I gave a Buy rating to WaterBridge Infrastructure ( WBI ) last year in October, with my key thesis being that this is a business with many underutilized assets that should position WBI toI'm a passionate investor with a strong foundation in fundamental analysis and a keen eye for identifying undervalued companies with long-term growth potential. My investment approach is a blend of value investing principles and a focus on long-term growth. I believe in buying quality companies at a discount to their intrin ...

Group 1 - Produced water disposal is a significant challenge in the Permian Basin, creating a strong demand for solutions [1] - WaterBridge Infrastructure (WBI) is strategically positioned to address the high demand for produced water disposal services [1] - The oil drilling process generates several barrels of contaminated water for every barrel of oil extracted, highlighting the scale of the disposal issue [1] Group 2 - Mr. Arunangshu Das is developing Tranzoro Investments to bridge the gap between US and Indian investors [1] - The focus will be on providing insights into India-focused ETFs and ADRs for US investors, while also covering a wide range of US equities, ETFs, and REITs for Indian investors [1] - Mr. Das emphasizes an income and growth-focused investment strategy [1]

Core Viewpoint - Raymond James reiterated its Strong Buy rating and $30 price target on WaterBridge Infrastructure, emphasizing the company's strategic position in the oil and gas industry, particularly in managing produced water in the Delaware Basin [1] Group 1: Company Positioning - WaterBridge is characterized as a premium platform that combines strong organic growth with a strategic relationship with its sister company, LandBridge [2] - The company is seen as a compelling investment due to the increasing importance of efficient water management solutions in the oil and gas sector [1][2] Group 2: Market Opportunities - There is a substantial long-term opportunity for WaterBridge to capture additional market share as demand for water management solutions continues to grow [2] - Following upward revisions to its estimates, Raymond James reaffirmed its positive outlook on WaterBridge's stock [2]

Financial Data and Key Metrics Changes - In Q4 2025, the company achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% year-over-year increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million [15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 2025 reached 2.6 million barrels per day (MMbpd), with full year combined volumes averaging 2.4 MMbpd, reflecting a 15% year-over-year growth [5][14] - The company achieved a single-day record of 2.9 MMbpd of water handled in Q4 2025 [9] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [10] Market Data and Key Metrics Changes - The company is well-positioned in the Delaware Basin, which is the most prolific oil and natural gas basin in North America, with a produced water handling capacity of over 5 MMbpd [6] - The demand for produced water handling continues to grow, with water-to-oil ratios in the Delaware Basin among the highest in the U.S. [7] Company Strategy and Development Direction - The company aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [6][17] - The Speedway Phase II pipeline project is expected to drive further growth, with demand already outperforming expectations [11][12] - The company is committed to maintaining a conservative balance sheet while pursuing growth opportunities [16][38] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position entering 2026, citing strong commercial momentum and opportunities for growth [14][18] - The current macro environment is seen as more favorable than when the 2026 guidance was set, suggesting potential upside in produced water handling volumes [25][44] Other Important Information - The company declared an inaugural quarterly dividend of $0.05 per share [16] - Total liquidity at the end of the year was $527 million, including $52 million in cash and cash equivalents [15] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous producer feedback when oil prices were lower, but they see potential for upside in the latter half of 2026 [24][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][28] Question: Acceleration of growth project opportunities - Management confirmed that they are in a strong position with several commercial discussions ongoing, which could lead to accelerated growth in 2026 [34][35] Question: Capital allocation philosophy post-growth projects - Management emphasized the priority of high-return organic growth projects while remaining open to M&A opportunities, with a focus on maintaining a healthy balance sheet [37][38] Question: Expectations for Speedway Phase II - Management indicated that the CapEx for Phase II is already incorporated into the budget, with expectations for attractive returns [46][47] Question: Evolution of rates for water takeaway - Management noted that rates are increasing due to higher demand and capital needs for projects, with new rates significantly higher than previous averages [56][57]

Financial Data and Key Metrics Changes - In Q4 2025, the company achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% year-over-year increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million and a Q4 net loss of $13.6 million [14][15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 reached 2.6 million barrels per day, with full year combined volumes averaging 2.4 million barrels per day, marking a 15% year-over-year growth [5] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [10] - The Speedway Phase 1 project was oversubscribed, with expectations for significant volume growth in 2026 and beyond [11] Market Data and Key Metrics Changes - The company operates in the Delaware Basin, which is experiencing high demand for produced water handling solutions due to evolving industry needs [6][7] - The water-to-oil ratios in the Delaware Basin are among the highest in the U.S., driving continued growth in produced water volumes [7] Company Strategy and Development Direction - The company aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [6][8] - There is a strategic emphasis on maintaining a conservative balance sheet while pursuing growth opportunities, including potential M&A [16][38] - The company plans to initiate construction on the New Devon Project in Q4 2026, further expanding its infrastructure [13] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position entering 2026, citing strong commercial momentum and the potential for upside in produced water handling volumes [14][18] - The current macro environment is seen as more favorable than when the 2026 guidance was set, suggesting potential for higher activity levels [25][46] Other Important Information - The company declared an inaugural quarterly dividend of $0.05 per share [16] - Total liquidity at year-end was $527 million, including $52 million in cash and $475 million undrawn under a new credit facility [15] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous market conditions, but noted potential for upside if the current macro environment holds [25][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][28] Question: Acceleration of growth project opportunities - Management confirmed that several commercial projects are firming up, which will support the foundation for Speedway Phase Two [34] Question: Capital allocation philosophy post-growth project spend - Management emphasized prioritizing high-return organic growth projects while remaining open to M&A opportunities [38] Question: Expectations for Speedway Phase Two - Management indicated that CapEx for Phase Two is included in the budget and is based on firm commercial projects [48] Question: Evolution of rates for water takeaway - Management noted that rates are increasing due to higher demand and capital needs for projects, with new rates significantly higher than previous averages [56] Question: Capacity to handle more produced water volumes - Management stated that the company could exceed the peak of 2.9 million barrels per day, highlighting the importance of having infrastructure in place [63]

Financial Data and Key Metrics Changes - In Q4 2025, WaterBridge achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% annual increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million [15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 2025 increased to 2.6 million barrels per day, with full year combined volumes averaging 2.4 million barrels per day, reflecting a 15% year-over-year growth [5][10] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [11] - The Speedway Phase 1 project was oversubscribed, with expectations for significant volume growth in 2026 and beyond [12] Market Data and Key Metrics Changes - WaterBridge's produced water handling capacity exceeds 5 million barrels per day across over 2,600 miles of integrated pipeline [6] - The company has experienced a compound annual growth rate (CAGR) of over 22% in produced water handling volumes since 2022 [7] - Rates for produced water takeaway are increasing due to rising demand, with new contracts expected to drive higher unit-level revenue [58] Company Strategy and Development Direction - WaterBridge aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [8][16] - The company is committed to maintaining a conservative balance sheet while exploring selective strategic acquisitions [16][39] - Future growth is anticipated from the Speedway Phase II project and potential Phase III developments, driven by increasing demand for water solutions [56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position entering 2026, highlighting strong commercial momentum and opportunities for growth [14][18] - The current macro environment is viewed as more favorable than when the 2026 guidance was set, suggesting potential upside in produced water handling volumes [25][46] - Management noted that the merger between Devon and Coterra could present incremental growth opportunities for WaterBridge [27][29] Other Important Information - The company ended 2025 with total liquidity of $527 million, including $52 million in cash and cash equivalents [15] - Capital expenditures in Q4 2025 were $89.2 million, primarily for the development of Speedway Phase 1 [16] - An inaugural quarterly dividend of $0.05 per share was declared [16] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous producer feedback when oil prices were lower, but noted potential for upside in the latter half of 2026 [25][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][29] Question: Acceleration of growth project opportunities - Management confirmed that several commercial projects are firmed up and will serve as the foundation for Speedway Phase II, with additional capital allocated for these projects [35][36] Question: Capital allocation philosophy post-growth project spend - Management emphasized prioritizing high-return organic growth projects while remaining open to M&A opportunities, maintaining a healthy balance sheet, and considering dividends and buybacks in the future [39][40] Question: Capacity to handle more produced water volumes - Management indicated that the company could exceed the peak of 2.9 million barrels per day, highlighting the importance of having infrastructure in place to accommodate larger multi-well pads [65][66]

WaterBridge Earnings Presentation Fourth Quarter and Fiscal Year 2025 Disclaimers Forward-Looking Statements The information in this presentation includes "forward-looking statements" within the meaning of U.S. Federal securities laws. 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, commercial opportunities, plans and objectives of management are forward-look ...

Financial Performance - Revenue for the fourth quarter of 2025 was $208.9 million, reflecting a 2% growth compared to the third quarter[3] - Full year 2025 combined produced water handling volumes were 2.4 million barrels per day, up 15% year-over-year, with pro forma revenue of $790.0 million, up 19% year-over-year[7] - Total revenues for Q4 2025 reached $208,881,000, a slight increase from $205,468,000 in Q3 2025, with total revenues for the nine months ending September 30, 2025, at $581,077,000[30] - Produced water handling revenues amounted to $155,475,000 for Q4 2025, while related party revenues in this category were $30,555,000[30] - The pro forma total revenues for the year ended December 31, 2025, were $789,958,000, with produced water handling contributing $587,124,000[32] - Pro forma combined revenue for 2025 was $789.958 million, compared to $662.164 million in 2024, indicating a year-over-year growth of approximately 19.3%[58] Profitability Metrics - Adjusted EBITDA for the fourth quarter of 2025 was $103.8 million, with an Adjusted EBITDA margin of 50%[3] - The company achieved a single-day volume record of approximately 2.9 million barrels per day in the fourth quarter of 2025[7] - Operating income for Q4 2025 was reported at $22,283,000, up from $19,683,000 in Q3 2025, reflecting operational efficiency[30] - The company reported a net loss of $58,096,000 for the pro forma year ended December 31, 2025, compared to a loss of $11,852,000 in the previous year[32] - Pro forma net loss for 2025 was $58.096 million, an improvement from a net loss of $101.766 million in 2024[58] - Pro forma Adjusted EBITDA for 2025 reached $402.796 million, up from $347.101 million in 2024, reflecting a margin of 51%[58] Cost Structure - Direct operating costs for Q4 2025 were $79,007,000, with total cost of revenues at $162,051,000, indicating a stable cost structure compared to the previous quarter[30] - Interest expense for Q4 2025 was $25,380,000, a decrease from $41,039,000 in Q3 2025, indicating reduced borrowing costs[30] - General and administrative expenses for the pro forma combined statements were $71,844,000, reflecting increased operational overhead[32] - The company recognized a loss on extinguishment of debt of $11,411 thousand in 2025, reflecting restructuring efforts[37] Liquidity and Capital Expenditures - Total liquidity as of December 31, 2025, was $526.5 million, including $475.0 million of available borrowing capacity[14] - Capital expenditures for 2026 are projected to be between $430 to $490 million, primarily for the Speedway Pipeline project[17] - Capital expenditures for 2025 were $278,569 thousand, compared to $159,921 thousand in 2024, indicating increased investment in assets[37] Future Outlook - The company expects full year 2026 Adjusted EBITDA guidance of $420 to $460 million, representing approximately 9% annual growth[19] - The company anticipates produced water handling volumes for 2026 to average approximately 2,500 to 2,700 MBbl/d, indicating about 7% annual volume growth[16] Asset and Liability Management - Total assets increased to $3,700,020 thousand in 2025 from $1,350,587 thousand in 2024, representing a growth of 174%[36] - Long-term debt increased to $1,431,837 thousand in 2025 from $586,417 thousand in 2024, a rise of 144%[36] - Total current liabilities increased to $188,940 thousand in 2025 from $83,468 thousand in 2024, an increase of 126%[36] - Net cash provided by operating activities rose to $159,695 thousand in 2025, up from $73,859 thousand in 2024, an increase of 116%[37] Shareholder Returns - An inaugural cash dividend of $0.05 per share was announced, payable on March 19, 2026[15] Operational Efficiency - The company aims to enhance its pro forma Adjusted Operating Margin by reducing variable operating expenses tied to asset management[63] - Pro forma Adjusted Operating Margin for the three months ended September 30, 2025, was $111.045 million, with an Adjusted Operating Margin per barrel of $0.42[66] - The company identified immaterial errors in prior pro forma non-GAAP reporting, correcting the Adjusted Operating Margin for the three months ended September 30, 2025, to $111.045 million from $130.865 million[69]

WaterBridge Announces Fourth Quarter and Fiscal Year 2025 Results WaterBridge Announces Fourth Quarter and Fiscal Year 2025 Results Share Reports fourth quarter 2025 produced water handling volumes of 2.6 million barrels per day and revenue of $208.9 million, representing quarterly growth of 1% and 2%, respectively Reports full year 2025 combined produced water handling and pro forma revenue growth of 15% and 19%, respectively, year-over-year Achieved a single-day volume record of approximately 2.9 million ...

Core Viewpoint - WaterBridge Infrastructure LLC will release its financial results for Q4 and the fiscal year ended December 31, 2025 on March 16, 2026, prior to market opening [1] Financial Results Announcement - The financial results will be announced before the market opens on March 16, 2026 [1] - A webcast and conference call will be held on the same day at 11:00 a.m. Central Time / 12:00 p.m. Eastern Time to discuss the results [1]