Solaris Oilfield Infrastructure(US:SOI)2025-02-21 02:03Revenue and Income - Fourth quarter 2024 revenue reached $96 million, a 28% increase sequentially from Q3 2024, driven by the full quarter contribution from Solaris Power Solutions following the acquisition of Mobile Energy Rentals LLC[4] - Net income for the fourth quarter 2024 was $14 million, translating to $0.19 per diluted Class A share, while adjusted pro forma net income was $7 million, or $0.12 per fully diluted share[4] - Net income for the year ended December 31, 2024, was $28,918,000, a decrease of 25.6% from $38,775,000 in 2023[20] - Total revenues for the year ended December 31, 2024, reached $313,091,000, an increase of 6.9% compared to $292,947,000 in 2023[24] - Adjusted pro forma net income for the year ended December 31, 2024, was $24,888,000, down from $37,457,000 in 2023, a decrease of approximately 33%[37] - Adjusted pro forma earnings per diluted share for the year ended December 31, 2024, was $0.50, compared to $0.83 in 2023, representing a decline of about 40%[37] EBITDA and Adjusted EBITDA - The company anticipates first quarter 2025 Total Adjusted EBITDA to be between $44 million and $48 million, and second quarter Total Adjusted EBITDA to be between $50 million and $55 million[4] - Fourth quarter 2024 Segment Adjusted EBITDA for Solaris Power Solutions was $24 million, expected to grow sequentially with an increase in MW capacity[8] - Adjusted EBITDA for the year ended December 31, 2024, was $103,102,000, up 6.5% from $96,693,000 in 2023[24] - EBITDA for the year ended December 31, 2024, was $95,949,000, up from $86,087,000 in 2023, reflecting an increase of approximately 11%[32] - Adjusted EBITDA for the three months ended December 31, 2024, was $37,387,000, compared to $21,322,000 for the same period in 2023, indicating a significant increase of 75%[32] Capital Expenditures and Debt - Capital expenditures in Q4 2024 were approximately $127 million, primarily for power equipment, with net cash used in investing activities around $115 million[4] - Long-term debt increased significantly to $307,605,000 as of December 31, 2024, compared to $30,000,000 in 2023[18] - As of December 31, 2024, Solaris had $325 million in outstanding borrowings and $160 million in total cash, with $46 million restricted for growth capital expenditures[4] Assets and Equity - Total assets increased to $1,122,881,000 as of December 31, 2024, compared to $468,297,000 in 2023, representing a growth of 139.5%[18] - The company reported a total stockholders' equity of $666,729,000 as of December 31, 2024, up from $315,580,000 in 2023[18] Contracts and Capacity - Solaris secured approximately 700 megawatts of new power generation capacity, expected to double the operated fleet to around 1,400 megawatts by the first half of 2027[4] - A new commercial contract for a minimum of 500 megawatts has been established for an initial term of six years to support a new data center construction[4] Shareholder Returns - The company approved a first quarter 2025 dividend of $0.12 per share, marking the 26th consecutive dividend, with a total of $198 million returned to shareholders cumulatively[4] Other Financial Metrics - Cash and cash equivalents at the end of the period increased to $159,867,000 from $5,833,000 in 2023[20] - The company completed the MER Acquisition, resulting in a net cash outflow of $122,065,000[20] - Stock-based compensation expense for the year ended December 31, 2024, totaled $10,592,000, compared to $7,732,000 in 2023, an increase of approximately 37%[32] - Interest expense for the three months ended December 31, 2024, was $7,392,000, significantly higher than $912,000 for the same period in 2023[32] - The weighted average shares of Class A common stock outstanding for the year ended December 31, 2024, was 29,235,000, compared to 29,693,000 in 2023[37] - The company incurred acquisition-related costs of $4,358,000 for the year ended December 31, 2024[37] Segment Performance - The Solaris Logistics Solutions segment reported a revenue of $62 million in Q4 2024, an 11% decrease from Q3 2024, but is expected to grow in line with system growth in Q1 2025[8] - Solaris Logistics Solutions generated revenues of $274,457,000 for the year ended December 31, 2024, while Solaris Power Solutions contributed $38,634,000[24] Year-over-Year Comparisons - Net income for the three months ended December 31, 2024, was $14,004,000, compared to $6,959,000 for the same period in 2023, representing a 101% increase[32]