As of September 30, 2024, Innovex International, Inc. (formerly Dril-Quip, Inc.) reported significant financial growth following its merger with Innovex Downhole Solutions, Inc. on September 6, 2024. The company’s total assets surged to $1.13 billion, up from $475.3 million at the end of 2023, with total current assets increasing to $677.3 million from $288.3 million. Cash and restricted cash rose dramatically to $99.9 million, compared to $7.4 million previously.

For the third quarter of 2024, revenues reached $151.8 million, a 9% increase from $139.1 million in the same period of 2023. Product revenues also grew, totaling $126.6 million, up from $115.8 million year-over-year. However, for the nine months ended September 30, 2024, total revenues decreased slightly to $410.1 million from $422.3 million in 2023. The North American market contributed $98.3 million in Q3 2024, while international and offshore markets accounted for $53.5 million.

Net income for the third quarter soared to $82.6 million, a substantial increase from $15.4 million in Q3 2023, reflecting a 437% rise. For the nine-month period, net income was $108.5 million, up 95% from $55.5 million in the prior year. Earnings per share (EPS) also saw significant growth, with basic EPS for Q3 2024 at $2.03 compared to $0.50 in Q3 2023.

The merger resulted in a gain on bargain purchase of $92.7 million, attributed to the decline in Dril-Quip's stock price from the merger agreement date to the closing date. The merger was accounted for as a reverse acquisition, with Legacy Innovex identified as the accounting acquirer. The transaction involved the issuance of 35.1 million shares, valued at $537.3 million.

Acquisition costs surged to $20.3 million in Q3 2024, up from $0.8 million in the same quarter of 2023, primarily due to expenses related to the merger. Stock-based compensation also increased significantly, totaling $10.9 million for Q3 2024 compared to $0.5 million in Q3 2023.

The company’s total stockholders’ equity rose to $904.4 million as of September 30, 2024, from $328.9 million at the end of 2023. This increase was driven by the merger and the issuance of common stock. The company reported compliance with its debt covenants, with total indebtedness at $23 million and no outstanding balance on its revolving credit facility.

Innovex continues to focus on expanding its presence in international and offshore markets, particularly in the Middle East, while maintaining a disciplined acquisition strategy. The company aims to leverage its enhanced capabilities post-merger to drive future growth.