Nabors Industries Ltd. Q1 FY2026 earnings call

• Michael Wu highlighted 2025 marked a pivotal chapter with durable business model against macroeconomic headwinds, Amber Premium segment achieved revenue guidance, and adjusted EBITDA turned positive. Amber Premium is Asia's leading digital wealth management platform. Dubai subsidiary received virtual asset services provider license. Actively developing A-Suite, an AI-native product suite. Integrated in-house developed AI agent Mia into marketing and enterprise solution segment. Board authorized purchase of up to $50 million of Amber ADS. • Vicky Wong framed performance through platform economics, Wealth Management Solutions had strong growth, platform growth margin expanded, clients stayed during market correction. Accelerating growth through product innovation, OTC market share and margin expansion, geographical expansion. • Yi Bao updated on regulatory updates, Dubai subsidiary received VASP license, expanding presence in MENA. Platform and product upgrades including OTC platform integration, AI co-pilot development, structured product expansion, and foundation for real-world assets tokenization platform, laying foundation for A-Suite. • Josephine Guy reviewed financial results, Q4 2025 revenue $16.3 million, gross profit $12.1 million with 74.2% margin. Full-year revenue $66.1 million, gross profit $49.4 million with 74.8% margin, net income $4.7 million. Provided Q1 2026 guidance for Amber premium segment with projected revenue $5.1 to $5.6 million, and discussed strategic optimization and cost management.

Full year 2025 revenue was $66.1 million. Amber premium segment generated $50.2 million in revenue, a 572.1% increase from 2024. Q4 2025 consolidated revenue was $16.3 million. Wealth Management Solutions delivered $34.9 million in full year 2025, a 463.6% increase from 2024, and contributes around 69.5% of Amber premium segment revenue. Platform growth margin reached 74.8% in 2025, up from 33.4% in 2024. End of year platform asset was $1.3 billion, down from Q3 peak, but active clients held at 988, essentially flat year-over-year.

• Projected revenue for Amber premium segment in Q1 2026 is $5.1 to $5.6 million. • Intentionally refining client base to focus on high value compliant relationships while strategically streamlining resources and fulfilling regulatory requirements. • Implementing disciplined cost management to drive operating leverage as scaling, and enhancing financial reporting systems during merger integration.

Q: Do you think we could just take a step back first and perhaps you could describe the competitive environment in some of the markets that you operate in? And then perhaps we can take a closer look at some of your, call it, customer numbers from last year and how you expect those to evolve through next year.

A: Overall the competitive landscape of not only crypto, but broadly digital assets or even the fintech industry continue to evolve. There are new entrants, larger platforms undergoing changes. We accept changes are constant and want to evolve business strategy, product suite. Our regulatory strategy of being one of the more complete Asian regulated platforms gives unique access and long-term positioning. Also, investment in AI-related technologies brings efficiency, scalability, and better product services.

Q: In the press release, you talk about proactively refining your client base, focus on high-value compliant relationships. Can you give us a rough idea of how many clients are being off-boarded? What was your thinking around that? Was this a voluntary choice, or is this something, call it, tied to your license applications in various regions?

A: Our purposeful optimization is to focus on high-profile clients. As we are applying for Hong Kong license locally, we need more stringent standards for clients to onboard. Numbers of off-boarded clients will be disclosed in Q1 audience release.

Q: Amber recently received a virtual asset service provider license from Dubai VAE. So what's the revenue opportunity from the UAE? And another question is that our marketing and enterprise solutions generated a good revenue in 2025. Is this segment contributing positively to the growth margin? Also, given the iClick helpful sales pieces, should we expect the marketing and enterprise business to be the next?

A: MENA region is a strategically rapid-growing market forecast to reach $1.4 trillion in total wealth transfer. Marketing and enterprise solutions is a high quality business with high quality client base. We have began integration of Mia, the in-house AI capabilities behind it making significant changes, and hope to see progress in numbers in coming quarters.

Q: On my end, I have three questions. The first one is around the quarter performance because I'm looking at the quarter four and overall increase, there's an increase in overall revenue, but then... The revenue from wealth management solutions and asset on platform, there's a decline. So I just want to check it up exactly what happened in the fourth quarter. And the second question is around A-suite architecture. You mentioned about it, but could you offer us a little bit more color on what exactly that is and how is it different from the other AI buzzwords? And the third question is about AI agents, because I know you mentioned your strategy around AI agents. Could you elaborate a little bit more on your approach and how is it different from the broader AI narrative in the market?

A: In fourth quarter, market was soft, there was a big crash event on October 10th, and we were selective in structuring products, causing a little bit of slowdown in AOP. A-Suite is three AI-native operating systems mapped to business units, designed from day one to be operatable by agents, fundamentally increasing ability to service clients, provide new products, and increase unit economics. Our approach to AI agents is different as we see financial services in the agentic world, building agent-native systems specific to the financial domain, which will be the financial stack for the future agentic economy.