HMH Holding Inc. Announces First Quarter 2026 Results
Rhea-AI Summary
HMH Holding Inc. (NASDAQ: HMH) reported Q1 2026 results: revenue $171.3M (down 14% YoY), net income $3.4M (down 44% YoY) and adjusted EBITDA $30.1M (flat YoY). The company completed its IPO on April 2, 2026, raising net proceeds of $197.8M.
Orders were $218M with a book-to-bill of 1.3x; free cash flow was positive $4.6M. Full-year adjusted EBITDA guidance is $157M–$177M based on current backlog and orders.
Positive
- IPO net proceeds of $197.8M
- Orders $218M in Q1, delivering a book-to-bill of 1.3x
- Adjusted EBITDA $30.1M (roughly flat YoY)
- Free cash flow positive $4.6M in Q1
Negative
- Revenue down 14% YoY to $171.3M
- Product revenue down 41% YoY
- Net income down 44% YoY to $3.4M
- Adjusted EBITDA down 44% QoQ
Key Figures
Market Reality Check
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Apr 29 | Earnings call notice | Neutral | +0.4% | Announcement of timing and access details for Q1 2026 earnings call. |
| Apr 02 | IPO closing | Positive | -1.2% | Closing of IPO with 10,520,000 shares sold and Nasdaq listing. |
Limited history shows one neutral reaction to an event notice and one negative reaction to the IPO closing.
Over recent weeks, HMH’s news flow centered on its IPO and the setup for first-quarter 2026 earnings. The IPO closing on April 2, 2026 drew a modest negative reaction despite raising significant capital, while the April 29, 2026 earnings call announcement was followed by a small positive move. Today’s detailed earnings release builds directly on that call notice and the post-IPO transition narrative.
Market Pulse Summary
This announcement details HMH’s first full earnings update after its IPO, with Q1 2026 revenue of $171.3M, net income of $3.4M, and adjusted EBITDA of $30.1M. Orders of $218M and a 1.3x book-to-bill highlight improving demand even as recent quarters showed volatility. The completed IPO added $197.8M in net proceeds. Investors may watch order momentum, margin trends, and execution against the $157–$177M full‑year EBITDA outlook.
Key Terms
adjusted EBITDA financial
initial public offering financial
free cash flow financial
PP&E financial
working capital financial
book-to-bill financial
AI-generated analysis. Not financial advice.
HOUSTON, May 06, 2026 (GLOBE NEWSWIRE) -- HMH Holding Inc. (“HMH” or the “Company”) (NASDAQ: HMH) today announced financial and operational results for the first quarter of 2026.
This press release presents the results of HMH Holding B.V., the predecessor of HMH Holding Inc., for financial reporting purposes. HMH Holding Inc., a holding entity, was established with an intent to complete its IPO and related transactions to carry on HMH Holding B.V. business. As of March 31, 2026, HMH Holding Inc. was not engaged in any business or other activities. Therefore, results presented do not purport results of operations of HMH Holding Inc. as if the IPO and related transactions occurred prior to such periods. For example, these historical results do not reflect the attribution of net income to non-controlling interests or the provision for corporate income taxes on the income attributable to HMH Holding Inc. that HMH Holding Inc. expects to recognize in future periods.
First Quarter Highlights
• Revenue of
• Net income attributable to HMH Holding B.V. of
• Adjusted EBITDA of
• Completed initial public offering of 10,520,000 shares of Class A common stock on April 2, 2026 and exercise of underwriters’ option to purchase 685,844 shares of Class A common stock on April 30, 2026
Financial Summary
HMH Holding Inc. reported revenue for the first quarter of 2026 was
HMH Holding Inc.’s Chief Executive Officer, Eirik Bergsvik, stated: “We are encouraged by a strengthening market and growing demand for our products and services, despite the global market volatility and lower sales intake. We maintained resilient financial performance through disciplined cost management, a favorable product mix, and strong operational execution demonstrating the underlying strength of HMH’s business. Achieving these results while successfully completing our IPO in a challenging market environment makes the performance even more notable. I want to thank all HMH employees for their tireless efforts and unwavering commitment throughout this process. I also want to recognize our Board of Directors, and everyone involved in the IPO our advisors, underwriters, legal counsel, auditors, and other partners for their support and collaboration in reaching this important milestone.”
Eirik Bergsvik, CEO, concluded “We continue to see a positive outlook across offshore and onshore drilling, supported by higher oil prices and a stronger focus on energy security. As demand recovers, we expect new awards to drive further fleet reactivations. For 2026, based on current backlog, orders, and margin visibility, we expect full-year adjusted EBITDA of
Initial Public Offering
On April 2, 2026, we completed our IPO of 10,520,000 shares of our Class A common stock at a price to the public of
We used
On April 30, 2026, the underwriters elected to exercise their option to purchase an additional 685,844 shares of Class A common stock. The transaction closed on May 5, 2026. Net proceeds from this exercise were
Operational and Financial Results
Revenue, Cost of Sales and Selling, General and Administrative Expenses
Revenue for the first quarter of 2026 was
Aftermarket services revenue was
Spares revenue was
Product revenue in the first quarter of 2026 was
Total cost of sales decreased by
Selling, General and Administrative Expenses
In the first quarter of 2026, selling, general and administrative expenses decreased by
Order Intake, Adjusted EBITDA and Free Cash Flow
Orders for the quarter were
Adjusted EBITDA in the quarter was
Net cash provided by operating activities in the first quarter of 2026 was
Conference Call Details
The Company has scheduled a conference call on May 7, 2026, at 7:00 am Central Time to discuss its results for the first quarter of 2026. To access the conference call, participants may dial (800) 715-9871 for (U.S.) or (646) 307-1963 for (international) and use Conference ID: 6309447. Participants may listen to the call through a webcast link posted in the Investors section of HMH’s website. A replay of the conference call will be made available on the website approximately two hours following the conclusion of the live call for 30 days.
About HMH
HMH is a leading provider of highly engineered, mission-critical equipment solutions, providing customers with a comprehensive portfolio of drilling equipment, services and systems utilized in oil and gas drilling operations, both offshore and onshore. HMH’s global reach, technical expertise, and innovative product offerings, coupled with its integrated operations from manufacturing to aftermarket services, allow HMH to provide customers with first-class technology, engineering, and project management services through the entire asset lifecycle of the equipment it provides. In addition, HMH is growing its portfolio of products and services to adjacent industries, such as mining. The complexity and criticality of HMH’s installed equipment drive customers to choose HMH for their aftermarket support, particularly in the offshore environment, which is subject to extensive regulation. For more information, please visit HMH’s website at www.hmhw.com.
Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures, including adjusted EBITDA and free cash flow. These measures are reconciled to the most directly comparable GAAP measures in the accompanying tables and should not be considered as alternatives to GAAP results.
Forward-Looking Statements
The information in this press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements generally relate to expectations, beliefs, future events, future expected business, or our future financial or operating performance and prospects, and include statements regarding business plans, objectives, and expected operating results. When used in this press release, words such as “may,” “could,” “should,” “will,” “plan,” “project,” “forecast,” “guidance,” “outlook,” “budget,” “predict,” “pursue,” “target,” “seek,” “objective,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” the negative of these terms and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, actual results could differ materially from those indicated in these forward-looking statements. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in HMH’s filings with the Securities and Exchange Commission (the “SEC”), including the sections titled “Risk factors” and “Cautionary statement regarding forward-looking statements” in HMH’s final prospectus filed with the SEC on April 1, 2026 and subsequent Quarterly Reports on Form 10-Q. HMH undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release, except as required by law. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
Investors and others should note that we may announce material information using SEC filings, press releases, public conference calls, webcasts and the Investors section of HMH’s website. We may use these channels to distribute material information about HMH; therefore, we encourage investors, the media, business partners and others interested in HMH to review the information posted on HMH’s website. The information on HMH’s website is not part of, and is not incorporated into, this press release.
Company Contact
Katina Hargett
Investor Relations
HMH Holding Inc.
+1 (281) 371-4985
investorrelations@hmhw.com
| HMH Holding B.V. Comparative Condensed Consolidated Statements of Income (Unaudited) | |||||||
| Three Months Ended | |||||||
| March 31, 2026 | March 31, 2025 | ||||||
| (in thousands) | |||||||
| Revenue | |||||||
| Service revenue | $ | 72,009 | $ | 83,508 | |||
| Product revenue | 32,466 | 54,658 | |||||
| Spare parts revenue | 66,519 | 60,174 | |||||
| Related party revenue | 327 | 90 | |||||
| Total revenue | 171,321 | 198,430 | |||||
| Operating expenses | |||||||
| Cost of services sold | 53,058 | 57,078 | |||||
| Cost of goods sold – products | 25,367 | 46,697 | |||||
| Cost of goods sold – spare parts | 38,208 | 38,108 | |||||
| Total cost of sales | 116,633 | 141,883 | |||||
| Selling, general and administrative expenses | 35,111 | 36,238 | |||||
| Research and development expenses | 414 | 1,031 | |||||
| Restructuring and other expenses (income), net | — | 3,271 | |||||
| Total operating expenses | 152,158 | 182,423 | |||||
| Operating income (loss) | 19,163 | 16,007 | |||||
| Foreign currency gain (loss), net | (2,228 | ) | 3,993 | ||||
| Other non-operating income (loss), net | (255 | ) | 313 | ||||
| Interest income (expense), net | (6,953 | ) | (9,179 | ) | |||
| Income (loss) before income taxes | 9,727 | 11,134 | |||||
| Income tax (expense) benefit | (5,852 | ) | (5,256 | ) | |||
| Net income (loss) | 3,875 | 5,878 | |||||
| Less: Net income (loss) attributable to non-controlling interests | 427 | (234 | ) | ||||
| Net income (loss) attributable to HMH Holding B.V. | $ | 3,448 | $ | 6,112 | |||
| HMH Holding B.V. Comparative Condensed Consolidated Balance Sheets (Unaudited) | |||||||
| March 31, 2026 | December 31, 2025 | ||||||
| (in thousands) | |||||||
| Assets | |||||||
| Current assets | |||||||
| Cash and cash equivalents | $ | 101,297 | $ | 96,585 | |||
| Other current assets | 567,666 | 532,625 | |||||
| Property, plant and equipment, net | 200,547 | 200,818 | |||||
| Other assets | 523,412 | 527,676 | |||||
| Total assets | $ | 1,392,922 | $ | 1,357,704 | |||
| Liabilities and equity | |||||||
| Total current liabilities | 245,899 | 223,639 | |||||
| Long-term debt, net | 195,938 | 195,636 | |||||
| Long-term debt, net—related party | 146,575 | 143,732 | |||||
| Other long-term liabilities | 94,583 | 94,245 | |||||
| Total liabilities | 682,995 | 657,252 | |||||
| Total equity | 709,927 | 700,452 | |||||
| Total liabilities and shareholders’ equity | $ | 1,392,922 | $ | 1,357,704 | |||
| HMH Holding B.V. Comparative Condensed Consolidated Statements of Cash Flows (Unaudited) | |||||||
| Three Months Ended | |||||||
| March 31, 2026 | March 31, 2025 | ||||||
| (in thousands) | |||||||
| Cash flows from operating activities | |||||||
| Net income (loss) | $ | 3,875 | $ | 5,878 | |||
| Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||
| Depreciation and amortization | 10,653 | 10,311 | |||||
| Amortization of borrowing costs | 318 | 664 | |||||
| Restructuring and other expenses | — | 1,100 | |||||
| Deferred tax expense (benefit) | 1,918 | 923 | |||||
| Paid-in kind interest | 2,843 | 2,612 | |||||
| Provision for bad debt expense | 284 | 789 | |||||
| Provision for inventory write-down | 380 | 1,891 | |||||
| Net cash provided by (used in) operating activities before changes in operating assets and liabilities | 20,271 | 24,168 | |||||
| Changes in operating assets and liabilities | (12,984 | ) | (10,581 | ) | |||
| Net cash provided by (used in) operating activities | 7,287 | 13,587 | |||||
| Cash flows from investing activities | |||||||
| Purchase of property, plant and equipment | (920 | ) | (2,303 | ) | |||
| Development costs | (1,814 | ) | (104 | ) | |||
| Acquisition of business, net of cash | (770 | ) | — | ||||
| Net cash provided by (used in) investing activities | (3,504 | ) | (2,407 | ) | |||
| Cash flows from financing activities | |||||||
| Proceeds from issuance of long-term loans—revolving credit facilities | 719 | 40,000 | |||||
| Repayment of long-term loans—revolving credit facilities | — | (55,000 | ) | ||||
| Net cash provided by (used in) financing activities | 719 | (15,000 | ) | ||||
| Effect of foreign exchange rate on cash and cash equivalents | 210 | 1,892 | |||||
| Net (decrease) / increase in cash and cash equivalents and restricted cash | 4,712 | (1,928 | ) | ||||
| Cash, cash equivalents and restricted cash, beginning of period | 96,585 | 48,912 | |||||
| Cash, cash equivalents and restricted cash, end of period | $ | 101,297 | $ | 46,984 | |||
| HMH Holding B.V. Reconciliation of Net Income (Loss) to Adjusted EBITDA | |||||||
| Three Months Ended | |||||||
| March 31, 2026 | March 31, 2025 | ||||||
| (in thousands) | |||||||
| Net income (loss) | $ | 3,875 | $ | 5,878 | |||
| Add: Interest expense, net | 6,953 | 9,179 | |||||
| Income tax expense | 5,852 | 5,256 | |||||
| Depreciation and amortization | 10,653 | 10,311 | |||||
| Restructuring and other expenses | — | 3,271 | |||||
| Foreign currency (gain) loss, net | 2,228 | (3,993 | ) | ||||
| IPO listing related cost | 520 | — | |||||
| Adjusted EBITDA | $ | 30,081 | $ | 29,902 | |||
| HMH Holding B.V. Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow | |||||||
| Three Months Ended | |||||||
| March 31, 2026 | March 31, 2025 | ||||||
| (in thousands) | |||||||
| Net cash provided by (used in) operating activities | $ | 7,287 | $ | 13,587 | |||
| Add: Purchases of property and equipment | (920 | ) | (2,303 | ) | |||
| Development costs | (1,814 | ) | (104 | ) | |||
| Free Cash Flow | $ | 4,553 | $ | 11,180 | |||
