U.K.’s Hunting raises dividend target, announces $40 million share buyback

Published 09/07/2025, 08:10

Investing.com -- Hunting PLC (LSE:LON:HTG) on Wednesday reported strong first-half 2025 performance with EBITDA growth of about 16% year-over-year to approximately $68-$70 million, driven by robust contributions from its OCTG product group.

The precision engineering group announced an increase in its targeted annual dividend growth from 10% to 13% and plans to launch a share buyback program of up to $40 million following its half-year results publication on August 28.

The company maintained its full-year 2025 EBITDA guidance of approximately $135-$145 million, with a projected year-end cash position of $65-$75 million before the share buyback and any potential acquisitions.

Hunting reported a period-end sales order book of approximately $450 million, up from $439 million in Q1 2025, with a tender pipeline of about $1.1 billion.

The company secured $38 million in new orders for titanium stress joints in the Gulf of Mexico and field decommissioning projects in the North Sea.

The company completed two strategic acquisitions during the period: Flexible Engineered Solutions for $63 million and Organic Oil Recovery technology for $18 million.

It also divested its interest in Rival Downhole Tools for $12 million, resulting in a net acquisition spend of approximately $69 million.

Hunting is implementing a restructuring program across its EMEA operating segment, which includes closing sites in the Netherlands and Norway while transferring assets to Indonesia, Saudi Arabia, the UAE and the UK.

This initiative is expected to save around $10 million annually, with a one-off restructuring charge of approximately $9 million to be recorded in the half-year results.

Jim Johnson, Chief Executive of Hunting, said the company has taken "a significant step forward" in executing its 2030 Strategy with the two acquisitions, which he expects will "accelerate growth in revenue and EBITDA to the end of the decade."

As of June 30, 2025, Hunting reported total cash and bank of approximately $79 million, with additional liquidity available through its credit facilities to fund growth.

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