Financial Performance - Rental revenue for Q3 2024 was $37.4 million, a 35% increase compared to Q3 2023 and a 7% sequential increase[2]. - Net income for Q3 2024 was $5.0 million, or $0.40 per basic share, compared to $2.2 million, or $0.18 per basic share in Q3 2023[10]. - Adjusted EBITDA for Q3 2024 increased 53.7% to $18.2 million from $11.8 million in Q3 2023[11]. - Operating income for Q3 2024 was $9.5 million, compared to $4.9 million in Q3 2023[9]. - Total revenue for the three months ended September 30, 2024, was $40,686,000, a 29.6% increase from $31,369,000 in the same period of 2023[36]. - Net income for the three months ended September 30, 2024, was $5,014,000, up from $2,171,000 in the same period of 2023, marking a 130.5% increase[36]. - Earnings per share (EPS) for the three months ended September 30, 2024, was $0.40, compared to $0.18 for the same period in 2023, reflecting a 122.2% increase[36]. - Cash provided by operating activities for the nine months ended September 30, 2024, was $57,037,000, compared to $25,698,000 in the same period of 2023, indicating a 121.5% increase[38]. Capital Expenditures and Investments - Growth capital expenditures for FY 2024 are anticipated to be between $65 million and $75 million, updated from approximately $60 million to $80 million[5]. - The company experienced a net cash used in investing activities of $56,681,000 for the nine months ended September 30, 2024, compared to $128,710,000 in the same period of 2023[38]. Asset Management - Rented horsepower at the end of Q3 2024 was 475,534, a 19% increase over the prior year[2]. - Horsepower utilization was 82.0%, up 330 basis points from September 30, 2023[2]. - The company’s rental equipment net value increased to $407,761,000 as of September 30, 2024, from $373,649,000 on December 31, 2023[34]. - Total assets increased to $498,069,000 as of September 30, 2024, up from $478,729,000 on December 31, 2023[34]. Operating Costs and Expenses - The company reported a total operating costs and expenses of $31,229,000 for the three months ended September 30, 2024, which is a 17.5% increase from $26,465,000 in the same period of 2023[36]. - Interest expense for the three months ended September 30, 2024, was $3,045,000, compared to $1,600,000 in the same period of 2023, representing an increase of 90.6%[36]. - The company reported a depreciation and amortization expense of $22,878,000 for the nine months ended September 30, 2024, compared to $19,390,000 in the same period of 2023, reflecting an increase of 17.5%[38]. Future Outlook - The company expects FY 2024 Adjusted EBITDA to be in the range of $67 million to $69 million, up from the previous guidance of $64 million to $68 million[4]. - The company anticipates continued growth in EBITDA and capital expenditures, reflecting a positive outlook for the compression industry[29]. - The company maintains a target return on invested capital of at least 20%[6]. Operational Facilities - The company has a fabrication facility in Tulsa, Oklahoma, and service facilities in major oil and natural gas producing basins in the U.S.[27]. Conference Call - The conference call to discuss second-quarter financial results is scheduled for November 15, 2024[26].
Natural Gas Services (NGS) - 2024 Q3 - Quarterly Results