Kirby(US:KEX)2026-01-29 18:27Financial Performance - Fourth quarter net earnings attributable to Kirby were $91.8 million or $1.68 per share, a significant increase from $42.8 million or $0.74 per share in the same quarter of 2024[2] - Full year net earnings attributable to Kirby reached $354.6 million or $6.33 per share, compared to $286.7 million or $4.91 per share in 2024[3] - Adjusted EBITDA for the fourth quarter was $203.1 million, compared to $172.3 million in the fourth quarter of 2024[15] - Operating income for Q4 2025 was $129,673,000, significantly higher than $50,146,000 in Q4 2024, marking a 158.5% increase[26] - Net earnings attributable to Kirby for Q4 2025 were $91,810,000, compared to $42,817,000 in Q4 2024, reflecting a 114.1% increase[28] - Adjusted EBITDA for Q4 2025 was $203,059,000, up from $172,332,000 in Q4 2024, indicating a 17.8% growth[28] - Free cash flow for Q4 2025 was $265,200,000, compared to $150,700,000 in Q4 2024, representing a 76.0% increase[39] Revenue Growth - Consolidated revenues for the fourth quarter of 2025 were $851.8 million, up from $802.3 million in the fourth quarter of 2024[2] - Total revenues for Q4 2025 reached $851,775,000, a 6.2% increase from $802,315,000 in Q4 2024[26] - Marine transportation revenues increased to $481,653,000 in Q4 2025 from $466,776,000 in Q4 2024, representing a 3.8% growth[31] - Distribution and services revenues rose to $370,122,000 in Q4 2025, up 10.3% from $335,539,000 in Q4 2024[33] Operational Metrics - Inland marine barge utilization averaged in the mid to high-80% range during the fourth quarter, with expectations for improvement into the low 90% range in the first quarter of 2026[5] - Power generation revenue increased 10% sequentially and 47% year-over-year, driven by strong order activity and large project wins[5] - Operating margin for Marine transportation improved to 20.8% in Q4 2025 from 18.4% in Q4 2024[31] - Inland marine transportation revenues for Q4 2025 were $379.2 million, resulting in a revenue per ton mile of 10.9 cents[5] Debt and Capital Expenditures - Total debt as of December 31, 2025, was $919.3 million, with a debt-to-capitalization ratio of 21.4%[15] - The debt to capitalization ratio increased to 21.4% in 2025 from 20.7% in 2024[29] - Capital expenditures for Q4 2025 were $47,033,000, down from $96,670,000 in Q4 2024[28] Future Outlook - For 2026, Kirby expects earnings per share to be flat to up 12% year-over-year, supported by stable operations and improving market fundamentals[5] - Total distribution and services revenues are projected to be flat to slightly higher year-over-year, with strength in power generation offsetting lower oil and gas activity[18] Performance Measurement - Kirby evaluates its operating performance using Adjusted EBITDA, which is defined as net earnings before interest, taxes, depreciation, and amortization[1] - Adjusted EBITDA is a key performance measure used in Kirby's incentive bonus plan and is widely accepted by analysts and investors[1] - Kirby uses non-GAAP financial measures to assess performance excluding one-time items, which helps in understanding operating performance over different periods[2] - Free cash flow is defined as net cash from operating activities less capital expenditures, providing insights into the company's liquidity[2] Operational Efficiency - Ton miles measure fleet productivity, indicating the distance a loaded tank barge is moved, with an example of generating 330,000 ton miles[4] - The average number of towboats operated includes both owned and chartered vessels during the reporting period[6] - Delay days measure the lost time incurred by a tow during transit, accounting for various navigational delays[7] Share Repurchase - Kirby repurchased 1,030,729 shares at an average price of $98.53 for a total of $101.6 million in the fourth quarter[5]