v3.26.1
Stockholders' Equity
 6 Months Ended
Jun. 30, 2026
Equity [Abstract]  
Stockholders' Equity

6. Stockholders’ Equity

Preferred Stock

The Company has authorized 20 million shares of undesignated preferred stock. The Board of Directors has the authority to issue shares of the preferred stock. As of June 30, 2026 and December 31, 2025, there were no shares of preferred stock issued or outstanding.

Common Stock

On November 6, 2025, the Company issued 82 million shares of common stock to former shareholders of MRC Global in connection with the closing of its acquisition of MRC Global.

Share Repurchase Program

On January 24, 2025, the Company’s Board of Directors authorized a share repurchase program to purchase up to $160 million of its outstanding common stock. The Company may repurchase common stock through various methods, including, but not limited to, open market, privately negotiated transaction, or by other means which comply with applicable state and federal securities laws. The amount and timing of any repurchase will depend on several factors, including share price, general business and market conditions, and alternative investment opportunities. The share repurchase program does not obligate the Company to repurchase shares and may be suspended or discontinued at any time at the Company's discretion. All shares repurchased shall be retired pursuant to the terms of the share repurchase program. Depending on the timing of the retirement and cash settlement of the repurchased shares, the Company could have shares held in treasury stock until retired. Share repurchases made are subject to a 1% excise tax. The impact of this 1% excise tax was less than $1 million for both the six months ended June 30, 2026 and 2025.

Information regarding the shares repurchased is as follows:

 

 

Three months ended June 30,

 

 

Six months ended June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Total cost of shares repurchased (1) (in millions)

 

$

25

 

 

$

19

 

 

$

75

 

 

$

27

 

Average price per share (1)

 

$

13.46

 

 

$

15.14

 

 

$

12.39

 

 

$

15.66

 

Number of shares repurchased

 

 

1,855,844

 

 

 

1,267,429

 

 

 

6,057,772

 

 

 

1,711,235

 
(1)
Excludes 1% excise tax on share repurchases.

Consolidated Variable Interest Entities (“VIE”)

The Company conducts certain operations through contractual arrangements with certain entities that are considered VIEs. The Company is the primary beneficiary and consolidates the VIEs as it has the power to direct the activities that most significantly affect the VIEs’ economic performance and has the obligation to absorb the VIEs’ losses or the right to receive benefits. For the three and six months ended June 30, 2026, net loss attributable to noncontrolling interests was less than $1 million for each period, and for the three and six months ended June 30, 2025, net income attributable to noncontrolling interests was approximately nil and $1 million, respectively.

The assets of the VIEs can only be used to settle its own obligations and its creditors have no recourse to the Company’s assets. As of June 30, 2026 and December 31, 2025, the VIEs’ assets were primarily current assets of $25 million and $24 million, respectively, including cash and cash equivalents, receivables, net and prepaid and other current assets. As of June 30, 2026 and December 31, 2025, the VIEs’ liabilities were primarily comprised of current liabilities of $11 million and $8 million, respectively, including accounts payable and accrued liabilities.