WaterBridge Q3 revenue rises 17% on record produced water volumes

By Reuters News


Overview

  • US water infrastructure firm's Q3 revenue rose 17% yr/yr on record produced water volumes

  • Adjusted EBITDA grew 18% yr/yr, driven by higher volumes and margin improvement

  • Company raised 2026 volume and EBITDA guidance, lowered capital expenditure outlook


Outlook

  • Company now expects 2026 produced water handling volumes of 2.65-2.75 mln barrels per day

  • WaterBridge raises 2026 Adjusted EBITDA guidance to $465-$485 mln

  • Company lowers 2026 capital expenditures guidance to $530-$560 mln


Result Drivers

  • DELAWARE BASIN ACTIVITY - Co said higher activity in the Delaware Basin and increased capture of existing volumes drove record produced water handling volumes

  • SPEEDWAY PIPELINE - Outperformance of Speedway Phase I pipeline contributed to higher volumes and new commercial agreements

  • HIGHER CONTRACT RATES - Increased volumes and higher rates on new contracts contributed to sequential revenue growth


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

$240.16 mln

Q3 Net Income

$13.33 mln

Q3 Operating Income

$41.31 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the water & related utilities peer group is "buy"

  • Wall Street's median 12-month price target for WaterBridge Infrastructure LLC is $37.00, about 30.6% above its November 3 closing price of $28.32

  • The stock recently traded at 45 times the next 12-month earnings vs. a P/E of 48 three months ago


Reuters Recommended Reads

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  • Nov 2 - Williams Q3 adjusted EPS misses estimates


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.)

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