Financial Data and Key Metrics Changes - Total company revenue for Q3 2024 was $293 million, up 1% sequentially [11] - Adjusted EBITDA for Q3 2024 was $100 million, down 3% sequentially, with an adjusted EBITDA margin of 34.2% compared to 35.7% in Q2 2024 [9][16] - GAAP net income was $62 million in Q3 2024, slightly down from $63 million in Q2 2024 [18] - Cash balance increased to $303 million, up $57 million during the quarter [21] Business Segment Data and Key Metrics Changes - Pressure Control segment revenues were $185 million, down 1.1% sequentially, with operating income decreasing by $3.1 million or 5.6% [11][12] - Adjusted segment EBITDA for Pressure Control decreased by $3.3 million or 5.1% sequentially [13] - Spoolable Technology segment revenues increased by 4.3% sequentially, with adjusted segment EBITDA remaining flat at $42.5 million [13][15] Market Data and Key Metrics Changes - The U.S. land rig activity continued to decline, impacting the Pressure Control segment [7] - International revenue in spoolable Technologies for 2024 has already doubled compared to the full year performance of 2023 [30] Company Strategy and Development Direction - The company remains focused on international expansion, particularly in the Mideast, while also evaluating strategic opportunities [30] - The primary objective for the next year includes contributions from a new manufacturing facility to enhance the supply chain [33] - The company is optimistic about its market positioning and the introduction of new products and services [31] Management's Comments on Operating Environment and Future Outlook - Management noted that while the U.S. market is challenging, they are pleased with the positioning of the company and its high-margin products [31] - There is an expectation of a mid-single digit dip in Pressure Control revenue for Q4 due to lower drilling activity and seasonal factors [24] - Management anticipates adjusted EBITDA margins in the Pressure Control segment to be between 33% to 35% for Q4 [26] Other Important Information - The company paid a dividend of $0.13 per share, resulting in a cash outflow of approximately $11 million [20] - Capital expenditures for the full year 2024 have been reduced to a range of $32 million to $37 million [22] Q&A Session Summary Question: Thoughts on overall portfolio and strategic growth opportunities - Management indicated that the primary objective is international expansion, but they remain open to acquisition opportunities similar to Flexsteel [35] Question: General thoughts on tariffs and risk mitigation - Management believes they are in a strong position compared to competitors due to their manufacturing base and ongoing expansion efforts [37][38] Question: Cash balance and potential return to shareholders - Management acknowledged having excess cash and indicated that if no acquisitions occur, they would consider returning cash to shareholders by the end of the coming year [41] Question: Update on wellhead system qualification in the Middle East - Management confirmed ongoing testing and a cautious approach to decision-making regarding the facility [43] Question: Changes in customer dynamics and pricing - Management noted a shift towards technical buying among major operators, which could benefit the company [47] Question: Revenue per rig dynamics and customer caution - Management explained that revenue per rig is primarily impacted by production tree call-offs, which are difficult to predict [53] Question: International revenue contribution and future growth - Management stated that international revenue in spoolable Technologies is currently in the high single digits as a percentage and is expected to grow significantly [61][62]

Revenue Performance - For the nine months ended September 30, 2024, Cactus derived 76% of total revenues from product sales, 9% from rentals, and 15% from field services, compared to 74%, 10%, and 16% respectively for the same period in 2023[85]. - Total revenues for the third quarter of 2024 were $293.2 million, a 1.0% increase from $290.4 million in the second quarter of 2024[98]. - Total revenues for the first nine months of 2024 were $857.7 million, an increase of $35.6 million, or 4.3%, compared to $822.1 million in the same period of 2023[105]. Segment Performance - Pressure Control segment revenue for Q3 2024 was $185.1 million, a decrease of 1.1% from Q2 2024, while Spoolable Technologies revenue increased by 4.3% to $108.2 million[99][100]. - Pressure Control segment revenue decreased by $29.0 million, or 5.0%, to $547.3 million due to lower drilling and completion activity[105]. - Spoolable Technologies segment revenue increased by $65.1 million, or 26.5%, to $311.0 million, benefiting from the FlexSteel acquisition[106]. Operating Income - Operating income for the Pressure Control segment decreased by 5.6% to $52.5 million in Q3 2024, primarily due to miscellaneous charges[99]. - Spoolable Technologies operating income increased by 9.5% to $32.9 million in Q3 2024, attributed to decreased expenses related to the FlexSteel acquisition[100]. - Total operating income for the first nine months of 2024 was $219.2 million, an increase of $33.3 million, or 17.9%, compared to $185.8 million in 2023[105]. Net Income and Cash Flow - Net income attributable to Cactus Inc. was $138.7 million, an increase of $18.5 million, or 15.4%, from $120.2 million in the prior year[105]. - Cash provided by operating activities was $249.5 million, slightly up from $248.6 million in the same period last year[119]. Investment and Financing Activities - Net cash used in investing activities decreased significantly to $24.1 million from $645.2 million, primarily due to the non-recurrence of the FlexSteel acquisition[120]. - Net cash used in financing activities was $56.4 million, a decrease from net cash provided of $116.7 million in the prior year, mainly due to financing activities related to the FlexSteel acquisition[121]. Market Conditions - Average WTI oil price for Q3 2024 was $76.43 per barrel, while natural gas price was $2.11 per MMBtu, reflecting market volatility and geopolitical risks[92][93]. - U.S. land drilling rig count decreased to 565 in Q3 2024, down approximately 15% from the 2023 full year average, indicating a decline in industry activity levels[93]. Capital Expenditures - Estimated net capital expenditures for the year ending December 31, 2024, are projected to range from $32 million to $37 million, focusing on rental fleet investments and manufacturing enhancements[116]. Acquisition - Cactus completed the acquisition of FlexSteel on February 28, 2023, enhancing its position in the E&P industry and expanding its product offerings[82][91]. Cash Position - As of September 30, 2024, the company had $303.4 million in cash and cash equivalents and $220.7 million of available borrowing capacity under its Amended ABL Credit Facility[112].

Core Insights - Cactus, Inc. (WHD) reported third-quarter 2024 adjusted earnings of 79 cents per share, exceeding the Zacks Consensus Estimate of 74 cents, but down from 80 cents in the same quarter last year [1] - Total revenues for the quarter were $293.2 million, surpassing the Zacks Consensus Estimate of $283 million and increasing from $288 million year-over-year [1] Revenue Performance - The improved quarterly results were driven by increased revenues from both Pressure Control and Spoolable Technologies segments, although lower customer drilling activity in the Pressure Control segment partially offset this growth [2] - Pressure Control segment revenues reached $185.1 million, up from $182.5 million in the prior year, and exceeded the estimate of $178 million [3] - Spoolable Technologies segment revenues were $108.2 million, an increase from $103.7 million year-over-year, also above the estimate of $100.6 million [4] Segment EBITDA - Adjusted Segment EBITDA for Pressure Control was $61.9 million, down from $65.3 million in the prior year but above the estimate of $61.2 million [4] - Adjusted Segment EBITDA for Spoolable Technologies remained flat year-over-year at $42.5 million, exceeding the estimate of $40 million [5] Capital Expenditure and Cash Flow - Cactus' capital expenditure for the quarter totaled $10 million, while operating cash flow was reported at $85.3 million [6] Balance Sheet - At the end of Q3 2024, Cactus had cash and cash equivalents of $303.4 million and no outstanding bank debt [7] Outlook - The company anticipates subdued U.S. land drilling activity levels, with the U.S. land rig count expected to remain stable but may face reductions due to seasonal factors and budget constraints [8] - Cactus expects net capital expenditures for the full year 2024 to be in the range of $32-$37 million, down from the previous guidance of $35-$45 million [9]

Cactus, Inc. (WHD) came out with quarterly earnings of $0.79 per share, beating the Zacks Consensus Estimate of $0.74 per share. This compares to earnings of $0.80 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 6.76%. A quarter ago, it was expected that this company would post earnings of $0.70 per share when it actually produced earnings of $0.81, delivering a surprise of 15.71%. Over the last four quarters, the company has ...

Exhibit 99.1 Cactus Announces Third Quarter 2024 Results HOUSTON – October 30, 2024 – Cactus, Inc. (NYSE: WHD) ("Cactus" or the "Company") today announced financial and operating results for the third quarter of 2024. Third Quarter Highlights • Revenue of $293.2 million and operating income of $76.8 million; • Net income of $62.4 million and diluted earnings per Class A share of $0.74; • Adjusted net income of $63.5 million and diluted earnings per share, as adjusted of $0.79; • Net income margin of 21.3% a ...

Revenue Performance - For the six months ended June 30, 2024, Cactus derived 76% of total revenues from product sales, 9% from rentals, and 15% from field service and other[76]. - Total revenues for the second quarter of 2024 were $290.4 million, an increase of $16.3 million, or 5.9%, from the first quarter of 2024[88]. - Total revenues for the first six months of 2024 were $564.5 million, an increase of $30.3 million, or 5.7%, compared to $534.2 million in the same period of 2023[94]. Segment Performance - Pressure Control segment revenue for Q2 2024 was $187.2 million, up 6.9% from Q1 2024, driven by increased customer activity[89]. - Spoolable Technologies segment revenue for Q2 2024 was $103.7 million, a 4.7% increase from Q1 2024, with operating income rising to $30.0 million[90]. - Pressure Control segment revenue decreased by $31.6 million, or 8.0%, to $362.2 million due to lower sales of wellhead and production-related equipment[94]. - Spoolable Technologies segment revenue increased by $62.4 million, or 44.4%, to $202.8 million, driven by the acquisition of FlexSteel[95]. Income and Expenses - Operating income for the second quarter of 2024 was $79.8 million, reflecting a 27.6% increase from the previous quarter[88]. - Total operating income for the first six months of 2024 was $142.4 million, an increase of $44.2 million, or 45.0%, from $98.2 million in 2023[94]. - Income tax expense for Q2 2024 was $18.2 million, an increase of 35.3% from $13.4 million in Q1 2024, primarily due to higher operating income[92]. - Net income attributable to Cactus Inc. was $88.8 million, an increase of $21.1 million, or 31.3%, compared to $67.6 million in the first half of 2023[94]. Cash Flow and Capital Expenditures - Cash and cash equivalents as of June 30, 2024, were $246.5 million, with $220.1 million available under the Amended ABL Credit Facility[99]. - Net cash provided by operating activities was $164.2 million, a decrease from $168.5 million in the same period of 2023, primarily due to increased working capital outflows[105]. - Net cash used in investing activities significantly decreased to $14.1 million from $639.5 million in 2023, mainly due to the prior year's acquisition of FlexSteel[106]. - Net cash used in financing activities was $37.2 million for the first half of 2024, compared to net cash provided of $190.7 million in 2023, reflecting changes related to the FlexSteel acquisition[107]. - Estimated net capital expenditures for 2024 are projected to range from $35 million to $45 million, focusing on rental fleet investments and manufacturing enhancements[102]. Market Conditions - Average WTI oil price for Q2 2024 was $81.81 per barrel, compared to $74.73 per barrel in Q2 2023, indicating a year-over-year increase[82]. - Average natural gas price for Q2 2024 was $2.06 per MMBtu, down from $2.40 per MMBtu in Q2 2023[82]. - U.S. land drilling rigs averaged 583 in Q2 2024, down approximately 13% from the 2023 full year average of 720[83]. Acquisitions - Cactus completed the acquisition of FlexSteel on February 28, 2023, enhancing its position in the E&P industry[73].

Cactus, Inc. (WHD) came out with quarterly earnings of $0.81 per share, beating the Zacks Consensus Estimate of $0.70 per share. This compares to earnings of $0.84 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 15.71%. A quarter ago, it was expected that this company would post earnings of $0.67 per share when it actually produced earnings of $0.75, delivering a surprise of 11.94%. Over the last four quarters, the company has ...

Financial Performance - Revenue for Q2 2024 was $290.4 million, a sequential increase of 5.5% from $274.1 million in Q1 2024[2] - Operating income rose to $79.8 million, reflecting a 27.5% operating income margin, up from 22.8% in Q1 2024[2] - Net income for the quarter was $63.1 million, with a net income margin of 21.7%, compared to 18.2% in the previous quarter[2] - Adjusted EBITDA was $103.6 million, representing a margin of 35.7%, an increase from 34.8% in Q1 2024[2] - Total revenues for Q2 2024 were $290,389 thousand, a decrease of 5% from $305,819 thousand in Q2 2023[17] - Net income for Q2 2024 was $63,059 thousand, compared to $32,459 thousand in Q2 2023, representing a 94% increase[17] - Earnings per Class A share - diluted for Q2 2024 was $0.75, up from $0.38 in Q2 2023, reflecting a 97% increase[17] - Adjusted net income for the same period was $65,192 thousand, compared to $59,600 thousand in the previous quarter and $67,279 thousand in the same quarter last year[23] - Total operating income for the three months ended June 30, 2024, was $79,819 thousand, compared to $62,550 thousand for the same period last year, indicating a growth of 27.7%[32] Segment Performance - Pressure Control revenue increased by $12.2 million, or 6.9%, sequentially, driven by improved customer drilling efficiencies[5] - Spoolable Technologies revenue grew by $4.6 million, or 4.7%, sequentially, with operating income increasing by 83.3% due to lower expenses related to the FlexSteel acquisition[6] - Operating income for the Pressure Control segment was $55,669 thousand in Q2 2024, down from $62,888 thousand in Q2 2023, a decrease of 11%[17] - The Spoolable Technologies segment reported an operating income of $30,041 thousand in Q2 2024, recovering from an operating loss of $(6,018) thousand in Q2 2023[17] - Revenue from Spoolable Technologies segment was $103,716 thousand for the three months ended June 30, 2024, an increase from $99,095 thousand in the previous quarter, representing a growth of 2.6%[32] - The company reported an operating income (loss) margin of 29.0% for the Spoolable Technologies segment for the three months ended June 30, 2024, compared to 16.5% in the previous quarter[32] Cash Flow and Capital Expenditures - Cash flow from operations was $78.0 million, with cash and cash equivalents totaling $246.5 million and no bank debt outstanding as of June 30, 2024[9] - Net capital expenditures for Q2 2024 were $7.2 million, with full-year expectations set between $35 million to $45 million[9] - Cash and cash equivalents increased to $246,503 thousand as of June 30, 2024, from $133,792 thousand at the end of 2023, marking an 84% increase[19] - Net cash provided by operating activities for the six months ended June 30, 2024, was $164,218 thousand, slightly down from $168,518 thousand in the same period of 2023[21] Assets and Liabilities - Total assets rose to $1,626,393 thousand as of June 30, 2024, compared to $1,522,561 thousand at the end of 2023, indicating a 7% increase[19] - Total liabilities increased to $471,597 thousand as of June 30, 2024, from $457,791 thousand at the end of 2023, a rise of 3%[19] - The company reported a deferred tax asset of $206,409 thousand as of June 30, 2024, compared to $204,852 thousand at the end of 2023, showing a slight increase[19] Dividend and Future Outlook - The Board approved an 8% increase in the quarterly dividend to $0.13 per share, reflecting confidence in future performance[3] - The company anticipates stable U.S. land activity levels in Q3 2024, with potential revenue moderation in Pressure Control due to lower drilling activity[3] Adjusted Metrics - Adjusted EBITDA for the three months ended June 30, 2024, was $103,637 thousand, an increase from $95,332 thousand in the previous quarter but a decrease from $115,419 thousand in the same quarter last year[27] - Adjusted EBITDA margin for the same period was 35.7%, compared to 34.8% in the previous quarter and 37.7% in the same quarter last year[27] - Diluted earnings per share, as adjusted, was $0.81 for the three months ended June 30, 2024, compared to $0.75 in the previous quarter and $0.84 in the same quarter last year[23] - Total Adjusted EBITDA for the six months ended June 30, 2024, was $198,969 thousand, compared to $194,830 thousand for the same period last year, showing a slight increase of 2.2%[32] Other Expenses - Corporate and other expenses totaled $(5,891) thousand for the three months ended June 30, 2024, compared to $(5,518) thousand in the previous quarter, indicating an increase in expenses[32] - The company reported a remeasurement loss on earn-out liability of $2,876 thousand for the three months ended June 30, 2024, compared to $13,304 thousand in the previous quarter[27] - The company incurred transaction-related expenses of $2,191 thousand in the same quarter last year, which were not present in the current quarter[27]

Core Viewpoint - Cactus, Inc. is expected to report a year-over-year decline in earnings and revenues, with the consensus EPS estimate revised lower, indicating a bearish outlook from analysts [3][5][13]. Earnings Expectations - The company is projected to post quarterly earnings of $0.70 per share, reflecting a decline of 16.7% year-over-year [5]. - Revenues are anticipated to be $274.7 million, down 10.2% from the same quarter last year [13]. Estimate Revisions - The consensus EPS estimate has been revised 2.57% lower over the last 30 days, showing a collective reassessment by covering analysts [13]. - Cactus has an Earnings ESP of -1.07%, suggesting that the Most Accurate Estimate is lower than the Zacks Consensus Estimate, indicating a negative sentiment among analysts [8][9]. Earnings Surprise History - Over the last four quarters, Cactus has beaten consensus EPS estimates three times, but the current indicators do not suggest a strong likelihood of an earnings beat for the upcoming report [20][21]. Zacks Rank and Predictive Power - The stock currently holds a Zacks Rank of 3 (Hold), which does not strongly favor an earnings beat [16]. - A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a higher Zacks Rank, but Cactus's current metrics do not align favorably [15].

CALGARY, Alberta, July 15, 2024 (GLOBE NEWSWIRE) -- Gibson Energy Inc. (TSX:GEI) ("Gibson" or the "Company") announced today the extension of a long-term contract with an investment grade global E&P company at its Gateway Terminal and the sanction of a connection to the Cactus II Pipeline. The specific terms of the customer contract are confidential. The Company has sanctioned a pipeline connection (the "Connection") to the Cactus II Pipeline pursuant to an interconnection agreement with Cactus II Pipeline, ...