Core Viewpoint - Kodiak Gas Services (KGS) is expected to report a year-over-year decline in earnings despite higher revenues for the quarter ended September 2024, with the consensus outlook being crucial for assessing the company's earnings picture [1] Earnings Expectations - The consensus EPS estimate for Kodiak Gas is $0.26 per share, reflecting a year-over-year decrease of 7.1% [3] - Revenues are anticipated to reach $321.01 million, representing a 39% increase from the same quarter last year [3] Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 1.75%, indicating a reassessment by analysts [4] - The Most Accurate Estimate for Kodiak Gas matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10] Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [7][8] - Kodiak Gas currently holds a Zacks Rank of 2 (Buy), but the combination of a 0% Earnings ESP makes it challenging to predict an earnings beat [10] Historical Performance - In the last reported quarter, Kodiak Gas was expected to post earnings of $0.52 per share but only achieved $0.23, resulting in a surprise of -55.77% [11] - Over the past four quarters, the company has beaten consensus EPS estimates two times [12] Market Reaction - The stock price may increase if the upcoming earnings report exceeds expectations, while a miss could lead to a decline [2] - Other factors beyond earnings results may also influence stock movement, indicating that an earnings beat does not guarantee a price increase [13][15]

Core Insights - Kodiak Gas Services experienced a challenging quarter, with stock prices dropping nearly 9% following a disappointing earnings report [1] Financial Performance - Revenue for the second quarter increased by 52% year-over-year, reaching nearly $310 million, significantly surpassing the average analyst estimate of $223 million [2] - Net income fell sharply by 62%, amounting to $6.7 million, or $0.06 per share, which was below the consensus estimate of $0.34 per share [2] Strategic Developments - The company highlighted positive developments, including the completion of the acquisition of CSI Compressco, which formed the largest contract compression fleet in the industry [3] - Kodiak has raised its full-year guidance for non-GAAP (adjusted) EBITDA to a range of $590 million to $610 million for 2024, up from a previous range of $580 million to $610 million [3]

Table of Contents ____________________ ____________________ ____________________ ____________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 ____________________ FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commiss ...

Financial Data and Key Metrics Changes - For Q2 2024, total revenues reached $310 million, with adjusted EBITDA of $154 million, reflecting strong performance driven by the CSI acquisition and organic growth [9][16][17] - Adjusted EBITDA margin was approximately 50%, with adjustments indicating a potential margin closer to 52% if excluding certain charges [17] - The company expects full-year revenue to range between $1.12 billion and $1.18 billion, with adjusted EBITDA projected between $590 million and $610 million [21][22] Business Line Data and Key Metrics Changes - In the Contract Services segment, revenues were $276 million with an adjusted gross margin of 64%, indicating strong demand and successful recontracting efforts [18] - The Other Services segment generated $33 million in revenue with an adjusted gross margin of 16%, supporting customer needs with minimal capital investment [18] Market Data and Key Metrics Changes - The utilization rate for the compression fleet is currently at 94%, with the large horsepower group exceeding 98% utilization, reflecting a tight market [7][11] - The company has noted a significant increase in demand for compression horsepower due to rising natural gas production needs, particularly in the Permian Basin [13][14] Company Strategy and Development Direction - The company aims to balance disciplined growth with shareholder returns, as evidenced by an 8% increase in the quarterly dividend to $0.41 per share [6][23] - Future capital expenditures are expected to focus on electric motor-driven units, with half of the 2025 CapEx allocated to this area, while maintaining a core focus on large horsepower compression [12][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term demand for natural gas and compression services, citing the need for significant incremental horsepower to meet future energy demands [14][38] - The integration of the CSI acquisition is progressing well, with expected cost synergies now projected to exceed $30 million, up from an initial estimate of $20 million [9][15] Other Important Information - The company has divested a portion of its small horsepower units, which represent only about 1% of revenue-generating horsepower, to streamline operations [8] - The company is focused on refurbishing and redeploying idle assets, with an estimated 30,000 to 40,000 horsepower expected to be brought back to market in the next six to nine months [42] Q&A Session Summary Question: Medium-term outlook for EBITDA growth and revenue synergies from the CSI deal - Management indicated a positive outlook for EBITDA growth, suggesting a run rate of approximately $162 million per quarter, but noted it is too early to quantify revenue synergies from the CSI acquisition [27][28] Question: Electrification trends and capital discipline - Management stated that electrification will vary by project, with half of the 2025 CapEx focused on electric-driven units, but emphasized that capital discipline remains a priority in the industry [29][30] Question: Capacity and proceeds from divesting non-core assets - Management estimated that 150,000 to 200,000 horsepower could be divested, generating approximately $15 million to $20 million in annual revenue, which is already factored into guidance [34] Question: Customer orders and market share dynamics - Management expressed concerns that the outsourced compression market is losing share to in-sourced operations due to capital discipline among industry players [36] Question: Supply and demand outlook for compression - Management believes the current tightness in the market will persist for many years, driven by increasing demand for natural gas and compression services [37][38]

Kodiak Gas Services (KGS) came out with quarterly earnings of $0.23 per share, missing the Zacks Consensus Estimate of $0.52 per share. This compares to break-even earnings per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -55.77%. A quarter ago, it was expected that this provider of oil and gas infrastructure services would post earnings of $0.36 per share when it actually produced earnings of $0.39, delivering a surprise of 8 ...

NEWS RELEASE Investor Contact Graham Sones, VP – Investor Relations ir@kodiakgas.com (936) 755-3529 Kodiak Gas Services Announces Record Second Quarter 2024 Financial Results, Increases Full Year Adjusted EBITDA Guidance THE WOODLANDS, Texas — August 12, 2024 — Kodiak Gas Services, Inc. (NYSE: KGS) ("Kodiak" or the "Company"), a leading provider of critical energy infrastructure and contract compression services, today reported financial and operating results for the quarter ended June 30, 2024 and also upd ...

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Kodiak Gas Services, Inc. (NYSE:KGS) Q1 2024 Earnings Conference Call May 9, 2024 11:00 AM ET Company Participants Graham Sones - Investor Relations Mickey McKee - President and Chief Executive Officer John Griggs - Chief Financial Officer Conference Call Participants John Mackay - Goldman Sachs Neal Dingmann - Truist Securities Zack Van Everen - TPH Bill Austin - Daniel Energy Partners Operator Greetings, and welcome to the Kodiak Gas Services First Quarter Earnings Conference Call. [Operator Instructions] ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 ____________________ FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commission File Number: 001-41732 ____________________ Kodiak Gas Services, Inc. (Exact Na ...

NEWS RELEASE Contacts: Kodiak Gas Services, Inc. Graham Sones, VP – Investor Relations ir@kodiakgas.com Dennard Lascar Investor Relations Ken Dennard / Rick Black KGS@DennardLascar.com "With the closing of the CSI Compressco acquisition, Kodiak now has the largest contract compression fleet in the industry and a broadened suite of offerings to help our customers meet their compression infrastructure needs. We're pleased to announce revised (1) Adjusted EBITDA and Discretionary Cash Flow are Non-GAAP Financi ...