Expro Group Holdings (NYSE:XPRO) opened 2026 with Q1 revenue of US$367.6 million and a small net loss of US$1.0 million, translating to EPS of roughly a US$0.01 loss, while the trailing twelve months show EPS of US$0.32 on revenue of about US$1.6 billion. Over recent quarters the company has seen revenue move from US$390.9 million in Q1 2025 to a peak of US$436.8 million in Q4 2024, before settling at US$367.6 million in the latest quarter. Quarterly EPS ranged from US$0.12 to US$0.20 profit before slipping into a modest loss this time, putting margins and earnings quality firmly in the spotlight for investors.

See our full analysis for Expro Group Holdings.

With the latest figures on the table, the next step is to see how these margins and earnings trends line up with the widely held narratives around Expro Group Holdings's growth potential and risk profile.

Margins Squeezed, Profit Margin At 2.3%

• On a trailing twelve month basis, Expro converted US$1.58b of revenue into US$36.7 million of net income, which works out to a 2.3% net profit margin compared with 4% a year earlier.
• Consensus narrative expects margin initiatives like cost programs and digital tools to support steadier profitability. However, the current 2.3% margin highlights that, so far, reported profitability is running below the 4.3% margin level used in some longer term scenarios.
  • Analysts looking ahead use margin levels in the 4.9% range, so the gap between 2.3% today and those assumptions is something to track against future reports.
  • With Q1 2026 showing a small net loss of US$1.0 million, investors can use these margin points as reference markers when comparing future quarters to the narrative that margins improve over time.

High 49.9x P/E Versus Industry

• Based on trailing earnings, Expro is on a 49.9x P/E compared with 26.6x for the broader US Energy Services industry and 64.6x for its closer peer group.
• Bulls point to forecasts of about 36.9% yearly earnings growth as a reason this higher than industry P/E could still be justified. At the same time, the current 2.3% net margin and the presence of a US$30.4 million one off loss make it important to check whether that growth shows up in future numbers.
  • The recent move from US$51.9 million of trailing net income a year ago to US$36.7 million now reflects that reported earnings have been affected in the short term, even while longer term growth forecasts remain upbeat.
  • With the stock at US$16.16, the tension between a relatively high P/E and modest recent profitability gives you a concrete set of figures to compare against any optimistic growth story.

Expro’s recent margin pressure and premium P/E multiple are exactly what bullish investors are debating, so it can be useful to see how those numbers stack up against the most optimistic storyline for the stock. 🐂 Expro Group Holdings Bull Case

DCF Fair Value Versus US$16.16 Price

• The shares recently changed hands at US$16.16, while the provided DCF fair value is US$41.29, which is described as about 60.9% above the current market price.
• Bears highlight that, despite this DCF gap, the stock already trades on a 49.9x P/E and that revenue is only forecast to grow around 2.6% per year. They therefore question whether relatively low recent margins and modest revenue growth justify paying up for the longer term earnings story implied by that valuation.
  • The trailing net income of US$36.7 million on US$1.58b of revenue is one reference point for those concerns, especially when compared with scenarios that assume earnings above US$80 million in a few years.
  • For a cautious investor, comparing the current 2.3% net margin and 49.9x P/E with that US$41.29 DCF fair value estimate can help frame what would need to change in future results before the bearish view softens.

Skeptical investors often focus on the gap between DCF fair value and current price, so it helps to compare that directly with today’s earnings, margins, and revenue forecasts before deciding how much downside or upside risk you are comfortable with. 🐻 Expro Group Holdings Bear Case

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Expro Group Holdings on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

Seen enough debate between bulls and bears for now? Use the figures, forecasts, and narratives above to test your own thesis and weigh both sides with 2 key rewards and 2 important warning signs.

Explore Alternatives

Expro Group Holdings is working with thin 2.3% net margins, a recent quarterly loss, and a relatively high 49.9x P/E that leans heavily on optimistic forecasts.

If you are uneasy about paying a rich multiple for modest profitability, compare this situation with companies screened as 48 high quality undervalued stocks and focus on stocks where current fundamentals do more of the work.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.