DNOW Q4 Earnings Call Highlights

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MarketBeat

Fri, February 20, 2026 astatine 10:00 AM CST 8 min read

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DNOW completed the merger with MRC Global and expects to execute $70 million successful outgo synergies wrong 3 years, present targeting $23 million of savings by the extremity of twelvemonth 1 (up from a $17M 2026 estimate) to seizure greater standard and purchasing power.
A troubled U.S. ERP implementation astatine bequest MRC Global — affecting astir 40% of DNOW’s concern — has caused gross declines, prompted a hold to 2026 guidance, and led to mitigation steps including routing projects done bequest systems and adding much than 200 personnel.
Legacy DNOW posted a grounds full-year EBITDA of $199 million (8.2% margin); consolidated results showed $959 million successful Q4 gross and $2.8 billion for 2025, though Q4 included a $147 million nett nonaccomplishment driven by transaction and integration charges (adjusted nett income was $23 million).
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DNOW (NYSE:DNOW) executives utilized the company’s fourth-quarter and full-year 2025 net telephone to stress 2 parallel storylines: bequest DNOW’s strongest standalone results since going nationalist and the aboriginal progress—and challenges—following the November merger with MRC Global.

President and CEO David Cherechinsky said the institution completed the merger with MRC Global connected Nov. 6 and is present “operating arsenic 1 company.” He described beardown taste alignment and pointed to MRC Global’s method expertise and integrated solutions, peculiarly successful state utilities, downstream concern markets, and its planetary valve business.

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Cherechinsky reiterated the merger’s strategical intent: accrued scale, broader assemblage reach, and a larger addressable marketplace crossed upstream, midstream, state utilities, downstream, and concern extremity markets. He said the operation is expected to fortify purchasing powerfulness and alteration operational efficiencies, supporting stronger and much accordant currency travel done the cycle.

On outgo synergies, absorption updated expectations versus the people acceptable erstwhile the woody was announced successful June 2025. Cherechinsky said the institution remains connected way to execute $70 cardinal successful outgo savings wrong 3 years of closing, and present expects to scope $23 cardinal by the extremity of the archetypal year, compared with the $17 million primitively expected for 2026. In the Q&A, helium attributed the faster gait mostly to accelerated systems and integration actions successful effect to the U.S. ERP disruption astatine bequest MRC Global.

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