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OMSE, OMS Energy Technologies Inc.
We are a growth-oriented manufacturer of surface wellhead systems, or SWS, and oil country tubular goods, or OCTG products used in the oil and gas industry.
The primary end market for our products is for the purposes of onshore and offshore exploration and production, or E&P, operators in the Asia Pacific and the Middle Eastern and North Africa (MENA) regions.
Our products have been designed, manufactured and certified with the American Petroleum Standards (API) and International Organization of Standardization (ISO).
The business
What it sells, where the money comes from, the kind of company it is.
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- The capital-goods cycle and the aftermarket. What decides it: new-equipment demand, which tracks customers' capex; the steadier parts-and-service stream that cushions it; and operating leverage on a fixed cost base. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 20-F →Saudi Arabia is 69% of revenue, so this is largely a single-region business.
- Saudi Arabia69%$141M
- Singapore10%$19M
- Malaysia7%$15M
- Indonesia7%$14M
- Thailand6%$11M
- Others1%$3M
From the segment footnote of the company's own 20-F. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.
The record
Ten years of arithmetic, read across the cycle.
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2025 the business reported $45M of profit but $38M of owner earnings: $7M less than the profit line, taken out by capital spending and the timing of cash.
| FY2025 | FY2023 | |
|---|---|---|
| Reported net income | $45M | $12M |
| Depreciation & amortizationnon-cash charge added back | +$4M | +$2M |
| Working capital & othertiming of cash in and out, other non-cash items | −$8M | +$15M |
| Cash from operations | $41M | $29M |
| Capital expenditurecash put back in to keep running and to grow | −$3M | −$1M |
| Owner earnings | $38M | $28M |
| Owner-earnings marginowner earnings ÷ revenue | 18% | 29% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
“During fiscal 2026, the Company implemented several remediation measures to address the identified material weakness.”
The figures below are only as sound as the controls that produced them. read the note →
Will it survive?
- Can it pay its interest? 210.8×ComfortableOperating income $60M ÷ interest expense $284K
What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
- Net cashCash $73M − debt $7M
What this means
Cash and short-term investments exceed every dollar of debt by $66M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Not enough data
What this means
The filing data didn't include the inputs for this check.
Is it a good business?
- Very high (≥25%)NOPAT $46M ÷ invested capital $62M (debt + equity − cash)Industry peers: median -1%
What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
- HighOwner earnings $38M = operating cash $41M − maintenance capex $3MIndustry peers: median 6%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 18% of revenue this year.
- Mostly cash-backedCash from ops $41M ÷ net income $45M
In the filing’s words The filing discloses a material weakness in its financial controls — the reported numbers here, and the record built on them, are only as reliable as the controls that produced them.
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? 0.79×HarvestingCapex $3M ÷ depreciation $4M
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
Graham’s defensive tests · 2 of 3 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $204M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity PassCurrent ratio ≥ 2× · 5.11×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Conservative debt PassDebt ≤ working capital · $7M vs $100M WC
What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.67/share (latest year $1.06), the averaged base the calculator's gate runs on, and book value is $3.04/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Mar 31, 2025Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
- Cash & short-term investments$73M
- Receivables$13M
- Other current assets$38M
- Debt due within a year$7M
- Accounts payable$15M
- Other current liabilities$3M
From the company's latest filing.
Peers, Oilfield Services & Equipment
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| INVXInnovex International Inc. | $978M | 29% | 4.1% | 3% | 6% |
| FETForum Energy Technologies Inc. | $791M | 25% | -14.0% | -7% | 0% |
| FLOCFlowco Holdings Inc. | $760M | 54% | 21.8% | — | 17% |
| OISOil States International Inc. | $669M | 22% | -10.5% | -5% | 6% |
| GHMGraham Corporation | $245M | 22% | 1.9% | 3% | 6% |
| OMSEOMS Energy Technologies Inc. | $204M | 34% | 29.4% | 74% | 18% |
| OUSTOuster Inc. | $169M | 27% | -297.0% | -101% | -224% |
| ERIIEnergy Recovery Inc. | $135M | 69% | 13.5% | 13% | 8% |
| Group median | — | 28% | 3.0% | 3% | 6% |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the home-market price, not the US ADR quote. OMS Energy Technologies Inc. reports in USD, and every figure here (owner earnings, book value, the share count) is on that ordinary-share basis. Enter the price on the same basis: the local-exchange quote per ordinary share. A US ADR price in dollars bundles the ADR-to-ordinary ratio, so it will not reconcile with these figures and would throw the multiple off.
Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what OMS Energy Technologies Inc. has delivered.
—
9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.
Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Owner earnings $38M on 42M shares outstanding, per the 20-F cover, as of 2026-03-31; net cash $66M. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Manual order: ← OMAB its page in the Manual ONEG →
Industry order: ← OIS the Oilfield Services & Equipment chapter PDS →