Core Insights - TETRA Technologies, Inc. will host an Investor Day on September 25, 2025, at the New York Stock Exchange to outline its strategic objectives and growth initiatives for the next five years [1][3] - The company has received the 2025 Hart Energy Special Meritorious Engineering Award for its TETRA Oasis Total Desalination Solution, recognizing its innovative contributions to sustainable water management [4] Company Overview - TETRA Technologies, Inc. operates globally across six continents, focusing on environmentally conscious services and solutions in energy services, industrial chemicals, and critical minerals [5] - The company is expanding into the low-carbon energy market, leveraging its chemistry expertise and mineral resources to meet the demand for sustainable energy [5] Investor Day Details - The Investor Day will provide insights into TETRA's operational achievements and technical strengths in fluid chemistry solutions, particularly for energy and industrial chemicals [2] - The event will include a Q&A session and showcase videos of TETRA's latest innovations and R&D efforts from its Technology Center in Conroe, Texas [2]

Summary of TETRA Technologies (TTI) Conference Call Company Overview - TETRA Technologies has been operating for over 40 years, providing diverse revenue streams from energy services and industrial chemicals across the United States and 23 other countries [3][4] - The company is recognized as an industry innovation leader, particularly in completion fluids, oil and gas water treatment, and water management services [4] Financial Performance - TETRA reported a strong first quarter with adjusted EBITDA margins of 36% for completion fluids and 13% for water and flowback services [5] - The industrial chemicals segment achieved its highest first-quarter revenue and adjusted EBITDA in history [5] - Trailing twelve months revenue reached $327 million, reflecting a nearly 50% growth since the second year of COVID in 2021 [7] - The company has a solid balance sheet with a leverage ratio of 1.5 times and no debt maturities until 2029 and 2030 [29] Market Position and Growth Strategies - TETRA is positioned in key markets, including deepwater and unconventional markets in North America, Latin America, and the Middle East [4] - The company is focusing on three emerging growth strategies: 1. **Electrolytes for Energy Storage**: TETRA has developed a zinc bromide-based electrolyte for long-duration energy storage, partnering with Eos Technologies [13][14] 2. **Produced Water Desalination**: The company is introducing a desalination solution for produced water, targeting markets such as agriculture and industry [18][20] 3. **Critical Minerals Production**: TETRA has secured over 40,000 acres of brine leases in Arkansas, rich in lithium, bromine, magnesium, and manganese [22][24] Industry Trends and Challenges - The deepwater market is projected to grow at a 7% CAGR through 2028, with TETRA maintaining a strong market share [9] - The company is addressing challenges in the Permian Basin, where produced water disposal capacity is becoming limited, necessitating innovative solutions [19][20] - TETRA's technology investments are expected to enhance margins and operational efficiency, particularly in the water and flowback segment [11][12] Key Collaborations and Innovations - TETRA has collaborated with EOG Resources for produced water beneficial reuse and desalination pilot projects, achieving a 92% desalination rate in initial tests [21][20] - The company is leveraging automation technologies to reduce manpower requirements in operations, enhancing efficiency [12] Conclusion - TETRA Technologies is well-positioned for growth with a solid financial foundation, innovative technologies, and strategic partnerships, despite facing industry challenges [30]

Company Overview - TETRA Technologies, Inc. is an energy services and solutions company focused on environmentally conscious services and solutions [3] - The company operates on six continents and has a portfolio that includes Energy Services, Industrial Chemicals, and Critical Minerals [3] - TETRA provides products and services to the oil and gas industry and calcium chloride for various applications, while also expanding into the low-carbon energy market [3] Investor Conferences - TETRA's senior management will participate in two investor conferences in early June, including the Stifel 2025 Boston Cross Sector 1x1 Conference on June 4 [2] - CEO Brady Murphy and CFO Elijio Serrano will host one-on-one meetings with institutional investors at the Stifel conference [2] - VP of Investor Relations Kurt Hallead will also host one-on-one meetings at the RBC 2025 Capital Markets Global Energy, Power & Infrastructure Conference on June 4 [2]

Company Overview - TETRA Technologies, Inc. is an energy services and solutions company focused on environmentally conscious services and solutions that enhance quality of life [3] - The company operates on six continents and has a portfolio that includes Energy Services, Industrial Chemicals, and Critical Minerals [3] - TETRA provides products and services to the oil and gas industry and calcium chloride for various applications, while also expanding into the low-carbon energy market [3] Upcoming Event - TETRA's senior management will participate in the Virtual Lytham Partners Spring 2025 Investor Conference on May 29, 2025 [1] - Key executives including the CEO, CFO, and VP of Investor Relations will present and host one-on-one meetings with institutional investors [1] - A webcast of the event will be streamed at 1:15 pm ET on May 29, with a replay available the following day [2]

Core Insights - Thiogenesis Therapeutics has initiated a Phase 2 clinical trial for TTI-0102, targeting the treatment of MELAS, an inherited mitochondrial disease [1][3] - The trial aims to assess the safety, tolerability, efficacy, and pharmacokinetics of TTI-0102 over a 6-month period, involving 12 patients [2][3] - TTI-0102 is designed to increase intracellular antioxidants and amino acids, addressing deficiencies in MELAS patients [3][8] Company Overview - Thiogenesis Therapeutics is a clinical-stage biotechnology company based in San Diego, focusing on developing disulfides that enhance intracellular antioxidant production [1][10] - The company is publicly traded on the TSX Venture Exchange and OTCQX, with a focus on treating serious pediatric diseases with unmet medical needs [10] Clinical Trial Details - The Phase 2 trial is a multi-country, multi-center study conducted in the Netherlands and France, with a randomized, double-blind, placebo-controlled design [2] - A total of 12 patients will be enrolled, with 8 receiving TTI-0102 and 4 receiving a placebo, followed by an interim analysis after 3 months [2] Disease Background - MELAS is characterized by symptoms such as seizures, muscle weakness, and fatigue, often presenting before the age of 20, and is caused by mitochondrial DNA mutations [4] - The disease affects approximately 4.1 per 100,000 of the population, making it one of the most prevalent inherited mitochondrial disorders [4] Product Information - TTI-0102 is an asymmetric disulfide and prodrug that acts as a precursor to cysteamine, aimed at restoring mitochondrial function by increasing levels of glutathione and taurine [8] - The prodrug formulation addresses limitations of first-generation thiol-based drugs, including short half-life and adverse side effects [8][9]

Group 1 - TETRA Technologies, Inc. will participate in the D. Boral Capital Inaugural Global Conference on May 14, 2025, in New York City [1] - Senior management, including the CEO, CFO, and VP of Investor Relations, will host one-on-one meetings with institutional investors during the conference [1] - Investors interested in scheduling meetings can contact the company directly [2] Group 2 - TETRA Technologies, Inc. is an energy services and solutions company focused on environmentally conscious services [2] - The company operates on six continents and has a portfolio that includes Energy Services, Industrial Chemicals, and Critical Minerals [2] - TETRA is expanding into the low-carbon energy market, leveraging its chemistry expertise and global infrastructure to meet sustainable energy demands [2]

Financial Data and Key Metrics Changes - The company reported a record first quarter adjusted EBITDA of $32.3 million, with adjusted EBITDA margins of 20.5% [5] - Total revenue reached $157 million, reflecting a 17% sequential increase and a 4% year-over-year increase [5] - Adjusted EBITDA increased by 41% sequentially and year-over-year [5] Business Line Data and Key Metrics Changes - The Completion Fluids and Products segment generated $93 million in revenue, a 35% sequential increase, with adjusted EBITDA of $33.2 million, up 77% sequentially [20] - The Water and Flowback Services segment saw revenue decline by 2% sequentially to $64 million, but it was up 13% year-over-year, with adjusted EBITDA of $8.3 million [20][21] Market Data and Key Metrics Changes - Offshore deepwater operations increased by 60% year-over-year, with 24 deepwater projects completed in the quarter compared to 15 in the same period last year [6] - The company noted a decline in U.S. Frac activity by approximately 10%, but the Water and Flowback Services segment outperformed this decline [8] Company Strategy and Development Direction - The company is focusing on emerging growth initiatives, including desalination of produced water and energy storage solutions [12][14] - The Arkansas Evergreen Brine Production Unit expansion was approved, allowing for optimization of bromine and lithium extraction [15][16] - The company plans to self-fund its bromine project without issuing equity or increasing debt [17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong second quarter outlook despite macroeconomic uncertainties [28] - The company anticipates adjusted EBITDA guidance for the first half of 2025 to be between $57 million and $65 million, up from the previous range [11] - Management highlighted the importance of monitoring customer plans and activity levels in response to the uncertain oil price environment [11] Other Important Information - The company generated strong free cash flow in the first quarter, with a year-over-year improvement of $41 million [12] - Liquidity at the end of the quarter was approximately $219 million, with a net leverage ratio improvement to 1.5 times [24] Q&A Session Summary Question: What are the biggest holdups for prospective customers on Oasis commercial pilots? - Management indicated that customers need to be comfortable with the technology and evolving environmental regulations, with expectations for multiple pilot projects in 2026 [33][34] Question: Can you provide specifics on regulatory support for beneficial reuse? - Management noted engagement with the Texas Railroad Commission and legislative support for surface discharge and beneficial reuse of produced water [35][36] Question: Will the first production well for Evergreen be left uncompleted until the processing facility is ready? - Management confirmed that the first well will be drilled and put on standby until the processing facility is operational [39] Question: What is the outlook for the deepwater market compared to previous quarters? - Management stated that there have been no changes to scheduled deepwater projects for the year, despite some uncertainty in the market [99][100]

Financial Data and Key Metrics Changes - TETRA reported a record first quarter adjusted EBITDA of $32.3 million, with adjusted EBITDA margins of 20.5% [5][11] - Total revenue reached $157 million, reflecting a 17% sequential increase and a 4% year-over-year increase [5][11] - Adjusted EBITDA increased by 41% sequentially and year-over-year [5] Business Line Data and Key Metrics Changes - Completion Fluids and Products segment revenue was $93 million, up 35% sequentially, with adjusted EBITDA of $33.2 million, a 77% sequential increase [21] - Water and Flowback Services segment revenue declined by 2% sequentially to $64 million but increased by 13% year-over-year, with adjusted EBITDA of $8.3 million [21][22] Market Data and Key Metrics Changes - Offshore deepwater operations saw a 60% year-over-year increase, with 24 deepwater projects worked on in the quarter compared to 15 in the same period last year [6] - The U.S. Frac activity declined approximately 10%, but TETRA's Water and Flowback Services outperformed this decline [7] Company Strategy and Development Direction - TETRA is focusing on emerging growth initiatives, including desalination of produced water and energy storage solutions [12][14] - The company plans to self-fund its bromine project without issuing equity or increasing debt, balancing investments with demand projections [18][19] - TETRA is prioritizing automation in its Water and Flowback segment to improve margins and operational efficiency [9][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong second quarter outlook despite macroeconomic uncertainties, adjusting the lower end of adjusted EBITDA guidance for the first half of 2025 to $57 million [11][28] - The company anticipates continued growth in 2025, driven by strong free cash flow from its base business [28] Other Important Information - TETRA's liquidity at the end of the first quarter was approximately $219 million, with a net leverage ratio improved to 1.5 times [24] - The company is actively engaging with regulatory bodies to support beneficial reuse of produced water, indicating a positive trend in regulatory support [36][37] Q&A Session Summary Question: What are the biggest holdups for customers on commercial pilots for Oasis? - Management indicated that customers need to be comfortable with the technology and evolving environmental regulations, with expectations for multiple pilot projects in 2026 [34] Question: Can you provide specifics on regulatory support for beneficial reuse? - Management highlighted engagement with the Texas Railroad Commission and legislative movements supporting surface discharge and beneficial reuse of produced water [36] Question: Will the first production well for Evergreen be left uncompleted until the processing facility is ready? - Yes, the first well will be drilled and put on standby until the bromine processing facility is operational [40] Question: What is the outlook for the deepwater market compared to previous quarters? - Management noted that there have been no changes to scheduled deepwater projects, indicating resilience despite commodity price fluctuations [98][101]

Group 1: Earnings Performance - Tetra Technologies reported quarterly earnings of $0.11 per share, exceeding the Zacks Consensus Estimate of $0.08 per share, and up from $0.05 per share a year ago, representing an earnings surprise of 37.50% [1] - The company posted revenues of $157.14 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.84%, compared to year-ago revenues of $150.97 million [2] Group 2: Stock Performance and Outlook - Tetra Technologies shares have declined approximately 24.3% since the beginning of the year, while the S&P 500 has decreased by 6% [3] - The current consensus EPS estimate for the upcoming quarter is $0.13 on revenues of $172.08 million, and for the current fiscal year, it is $0.26 on revenues of $619.17 million [7] Group 3: Industry Context - The Oil and Gas - Field Services industry, to which Tetra Technologies belongs, is currently ranked in the top 30% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

Financial Performance - Consolidated revenue for Q1 2025 was $157.1 million, a 16.8% increase from $134.5 million in Q4 2024, driven by strong performance in the Completion Fluids & Products Division [82][88]. - Consolidated revenues for the three months ended March 31, 2025, increased to $157,140,000, a 4.1% increase from $150,972,000 in the same period of 2024 [100]. - Total revenue for the three months ended March 31, 2025, was $157.14 million, a significant increase from $134.50 million in the same period of 2024, representing a year-over-year growth of approximately 16.8% [1]. - Net income before discontinued operations dropped to $4.0 million in Q1 2025, a 96.1% decline from $102.7 million in Q4 2024, primarily due to a significant tax provision change [88][91]. - Net income attributable to TETRA stockholders surged to $4,049,000, a remarkable 342.5% increase compared to $915,000 in the prior year [100]. - The company reported a net income before taxes of $5.09 million for the first quarter of 2025, compared to a net loss of $8.12 million in the same quarter of 2024 [1]. Division Performance - Completion Fluids & Products Division revenues rose to $93.0 million, a 35.1% increase from $68.9 million in Q4 2024, attributed to the completion of the first CS Neptune well and an early start to the calcium chloride season [92]. - The Completion Fluids & Products Division reported revenues of $93,018,000, a 20.4% increase from $77,282,000, driven by strong project completions [106]. - Water & Flowback Services revenues decreased by 2.3% to $64.1 million compared to $65.6 million in Q4 2024, reflecting lower customer activity in the North American onshore market [96]. - The Water & Flowback Services Division experienced a revenue decline of 13.0%, down to $64,122,000 from $73,690,000, primarily due to reduced drilling activity in the U.S. [109]. Profitability and Expenses - Gross profit for the Completion Fluids & Products Division increased by 47.0% to $36.5 million, with gross profit margin improving to 39.3% from 36.1% [92][93]. - Gross profit rose to $42,906,000, reflecting a significant 38.0% increase from $31,102,000 year-over-year, with gross profit as a percentage of revenue improving to 27.3% [100][101]. - General and administrative expenses for the Completion Fluids & Products Division increased by 11.1% to $6.7 million, reflecting higher compensation and professional service costs [94]. - General and administrative expenses increased to $24,134,000, an 8.2% rise from $22,298,000, attributed to higher professional services costs [100][102]. - Interest expense, net decreased by $1,228,000 to $4,724,000, a 20.6% reduction, due to lower interest rates and increased capitalized interest [100][102]. Tax and Corporate Overhead - The effective tax rate for Q1 2025 was 20.4%, compared to a benefit in the previous quarter, reflecting the reversal of a valuation allowance related to deferred tax assets [91]. - The effective tax rate for the current year was 20.4%, down from 29.3% in the prior year, with a provision for income taxes of $1,037,000 compared to $380,000 previously [105]. - The corporate overhead net loss before taxes increased by 38.2% to $16.7 million, primarily due to a decrease in unrealized gains from investments [99]. - Corporate overhead net loss before taxes decreased to $16,703,000 from $19,218,000, primarily due to the absence of a $5.5 million loss on debt extinguishment [112]. Cash Flow and Liquidity - Operating cash flows improved to $3.94 million in Q1 2025, up from a cash outflow of $13.82 million in Q1 2024, primarily due to increased gross profit and working capital changes [1][21]. - Capital expenditures for the first three months of 2025 totaled $18.0 million, with $11.2 million allocated to Arkansas brine resource development [1][22]. - The company had liquidity of $208.1 million at the end of Q1 2025, consisting of unrestricted cash and available credit [1][19]. - Proceeds from the sale of Kodiak shares amounted to $19.0 million during the first quarter of 2025, net of broker commissions and fees [1][23]. Strategic Initiatives - The company is advancing low-carbon energy initiatives, including a feasibility study for bromine production and ongoing negotiations for supply agreements to support deepwater market demands [85]. - TETRA is launching a pilot project for the TETRA Oasis Total Desalination Solution, expected to begin in the first half of 2025, focusing on water treatment and desalination for produced water [86]. - The company is negotiating bridging supply agreements for bromine, which may allow for flexibility in plant start-up timing and additional cash accumulation from existing operations [1][24]. - The company anticipates potential extraction of lithium and bromine from its Evergreen Unit, but the economic viability and timing of such activities remain uncertain [141]. - The company is focused on developing a bromine processing facility, with risks associated with construction and equipment supply [142]. - The company has entered into a Memorandum of Understanding (MOU) with Saltwerx, but the ability to negotiate definitive agreements and produce lithium and bromine remains uncertain [141]. Risks and Uncertainties - The company faces numerous risks and uncertainties that could impact its financial performance, including economic conditions and regulatory changes [140]. - The company is exposed to interest rate risk with borrowings under the Term Credit Agreement bearing interest at SOFR plus 5.75% [143]. - The company has currency exchange rate risk exposure related to revenues and expenses in foreign currencies, but had no foreign currency exchange contracts outstanding as of March 31, 2025 [145]. - The company has not entered into any interest rate swap contracts to hedge against interest rate fluctuations [143]. - The company cautions investors not to rely solely on forward-looking statements due to inherent risks and uncertainties [142].