Core Insights - Enerflex reported a record adjusted EBITDA of 122millionforQ2/24,anincreasefrom107 million in Q2/23 and 69millioninQ1/24,indicatingstrongoperationalperformance[1][3][5]−Thecompanymaintainedastablebacklogof1.3 billion in Engineered Systems (ES) and 1.6billioninEnergyInfrastructure(EI),providingstrongvisibilityintofuturerevenue[1][3][10]−Enerflex′sbank−adjustednetdebt−to−EBITDAratiowas2.2xattheendofQ2/24,consistentwithQ1/24andimprovedfrom2.8xinQ2/23,withatargetrangeof1.5xto2.0x[1][4][5]FinancialPerformance−RevenueforQ2/24was614 million, up from 579millioninQ2/23butdownfrom638 million in Q1/24, driven by higher ES and After-market Services (AMS) revenue [3][6] - Gross margin before depreciation and amortization increased to 173million,or28145 million (25%) in Q2/23 and 119million(1912 million, with a net working capital investment of 51million,markinga13 million improvement over Q2/23 [3][6] Operational Highlights - Enerflex's ES bookings totaled 331million,maintainingatotalbacklogof1.3 billion as of June 30, 2024, with strong demand primarily from North America [3][10] - The U.S. contract compression business achieved a utilization rate of 94% across a fleet of approximately 428,000 horsepower, generating 37millioninrevenuewithagrossmarginof6590 to 110million,focusingonmaintenanceandcustomer−supportedopportunities[1][12][13]−Thecompanyiscommittedtoprovidingmeaningfulreturnstoshareholders,withplanstoreevaluatecapitalallocationprioritiesonceitoperateswithinitstargetleveragerange[13][15]−Enerflexcontinuestoseeconsistentdemandacrossallbusinesslines,supportedbycustomercontractsexpectedtogenerateapproximately1.6 billion in revenue during their current terms [9][10]