Key Highlights

  • Noble Corporation (NYSE:NE) reported a third quarter 2026 net loss of USD 117.0 million, or USD 0.73 per share, because a USD 133.0 million income tax provision exceeded pre-tax income of USD 16.0 million.
  • Revenue was USD 728.8 million, down from USD 798.0 million, and adjusted EBITDA was USD 200.9 million against USD 254.3 million a year earlier and USD 212.3 million in the second quarter.
  • Published market data showed an adjusted loss of USD 0.57 per share against a consensus profit of USD 0.23, while contract backlog stood at USD 6.7 billion.
  • Noble Corporation (NYSE:NE) updated 2026 guidance to revenue of USD 2,850 million to USD 2,900 million and adjusted EBITDA of USD 850 million to USD 900 million.

Why the Loss Was Large

No impairment was recorded in the quarter, unlike the USD 60.7 million charge a year earlier. Instead, the net loss came from a USD 133.0 million tax provision against pre-tax income of only USD 16.0 million. Adjusted net loss was USD 91.5 million, against adjusted net income of USD 30.2 million a year earlier. A tax charge much larger than pre-tax income typically reflects taxes paid in profitable jurisdictions while losses elsewhere provide no offset, though the release excerpt did not explain the mix, so that reading is a general explanation, not company language. Chief Executive Robert Eifler said both rigs in Brazil had resumed operations.

Fleet and Backlog

The company marketed 28 rigs at 70% utilization, up from 67% in the second quarter. Marketed floaters were 66% contracted, up from 64%, and ultra-harsh jackups were 86% utilized, up from 80%. Contract backlog was USD 6.7 billion as of October 26, 2026, including about USD 560 million of new contracts since the July report. Backlog is signed future day-rate revenue, so it supports earnings visibility, but it converts to revenue over years and depends on rigs working without interruption. Revenue declined 8.7% year over year, simple arithmetic on the two stated figures. Revenue has therefore fallen while utilization has improved sequentially, which suggests lower day rates on rolled contracts or fewer revenue days, a point the release excerpt did not address.

Guidance and Capital

Revenue guidance for 2026 rose to USD 2,850 million to USD 2,900 million from USD 2,800 million to USD 2,900 million, while adjusted EBITDA guidance was trimmed at the top to USD 850 million to USD 900 million from USD 925 million. Capital expenditure guidance rose to USD 680 million to USD 705 million, mainly from customer-reimbursable spending. No share repurchases occurred in the first nine months. The company declared a USD 0.50 quarterly dividend, payable December 17, 2026 to holders of record on November 25, 2026. Risks include day-rate pressure, tax volatility and rig downtime. The company had no repurchases to date in 2026, so the dividend is the main direct return of capital, and higher capital spending may limit flexibility if drilling demand weakens.

Where Things Stand

Noble lost USD 117.0 million because a USD 133.0 million tax charge overwhelmed pre-tax income of USD 16.0 million, not because of an impairment. That answers the headline, and the operating picture was steadier, with utilization up and backlog at USD 6.7 billion. Noble Corporation (NYSE:NE) trimmed the top of its EBITDA guidance and spent more on capital, so tax volatility, lower revenue and day-rate pressure are the risks to watch.