Financial Performance - Revenue for the three months ended September 30, 2025, was $382.4 million, a 31% increase from $292.2 million in the same period of 2024[169] - Net income for the three months ended September 30, 2025, was $71.2 million, up 90% from $37.5 million in the same period of 2024[171] - Adjusted gross margin for the three months ended September 30, 2025, was $252.6 million, representing a 42% increase from $178.0 million in the same period of 2024[168] - Revenue in contract operations increased by 36% to $944.993 million for the nine months ended September 30, 2025, compared to $693.939 million in the same period of 2024[190] - Adjusted gross margin for contract operations rose by 47% to $672.332 million, with an adjusted gross margin percentage of 71%, up from 66%[190] Operational Metrics - Total available horsepower at the end of September 30, 2025, was 4,845 thousand, an increase from 4,418 thousand at the end of September 30, 2024[161] - Average operating horsepower for the three months ended September 30, 2025, was 4,647 thousand, compared to 3,757 thousand in the same period of 2024, reflecting a 24% increase[161] - Revenue from contract operations increased by approximately $80.8 million due to acquisitions and higher rates[174] - Aftermarket services revenue increased by 20% to $56.2 million for the three months ended September 30, 2025, compared to $46.7 million in 2024[177] Expenses and Impairments - Selling, general and administrative expenses rose to $37.7 million for the three months ended September 30, 2025, from $34.1 million in 2024[180] - Interest expense increased to $43.7 million for the three months ended September 30, 2025, compared to $30.2 million in 2024, primarily due to higher long-term debt[184] - The company recorded a long-lived asset impairment of $4.7 million for the three months ended September 30, 2025, compared to $2.5 million in 2024[182] Capital Expenditures - Growth capital expenditures were $299.0 million for the nine months ended September 30, 2025, compared to $181.6 million in 2024, reflecting increased investment in new compressors[211] - Maintenance capital expenditures increased to $84.8 million for the nine months ended September 30, 2025, from $66.1 million in 2024, driven by higher maintenance activities[212] Taxation - The provision for income taxes increased by 66% to $68.994 million for the nine months ended September 30, 2025, compared to $41.545 million in 2024[205] - The effective tax rate increased to 27% for the nine months ended September 30, 2025, compared to 25% in the same period of 2024[205] Dividends and Shareholder Returns - The company declared a quarterly dividend of $0.21 per share, payable on November 13, 2025, to stockholders of record on November 4, 2025[216] Debt and Financing - The Credit Facility was amended to increase borrowing capacity from $1.1 billion to $1.5 billion, with potential increases up to $2.3 billion[218] - The average debt balance under the Credit Facility was $653.6 million for the nine months ended September 30, 2025, compared to $268.7 million for the same period in 2024, with a weighted-average interest rate of 6.6%[219] - As of September 30, 2025, the company had $768.7 million of variable interest rate debt outstanding at a weighted average interest rate of 6.6%[227] - A 1% change in the effective interest rate on the Credit Facility's outstanding balance would result in an annual interest expense change of $7.7 million[228] - The company was in compliance with all covenants under its Credit Facility as of September 30, 2025, with all undrawn capacity available for borrowings[220] Cash Flow - Net cash provided by operating activities increased to $407.6 million for the nine months ended September 30, 2025, up from $305.3 million in 2024[223] - Net cash provided by financing activities decreased by $617.4 million, primarily due to a reduction in long-term debt borrowings and common stock issuance[226] - The company recorded a net decrease in cash and cash equivalents of $337,000 for the nine months ended September 30, 2025, compared to an increase of $2.4 million in 2024[223] Acquisitions - Transaction-related costs for the NGCS Acquisition totaled $8.7 million for the nine months ended September 30, 2025, while costs related to the TOPS Acquisition were $3.1 million[201] - The company spent $868.7 million on the TOPS acquisition, compared to $296.5 million for the NGCS Acquisition, reflecting a significant investment in growth[225] Asset Sales - The gain on sale of assets increased to $13.8 million for the nine months ended September 30, 2025, compared to $5.1 million in 2024[202] Debt Repurchase - The company initiated the repurchase of its 2027 Notes, expected to be redeemed on November 17, 2025, at 100% of their $300 million principal amount plus approximately $2.6 million in accrued interest[217]

Archrock (NYSE:AROC) Q3 2025 Earnings Call October 29, 2025 08:30 AM ET Company ParticipantsMichael Blum - Managing DirectorBrad Childers - President and CEOEli Jossen - Equity Research VPGab Moreen - Managing DirectorMegan Repine - VP of Investor RelationsDoug Irwin - VPJosh Jayne - Managing DirectorDoug Aron - Senior VP and CFONathaniel Pendleton - VPConference Call ParticipantsSelman Akyol - AnalystSteve Ferazani - Senior Equity AnalystElvira Scotto - Managing Director and Equity Research AnalystJim Roll ...

Archrock (NYSE:AROC) Q3 2025 Earnings Call October 29, 2025 08:30 AM ET Company ParticipantsMichael Blum - Managing DirectorBrad Childers - President and CEOEli Jossen - Equity Research VPGab Moreen - Managing DirectorMegan Repine - VP of Investor RelationsDoug Irwin - VPJosh Jayne - Managing DirectorDoug Aron - Senior VP and CFONathaniel Pendleton - VPConference Call ParticipantsNone - AnalystSteve Ferazani - Senior Equity AnalystElvira Scotto - Managing Director and Equity Research AnalystJim Rollyson - D ...

Archrock (NYSE:AROC) Q3 2025 Earnings Call October 29, 2025 08:30 AM ET Speaker5Good morning and welcome to the Archrock Third Quarter 2025 Conference Call. Your host for today's call is Megan Repine, Vice President of Investor Relations at Archrock. I will now turn the call over to Ms. Repine. You may begin.Speaker2Thank you, Jillian. Hello, everyone, and thanks for joining us on today's call. With me today are Brad Childers, President and Chief Executive Officer of Archrock, and Doug Aron, Chief Financial ...

Exhibit 99.1 Archrock Reports Third Quarter 2025 Results and Raises 2025 Financial Guidance HOUSTON, October 28, 2025 - Archrock, Inc. (NYSE: AROC) ("Archrock" or the "Company") today reported results for the third quarter 2025. Third Quarter 2025 and Recent Highlights Management Commentary and Outlook "Third quarter performance again demonstrated the strength of our operations and the natural gas and compression markets through outstanding customer service, excellent operational execution and stellar profi ...

Archrock Inc. (AROC) came out with quarterly earnings of $0.42 per share, beating the Zacks Consensus Estimate of $0.41 per share. This compares to earnings of $0.28 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +2.44%. A quarter ago, it was expected that this natural gas compression services business would post earnings of $0.37 per share when it actually produced earnings of $0.39, delivering a surprise of +5.41%.Over the ...

HOUSTON, Oct. 28, 2025 (GLOBE NEWSWIRE) -- Archrock, Inc. (NYSE: AROC) (“Archrock” or the “Company”) today reported results for the third quarter 2025. Third Quarter 2025 and Recent Highlights Revenue for the third quarter of 2025 was $382.4 million compared to $292.2 million in the third quarter of 2024.Net income for the third quarter of 2025 was $71.2 million and EPS was $0.40, compared to $37.5 million and $0.22, respectively, in the third quarter of 2024.Adjusted net income (a non-GAAP measure defined ...

Core Viewpoint - Archrock Inc. is expected to report a year-over-year increase in earnings and revenues for the quarter ended September 2025, with a consensus outlook indicating a potential positive impact on its stock price depending on actual results compared to estimates [1][2]. Earnings Expectations - The consensus estimate for Archrock's quarterly earnings is $0.41 per share, reflecting a year-over-year increase of +46.4% [3]. - Revenues are projected to be $377.37 million, which is a 29.2% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 1.64% higher in the last 30 days, indicating a positive reassessment by analysts [4]. - The Most Accurate Estimate for Archrock is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +7.32% [12]. Earnings Surprise Prediction - A positive Earnings ESP reading suggests a likely earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy) [10]. - Archrock currently holds a Zacks Rank of 1, indicating a strong likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Archrock was expected to post earnings of $0.37 per share but delivered $0.39, resulting in a surprise of +5.41% [13]. - Over the past four quarters, Archrock has beaten consensus EPS estimates three times [14]. Industry Comparison - Baker Hughes, a competitor in the Oil and Gas - Field Services industry, is expected to report earnings of $0.61 per share, reflecting a year-over-year decrease of -9% [18]. - Baker Hughes has an Earnings ESP of -2.28% and a Zacks Rank of 3 (Hold), making it difficult to predict an earnings beat [19].

Group 1: Stock Performance - Archrock Inc. (AROC) closed at $24.59, reflecting a +1.4% change from the previous day's closing price, outperforming the S&P 500's gain of 1.07% [1] - The stock has increased by 0.62% over the past month, while the Oils-Energy sector has declined by 2.63% [1] Group 2: Upcoming Earnings Report - Archrock Inc. is set to release its earnings report on October 28, 2025, with an expected EPS of $0.41, representing a 46.43% increase year-over-year [2] - Revenue is anticipated to be $377.37 million, indicating a 29.16% rise compared to the same quarter last year [2] Group 3: Fiscal Year Projections - For the fiscal year, earnings are projected at $1.57 per share, a +49.52% change from the prior year, with revenue expected to reach $1.49 billion, reflecting a +28.66% increase [3] Group 4: Analyst Estimates and Confidence - Recent adjustments to analyst estimates for Archrock Inc. indicate changing business trends, with positive revisions suggesting analysts' confidence in the company's performance [4] - The Zacks Rank system, which incorporates these estimate changes, currently ranks Archrock Inc. as 2 (Buy) [6] Group 5: Valuation Metrics - Archrock Inc. has a Forward P/E ratio of 15.49, which is lower than the industry average of 15.86, indicating a discount relative to its peers [7] - The company's PEG ratio stands at 1.29, compared to the industry average of 1.62, suggesting favorable growth expectations [8] Group 6: Industry Ranking - The Oil and Gas - Field Services industry, which includes Archrock Inc., holds a Zacks Industry Rank of 176, placing it in the bottom 29% of over 250 industries [8][9]

Core Insights - Archrock Inc. is experiencing significant growth, ranking in the top 10% of stocks according to growth metrics [1][2] - The company's growth score increased to 90.10, indicating strong revenue and earnings expansion [2] - A bullish outlook for the natural gas market supports Archrock's growth trajectory, with projected price increases for natural gas [3] Company Performance - Archrock's contract operations achieved a 70% adjusted gross margin in Q2 2025, positioning the company well for midstream infrastructure growth [4] - The company sold 155 compressors to Flowco Holdings for $71 million, optimizing its asset portfolio [4] - Archrock raised its FY25 adjusted EBITDA guidance to $810–$850 million following strong Q2 results [4] Market Positioning - Archrock's quality ranking is at 86.13, reflecting operational efficiency and financial health compared to peers [5] - The company's value ranking stands at 62.29, suggesting it may be undervalued based on asset, earnings, and sales comparisons [5] Stock Performance - Archrock shares increased by 0.82% in premarket trading and ended 0.50% higher at $24.30 per share [6] - Year-to-date, the stock is down 3.99%, but it has advanced 13.18% over the past year [6] - Comparatively, the S&P 500 and Nasdaq 100 indices showed positive movements, while the Dow Jones experienced a slight decline [6]