Newpark Resources(US:NR)2025-10-30 20:25Financial Performance - Revenues for Q3 2025 were $68.8 million, a 56% increase year-over-year from $44.2 million in Q3 2024[4] - Adjusted EBITDA for Q3 2025 was $15.4 million, representing a 22.3% margin, up from $7.5 million and a 17.0% margin in the prior year[6] - Operating income from continuing operations was $9.1 million, with an operating margin of 13.2%, compared to $1.2 million and 2.8% in Q3 2024[4] - The company raised its full-year revenue guidance to a range of $268 million to $272 million, and Adjusted EBITDA guidance to $71 million to $74 million[15] - Net income for the nine months ended September 30, 2025, was $24,335,000, a recovery from a net loss of $158,965,000 in the same period of 2024[22] - Rental revenues for Q3 2025 were $29,591,000, up from $18,873,000 in Q3 2024, showing strong growth in this segment[20] Cash Flow and Liquidity - Net cash provided by operating activities was $24.7 million, with free cash flow of $12.5 million in Q3 2025[6] - Total cash as of September 30, 2025, was $35.6 million, with total debt of $9.5 million, indicating a strong liquidity position[11] - Cash and cash equivalents rose to $35,636,000, compared to $17,756,000 at the end of 2024, indicating improved liquidity[21] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $54,984,000, compared to $42,296,000 in the same period of 2024[22] - The company reported a net cash provided by operating activities of $24,716,000 for Q3 2025, an increase from $21,440,000 in Q2 2025[27] Operational Efficiency - The company expanded its rental fleet by 13% year-to-date and achieved a 5% increase in production output through debottlenecking efforts[7] - Selling, general and administrative expenses were $13.3 million, or 19.3% of revenues, down from 24.9% in Q3 2024[10] - The company reported a gross margin of 31.9% in Q3 2025, compared to 27.5% in the prior year[8] - A new cloud-based ERP system rollout began in Q3 2025, expected to be completed by Q1 2026, aimed at improving operational efficiency[9] Adjusted Metrics - The company has supplemented its financial results with non-GAAP measures to provide a clearer picture of its performance and liquidity[23] - Adjusted Income from Continuing Operations for Q3 2025 was $6,118,000, compared to $9,068,000 in Q2 2025, reflecting a decrease of 32.3%[25] - EBITDA from Continuing Operations for Q3 2025 was $15,287,000, a decrease from $18,427,000 in Q2 2025, representing a decline of 17.3%[26] - Adjusted EBITDA Margin from Continuing Operations for Q3 2025 was 22.3%, down from 27.5% in Q2 2025, reflecting margin compression[26] Capital Expenditures - Capital expenditures for Q3 2025 totaled $12,714,000, compared to $11,694,000 in Q2 2025, indicating increased investment in operations[27] Shareholder Information - The weighted average common shares outstanding for Q3 2025 were 84,359,000, slightly down from 84,480,000 in Q2 2025[25]