McCoy Global (MCB) Q2 2025 earnings summary

Executive summary

• Revenue rose 21% year-over-year to $24.1 million in Q2 2025, driven by strong smartProduct sales, which now comprise 58% of total revenue, up from 32% last year.

• Net earnings fell 56% to $1.4 million due to higher stock-based compensation, largely from a non-recurring director share unit issuance.

• Adjusted EBITDA was $4.8 million (20% of revenue), nearly flat year-over-year, with margin decline attributed to bad debt provisions.

• Declared a quarterly dividend of $0.025 per share, payable October 15, 2025.

Financial highlights

• Gross profit margin improved to 36% from 34% year-over-year, reflecting higher production throughput and favorable product mix.

• Booked backlog reached $24.6 million, up from $22.3 million in Q2 2024.

• Book-to-bill ratio increased to 0.93 from 0.83 year-over-year.

• Net cash position was $6.6 million, with $12.1 million in undrawn credit facilities as of June 30, 2025.

Outlook and guidance

• Q3 2025 may see tempered sequential revenue and earnings growth due to timing of contract awards and North American market weakness.

• Medium-term oil & gas fundamentals remain stable, especially in MENA, with anticipated contract awards expected to drive future growth.

• Strategic focus on accelerating smartProduct adoption and disciplined capital allocation.