The Q1 miss on revenue and cash flow, combined with reaffirmed guidance, suggests H2-weighted expectations. Monitor Q2 results for signs of the promised Canadian spring breakup rebound and international growth. The increased public float from the PE distribution could improve liquidity but also add near-term selling pressure.
Price Chart
Executive Summary
DTI reported Q1 2026 revenue of $38.0M, down 11.5% YoY from $42.9M, and a GAAP net loss of $1.5M (-$0.04/share), compared to a $1.7M loss (-$0.05/share) in Q1 2025. Adjusted EBITDA fell 30% YoY to $7.5M from $10.8M, and operating cash flow turned negative at -$3.2M. The company reaffirmed its full-year 2026 guidance of $155M-$170M revenue and $35M-$45M Adjusted EBITDA, which implies mid-point growth vs 2025, but the Q1 results show continued revenue contraction and cash burn.
Key Financial Metrics
Key Facts
- Q1 2026 total revenue $38.0M, down 11.5% YoY from $42.9M
- GAAP net loss of $1.5M (-$0.04/share) vs $1.7M loss (-$0.05/share) in Q1 2025
- Adjusted EBITDA $7.5M, down 30% YoY from $10.8M
- Operating cash flow negative at -$3.2M vs +$2.4M in Q1 2025
- Adjusted Free Cash Flow -$0.2M vs +$5.7M in Q1 2025
- Net debt increased to $48.9M from $42.2M at year-end 2025
- Reaffirmed FY2026 guidance: revenue $155M-$170M, Adj. EBITDA $35M-$45M
- Tool rental revenue declined 16.3% YoY to $28.9M from $34.5M
- Private equity sponsor HHEP distributed remaining DTI shares, increasing public float
Financial Impact
Revenue declined $4.9M YoY (11.5%); Adjusted EBITDA down $3.2M (30%); operating cash flow swung -$5.6M vs prior year
Risk Factors
- Continued revenue contraction in tool rental segment (-16.3% YoY)
- Negative operating cash flow and declining cash balance ($2.8M vs $3.6M)
- Net debt increased to $48.9M, up $6.7M from year-end 2025
- Global rig count down 4% YoY, pressuring demand
- Reaffirmed guidance may prove optimistic if Q1 weakness persists
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001193125-26-212067 |
| Document: dti-20260507.htm | 0001193125-26-212067 |
| Document: 0001193125-26-212067-index-headers.html | 0001193125-26-212067 |
| Document: 0001193125-26-212067-index.html | 0001193125-26-212067 |
| Document: 0001193125-26-212067.txt | 0001193125-26-212067 |
| 8-K Data (Synthetic) | 0001193125-26-212067 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 5d ago | S-4/A | $1.70 $1.73 | ▼ −1.47% | ▼ −1.99% | $1.70 (−0.00%) |
Oct 14, 2026 12d ago | SC 13G/A | $1.67 $1.86 | ▲ +11.38% | ▲ +12.48% | $1.70 (+1.80%) |
Oct 13, 2026 14d ago | 8-K | $2.02 $1.81 | ▼ −10.40% | ▼ −9.32% | $1.70 (−15.84%) |
Oct 9, 2026 17d ago | S-4 | $1.97 $2.02 | ▲ +2.54% | ▲ +2.55% | $1.70 (−13.71%) |
Oct 8, 2026 18d ago | 425 | $2.05 $1.97 | ▼ −3.90% | ▼ −3.84% | $1.70 (−17.07%) |
Oct 8, 2026 18d ago | 8-K | $2.05 $1.97 | ▼ −3.90% | ▼ −3.84% | $1.70 (−17.07%) |
Oct 8, 2026 19d ago | 425 | $2.01 $2.05 | ▲ +1.99% | ▲ +1.39% | $1.70 (−15.42%) |
Oct 8, 2026 19d ago | 8-K | $2.01 $2.05 | ▲ +1.99% | ▲ +1.39% | $1.70 (−15.42%) |
Sep 22, 2026 4w ago | Institutional Cluster | $2.43 $2.44 | ▲ +0.41% | ▲ +1.13% | $1.70 (−30.04%) |
Aug 6, 2026 11w ago | Press Release | $2.28 $2.28 | · 0.00% | ▼ −0.03% | $1.70 (+25.44%) |
US Market Status
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