strategy</h3>NCS Multistage Holdings, Inc. anticipates stable activity levels in Canadian and U.S. markets for 2026, consistent with 2025, due to E&amp;P operators’ focus on capital discipline and returns-focused spending, despite elevated commodity prices. International spending is also expected to remain stable relative to 2025. The company projects capital expenditures between $2.2 million and $2.8 million in 2026, primarily for manufacturing upgrades, R&amp;D equipment, and field service equipment, with an increased focus on expanding Repeat Precision’s manufacturing capacity in Mexico to meet rising demand.

NCS Multistage | 10-Q: FY2026 Q1 Revenue Misses Estimate at USD 45.64 M