Capital Com MENA Securities Trading LLC is regulated by the Capital Market Authority.
Open platformOpen platform

Select Water Solutions Q3 revenue beats on higher volumes handled

By Reuters News


Overview

  • US water solutions provider's Q3 revenue rose 28% yr/yr, beating analyst expectations

  • Adjusted EBITDA for Q3 increased 57% yr/yr, beating analyst estimates

  • Company completed Peak Rentals divestment and closed Pilot Water Solutions acquisition post-quarter


Outlook

  • Company expects Q4 adj EBITDA of $95-$100 mln

  • Select sees Q4 Water Infrastructure revenue of $150-$160 mln, gross margin before D&A 52%-56%


Result Drivers

  • WATER INFRASTRUCTURE GROWTH - Record Water Infrastructure revenue driven by over 30% increase in produced water volumes handled, per CEO John Schmitz

  • SEGMENT PERFORMANCE - Water Services and Chemical Technologies segments generated strong performance relative to guided expectations, with Water Services revenue up 7% sequentially and Chemical Technologies at high end of guidance

  • STRATEGIC TRANSACTIONS - Completed Peak Rentals divestment and closed Pilot Water Solutions acquisition, expanding water midstream position


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$412 mln

$397.53 mln (4 Analysts)

Q3 Net Income

$23 mln

Q3 Adjusted EBITDA

Beat

$93 mln

$90.91 mln (6 Analysts)

Q3 Gross Margin

19.70%

Q3 Adjusted Gross Margin

31.40%

Q3 Gross Profit

$81.40 mln


Reuters Recommended Reads

  • Nov 9 - Kodiak Gas Services Q3 revenue rises 25%, beats estimates

  • Nov 9 - National Energy Services Reunited Q3 revenue tops estimates on service line activity

  • Nov 6 - US natgas rig count rose 1 at 131 - Baker Hughes


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.