Posted May 6, 2020

NOW Inc. sales drop 23 percent

NOW Inc. reported revenue of $604 million for the first quarter, a 23 percent decline from $785 million in the same period last year.

A net loss of $331 million, or a loss of $3.03 per share, compared to income of $18 million, or 16 cents per share, in last year's first quarter.

“The market faces a challenging environment due to steep declines in oil prices, rig counts and worldwide oil demand. Through our financial discipline, we entered this unprecedented period with zero debt, over $200 million in cash and access to ample liquidity under our credit facility. We have accelerated our structural transformation, which includes streamlining our organization and deploying technology to create additional customer value and revenue through our DigitalNOW investment," said Dick Alario, interim CEO.

As part of an initiative to generate approximately $100 million of cost savings, the company plans a headcount reduction of 1,250 this year.