Nine Energy Service Earnings Call Transcripts
Fiscal Year 2026
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Q2 2026 revenue met guidance but adjusted EBITDA lagged due to margin compression in Coiled Tubing, driven by inflation and unit downtime. Completion Tools and international sales were strong, while Q3 revenue is projected flat to slightly down amid ongoing cost pressures and market uncertainty.
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Q1 2026 was marked by bankruptcy emergence, severe weather disruptions, and a $5.5M inventory write-down, resulting in $130M revenue and $3M adjusted EBITDA. Outlook for Q2 is improved, with guidance of $136M–$146M revenue and $10M–$15M adjusted EBITDA.
Fiscal Year 2025
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Q3 2025 saw revenue and earnings decline due to rig count drops, pricing pressure, and market share losses, though international revenue grew 19% year-over-year. Q4 revenue and adjusted EBITDA are expected to decline further amid continued market headwinds.
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Q2 2025 revenue reached $147.3M, with adjusted EBITDA of $14.1M, as oil price declines and tariffs pressured U.S. activity, but natural gas and international tool sales provided support. Q3 revenue is projected to decline, with continued cost controls and growth in international markets expected.
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Q1 2025 saw 6% sequential revenue growth and 17% higher Adjusted EBITDA, driven by market share gains and cost controls. Despite stable U.S. activity, tariffs and oil price declines are creating uncertainty, with Q2 revenue and EBITDA expected to fall.
Fiscal Year 2024
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Revenue for 2024 reached $554.1M with Q4 at $141.4M, driven by strong cementing and cost-cutting. Net loss for the year was $41.1M, but adjusted EBITDA improved, and market share gains were achieved despite a challenging market. Q1 2025 revenue is projected to rise further.
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Q3 2024 saw revenue and adjusted EBITDA exceed guidance, driven by strong cementing performance and cost reductions. Despite challenging natural gas prices and a declining rig count, market share gains and new technology adoption supported results.
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Q2 2024 revenue was $132.4M with Adjusted EBITDA of $9.7M, impacted by continued rig declines and low gas prices. Guidance for Q3 is flat, with CapEx lowered to preserve liquidity. Refrac and remedial markets are showing growth, and long-term gas market outlook remains positive.