Financial Data and Key Metrics Changes - For Q2 2021, the company reported revenue of $84.8 million, a 27% increase compared to Q1 2021, and within the guidance range of $78 million to $86 million [5][19] - The net loss for the quarter was $24.5 million, with adjusted EBITDA at negative $0.4 million [13][18] - Cash and cash equivalents stood at $33.1 million, with total liquidity of $85.4 million as of June 30, 2021 [14] Business Line Data and Key Metrics Changes - Cementing revenue increased by approximately 19% quarter-over-quarter, totaling $27.3 million, driven by activity and price increases [11][15] - Coiled tubing revenue rose by approximately 32% quarter-over-quarter, reaching $14.5 million, with a 25% increase in days worked [17] - Wireline revenue surged by 46% to $18.6 million, with significant market share gains in the Permian [12][16] - Completion tools revenue increased by approximately 22%, totaling $24.4 million, with a 26% increase in completed stages [16] Market Data and Key Metrics Changes - The EIA reported a 19% increase in completed wells quarter-over-quarter, primarily driven by a 26% increase in the Permian [6][7] - The average active frac crews in the U.S. increased by approximately 13% quarter-over-quarter, with about half operating in the Permian [7] Company Strategy and Development Direction - The company is focused on implementing price increases in cementing (10% to 20%) and coiled tubing (8% to 12%) services while navigating labor and materials inflation [9][10] - The strategy emphasizes being an asset and labor-light company, with revenue growth outpacing headcount increases [10][21] - The company is converting existing wireline units to electric wireline to reduce carbon emissions and enhance service offerings [20] Management's Comments on Operating Environment and Future Outlook - Management anticipates Q3 2021 to outperform Q2 in terms of activity and revenue, projecting revenue between $95 million and $103 million [21] - The labor shortage is a significant challenge, impacting service quality and revenue potential [9][54] - The company expects moderate activity increases for the remainder of 2021, with a focus on maintaining service quality and safety [19][54] Other Important Information - The company wrote down $2.4 million of tools inventory during the quarter as part of transitioning to new technology [6][15] - General and administrative expenses increased to $12.2 million due to a legal accrual [17] Q&A Session Summary Question: Incrementals going into Q3 - Management indicated that a gross margin increment of about 35% in Q2 could be expected for Q3, but it is not guaranteed [25] Question: Pricing and cost inflation - Management noted the dynamic nature of the market makes it difficult to predict how much pricing can be pushed through due to fluctuating costs [27] Question: Free cash flow expectations - Management stated that working capital will continue to be a cash drain, and free cash flow positivity is not expected in the near term due to CapEx and coupon payments [30][32] Question: ESG benefits of dissolvables - Management highlighted significant reductions in carbon emissions with dissolvable plugs compared to traditional methods, making them more appealing to customers [35][36] Question: Customer interest in ESG - There has been a notable increase in customer interest in ESG metrics and cleaner technologies over the past 60 to 90 days [40][41] Question: Cementing supply chain issues - Management acknowledged ongoing cement shortages and emphasized the importance of strong supplier relationships to mitigate risks [48][49] Question: Labor quality concerns - Management expressed concerns about the quality of labor available and its potential impact on service quality and revenue [53][54] Question: Coupon payments - Management confirmed that a coupon payment of $14 million is due in Q4 [56]

Company Overview - Nine is focused on building a full-cycle ROIC business with an asset-light business model[8] - The company is leveraged to increasing completion intensity, including mega-well pads, lateral lengths, and stage count[8] - As of H1 2021, completion tools contributed approximately 29% of revenue, compared to approximately 3% in 2017[17] - From YE 2018 to 6/30/21, the company lowered headcount by approximately 64%[17] Financial Performance - In 2018, Revenue was $827 million, Adjusted EBITDA was $141 million, with an Adjusted EBITDA margin of 17%[12] - In 2019, Revenue was $833 million, Adjusted EBITDA was $113 million, with an Adjusted EBITDA margin of 14%[12] - In 2020, Revenue was $311 million, Adjusted EBITDA was -$26 million, with an Adjusted EBITDA margin of -8%[12] - In Q2 Ann 2021, Revenue was $339 million, Adjusted EBITDA was -$2 million, with an Adjusted EBITDA margin of -1%[12] - As of June 30, 2021, the company had $331 million in cash and $523 million in ABL availability, resulting in a total liquidity of $854 million[105] Dissolvable Plug Technology - Dissolvable plug completion can be ~14-31 days per wellbore: A reduction of ~20%[72] - The life-cycle carbon footprint of the dissolvable plug is 18% smaller per wellbore than the conventional composite plug[98] - Dissolvable frac plugs on a 6-well pad take 84 cars off the road: ~404 metric tons of CO2E[92]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q _________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED June 30, 2021 OR ☐ 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: 001-38347 __________________________________________________________________ Nine Energy Service, ...

Financial Data and Key Metrics Changes - Company revenue for Q1 2021 was $66.6 million, representing an increase of approximately 8% quarter-over-quarter despite a 3% decrease in completed wells [16][8] - Net loss for the quarter was $8.2 million, with adjusted EBITDA at negative $3.4 million and basic EPS at negative $0.28 [16][24] - Cash and cash equivalents as of March 31, 2021, were $53 million, with total liquidity of $98.8 million [19] Business Line Data and Key Metrics Changes - Cementing revenue increased by approximately 22% quarter-over-quarter, totaling $22.9 million, driven by market share gains in the Delaware basin [11][21] - Coiled tubing revenue decreased by approximately 7% to $10.9 million due to weather-related shutdowns [23] - Completion tools revenue increased by approximately 11% to $20 million, with stages completed rising by 24% [23][20] Market Data and Key Metrics Changes - U.S. new wells drilled increased by approximately 25% quarter-over-quarter, with active frac crews estimated at 185 to 190 [7] - The company experienced a 6% market share gain in stages completed throughout 2020, despite a 3% decrease in completed wells [12] Company Strategy and Development Direction - The company is focused on gaining market share across service lines while maintaining positive gross margins, particularly in the Permian, Northeast, and Haynesville regions [32] - Plans to convert existing wireline units to electric wireline to reduce emissions and improve efficiency [31] - The company is monitoring supply chain issues closely, particularly cement shortages, which could impact operations [34][62] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that Q1 2021 would be the worst quarter for the company, with expectations for sequential revenue increases in Q2 and Q3 [27][33] - The labor market is tightening, which could lead to potential price increases and the ability to pass through incremental costs [29][30] - Management noted that the service sector is facing significant challenges, including service quality issues and labor shortages [42][56] Other Important Information - The company repurchased $26.3 million par value of bonds for $8.4 million cash, reducing annual cash interest expense [16][18] - Total capital expenditures for Q1 were $1.9 million, with anticipated cash outflows for Q2 including senior notes interest payments of approximately $14 million [25] Q&A Session Summary Question: What is embedded in the Q2 revenue guide regarding pricing and material shortages? - Management indicated that activity is primarily driving revenue growth, with hopes for price increases later in the year [39] Question: Are incremental margins expected to remain in the 20%-25% range? - Management stated that while higher incremental margins are possible as pricing increases, timing remains uncertain [50] Question: Is there potential for free cash flow positive quarters in 2021? - Management noted that free cash flow will depend on the timing of interest payments, CapEx, and working capital [52] Question: How does the simultaneous frac market growth impact Nine? - Management expressed that increased efficiency in customer operations would positively affect margins [53] Question: Any traction in international markets for completion tools? - Management confirmed that new tools have been introduced to international markets, with positive traction noted [54] Question: Will idle cementing units return to work this year? - Management indicated that there is a possibility for idle units to return to work due to market share gains [55] Question: Is service quality an issue across all service lines? - Management acknowledged that service quality issues are prevalent across multiple service lines, particularly in coiled tubing [56]

Q1 2021 INVESTOR PRESENTATION O Nine DISCLAIMER Forward-Looking Statements & Non-GAAP Financial Measures Certain statements in this presentation are forward-looking statements that are subject to a number of risks and uncertainties, many of which are beyond our control. All statements, other than statements of historical fact included in this presentation, regarding our strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of managem ...

FOR THE QUARTERLY PERIOD ENDED March 31, 2021 OR ☐ 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: 001-38347 __________________________________________________________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q _________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Nine Energy Service, ...

Q4 2020 INVESTOR PRESENTATION O Nine DISCLAIMER Forward-Looking Statements & Non-GAAP Financial Measures Certain statements in this presentation are forward-looking statements that are subject to a number of risks and uncertainties, many of which are beyond our control. All statements, other than statements of historical fact included in this presentation, regarding our strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of managem ...

Nine Energy Service, Inc. (NYSE:NINE) Q4 2020 Earnings Conference Call March 8, 2021 10:00 AM ET Company Participants Heather Schmidt - Vice President, Strategic Development and Investor Relations Ann Fox - President and Chief Executive Officer Guy Sirkes - Chief Financial Officer Conference Call Participants Sean Meakim - JPMorgan George O???Leary - Tudor, Pickering, Holt Chris Voie - Wells Fargo Waqar Syed - ATB Capital Markets John Daniel - Daniel Energy Partners Operator Greetings and welcome to the Nin ...

Operational Performance - Nine Energy Service completed approximately 22,000 cementing jobs from January 2014 through December 2020, achieving an on-time rate of approximately 91%[25]. - The company deployed approximately 241,200 isolation, stage one, and casing flotation tools from January 2014 through December 2020, enhancing completion efficiencies[27]. - Nine Energy Service operated 47 wireline pumpdown units in the U.S., completing approximately 171,000 wireline stages with a success rate of approximately 99% from January 2014 through December 2020[29]. - The company performed approximately 9,800 coiled tubing jobs and deployed over 218 million running feet of coiled tubing from April 2014 through December 2020, maintaining a success rate of over 99%[32]. - The company focuses on providing customized completion solutions tailored to the specific geology of each well, enhancing operational efficiencies and production levels[20]. - The company has dedicated resources for developing new technologies and equipment to achieve lower completion and production costs for customers[47]. - The company has implemented processes to ensure employee safety during the pandemic, including health assessments and remote work arrangements[60]. - The company operates a fleet of over 550 commercial motor vehicles, subject to federal and state regulations, which could result in substantial fines for non-compliance[68]. Financial Performance - For the year ended December 31, 2020, the top five customers accounted for approximately 37% of Nine Energy Service's revenues[39]. - The five largest customers accounted for approximately 37% of total revenues for the year ended December 31, 2020, indicating significant customer concentration risk[129]. - The company recorded goodwill impairment charges of $296.2 million in the first quarter of 2020 due to declining market conditions[98]. - The company faces liquidity challenges, including delayed customer payments and potential defaults due to customer liquidity issues and bankruptcies[100]. - The company has experienced operating losses in the past and may not achieve profitability in the future due to low demand for its products and services[174]. - The company recorded a goodwill impairment charge of $20.3 million and an intangible asset impairment charge of $12.7 million in 2019 due to reduced demand for coiled tubing[177]. - The company may experience lower utilization of its equipment and services in weak oil and natural gas price environments, impacting its financial performance[92]. - The company may not be able to enforce all provisions in employment agreements with executive officers, impacting its ability to retain critical personnel[171]. Market Conditions - The company has experienced a significant decline in demand for its products and services due to the coronavirus pandemic, which has adversely impacted commodity prices[58]. - The cyclical nature of the oil and natural gas industry, influenced by capital spending and market conditions, poses risks to the company's financial performance[87]. - Oil prices have been extremely volatile, with WTI oil ranging from $(36.98) per barrel in April 2020 to $77.41 per barrel in June 2018, and Henry Hub gas prices fluctuating between $1.33 per MMBtu in September 2020 and $6.24 per MMBtu in January 2018[90]. - Increased attention to climate change and consumer demand for alternative energy sources could reduce demand for oil and natural gas, adversely affecting the company's revenues[95]. - The ongoing coronavirus pandemic has created significant volatility and uncertainty in the oil and gas industry, adversely impacting the company's business and financial condition[98]. Regulatory and Environmental Risks - The company is subject to stringent environmental regulations, including the Clean Water Act, which imposes strict controls on pollutant discharges[69]. - The company is subject to stringent regulations under the Clean Water Act, which imposes potential administrative, civil, and criminal penalties for non-compliance with discharge permits[70]. - The EPA has lowered the National Ambient Air Quality Standard for ozone from 75 to 70 parts per billion, which may lead to stricter permitting requirements for the company and its customers[71]. - The company is not currently a major source of greenhouse gas emissions, but future regulations could adversely affect its customers' costs and, consequently, the company's business[72]. - The company faces uncertainty regarding future methane regulations, as the EPA has delayed implementation of standards and ongoing litigation may affect regulatory clarity[77]. - The EPA has issued effluent limitation guidelines prohibiting the discharge of wastewater from hydraulic fracturing operations to publicly owned treatment plants, which could impact the company's operations[78]. - The company may be affected by state and local moratoria on hydraulic fracturing, which could reduce demand for its services if new laws are enacted[80]. - The National Environmental Policy Act (NEPA) requires evaluations of major projects on federal lands, which could delay oil and natural gas development due to additional permitting requirements[83]. Competition and Market Position - The company faces intense competition in the oilfield services industry, leading to pricing pressures and potential reductions in market share[116]. - The company’s competitive strategy emphasizes technology offerings, service quality, and technical expertise to differentiate itself in a highly competitive market[42]. - The company may be unable to maintain or increase prices due to competitive pressures and market conditions, impacting profitability[114]. - The company has experienced pricing declines in its dissolvable plug products, which could harm its business if the trend continues[116]. Corporate Governance and Ownership - Significant ownership concentration by SCF VII, L.P. and SCF-VII(A), L.P. at approximately 29% of outstanding common stock as of December 31, 2020, could limit other stockholders' influence on corporate matters[166]. - Another stockholder owned approximately 16% of outstanding common stock as of December 31, 2020, further concentrating ownership and potentially affecting corporate governance[166]. - Future sales and operational strategies may be influenced by significant stockholder actions, potentially affecting market perceptions and stock price[167]. Technology and Innovation - The company has developed proprietary downhole tools and techniques through internal resources and strategic partnerships, providing exclusive rights to market and sell technology in designated regions[48]. - The company is working on reducing manufacturing costs and introducing new technologies, but there is no assurance of success in these efforts[118]. - The company has a commitment to forward-leaning technologies to enhance operational efficiencies in unconventional oil and gas resource development[212]. Risk Management - The company maintains insurance coverage that it believes is customary in the industry, but acknowledges that this coverage may be inadequate to cover all liabilities[54]. - The company is exposed to regulatory risks, including limitations on indemnification agreements due to state laws, which could adversely affect financial condition[132]. - The company is subject to personal injury and property damage claims, which could materially impact financial results due to the inherent risks in its operations[134]. - Wage and hour-related litigation has increased in the oilfield services sector, and the company does not maintain insurance for such claims, which could impact financial results[136]. - Delays in obtaining necessary permits for operations could lead to revenue loss and materially affect business prospects[137]. Financial Reporting and Compliance - The company identified material weaknesses in its internal control over financial reporting in 2017, which were believed to be successfully remediated as of December 31, 2020[192]. - The company is classified as an "emerging growth company" and will remain so until it exceeds $1.07 billion in annual revenue or meets other specified criteria[188]. - The company utilizes reduced reporting requirements under the JOBS Act, which may affect the attractiveness of its common stock to investors[188]. - The company may incur additional costs if its forum selection provisions are found to be unenforceable, potentially affecting its financial condition[187]. Capital Expenditures and Investments - The company spent approximately $2.9 million and $13.6 million on capital expenditures related to maintenance in 2020 and 2019, respectively, and expects to spend approximately $13 million to $14 million in 2021[124]. - The company may face challenges in obtaining capital for necessary maintenance and upgrades, which could impact operational capacity[124].

Nine Energy Service, Inc. (NYSE:NINE) Q3 2020 Earnings Conference Call November 5, 2020 10:00 AM ET Company Participants Heather Schmidt - Vice President of Investor Relations Ann Fox - President and Chief Executive Officer Guy Sirkes - Chief Financial Officer Conference Call Participants Taylor Zurcher - Tudor, Pickering, Holt JB Lowe - Citi Waqar Syed - AltaCorp Operator Thank you, and good morning, everyone. Welcome to Nine Energy Service Earnings Conference Call to discuss our Results for the Third Quar ...