Financial Data and Key Metrics Changes - In Q4 2025, the company achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% year-over-year increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million [15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 2025 reached 2.6 million barrels per day (MMbpd), with full year combined volumes averaging 2.4 MMbpd, reflecting a 15% year-over-year growth [5][14] - The company achieved a single-day record of 2.9 MMbpd of water handled in Q4 2025 [9] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [10] Market Data and Key Metrics Changes - The company is well-positioned in the Delaware Basin, which is the most prolific oil and natural gas basin in North America, with a produced water handling capacity of over 5 MMbpd [6] - The demand for produced water handling continues to grow, with water-to-oil ratios in the Delaware Basin among the highest in the U.S. [7] Company Strategy and Development Direction - The company aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [6][17] - The Speedway Phase II pipeline project is expected to drive further growth, with demand already outperforming expectations [11][12] - The company is committed to maintaining a conservative balance sheet while pursuing growth opportunities [16][38] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position entering 2026, citing strong commercial momentum and opportunities for growth [14][18] - The current macro environment is seen as more favorable than when the 2026 guidance was set, suggesting potential upside in produced water handling volumes [25][44] Other Important Information - The company declared an inaugural quarterly dividend of $0.05 per share [16] - Total liquidity at the end of the year was $527 million, including $52 million in cash and cash equivalents [15] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous producer feedback when oil prices were lower, but they see potential for upside in the latter half of 2026 [24][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][28] Question: Acceleration of growth project opportunities - Management confirmed that they are in a strong position with several commercial discussions ongoing, which could lead to accelerated growth in 2026 [34][35] Question: Capital allocation philosophy post-growth projects - Management emphasized the priority of high-return organic growth projects while remaining open to M&A opportunities, with a focus on maintaining a healthy balance sheet [37][38] Question: Expectations for Speedway Phase II - Management indicated that the CapEx for Phase II is already incorporated into the budget, with expectations for attractive returns [46][47] Question: Evolution of rates for water takeaway - Management noted that rates are increasing due to higher demand and capital needs for projects, with new rates significantly higher than previous averages [56][57]

Financial Data and Key Metrics Changes - In Q4 2025, the company achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% year-over-year increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million and a Q4 net loss of $13.6 million [14][15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 reached 2.6 million barrels per day, with full year combined volumes averaging 2.4 million barrels per day, marking a 15% year-over-year growth [5] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [10] - The Speedway Phase 1 project was oversubscribed, with expectations for significant volume growth in 2026 and beyond [11] Market Data and Key Metrics Changes - The company operates in the Delaware Basin, which is experiencing high demand for produced water handling solutions due to evolving industry needs [6][7] - The water-to-oil ratios in the Delaware Basin are among the highest in the U.S., driving continued growth in produced water volumes [7] Company Strategy and Development Direction - The company aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [6][8] - There is a strategic emphasis on maintaining a conservative balance sheet while pursuing growth opportunities, including potential M&A [16][38] - The company plans to initiate construction on the New Devon Project in Q4 2026, further expanding its infrastructure [13] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position entering 2026, citing strong commercial momentum and the potential for upside in produced water handling volumes [14][18] - The current macro environment is seen as more favorable than when the 2026 guidance was set, suggesting potential for higher activity levels [25][46] Other Important Information - The company declared an inaugural quarterly dividend of $0.05 per share [16] - Total liquidity at year-end was $527 million, including $52 million in cash and $475 million undrawn under a new credit facility [15] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous market conditions, but noted potential for upside if the current macro environment holds [25][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][28] Question: Acceleration of growth project opportunities - Management confirmed that several commercial projects are firming up, which will support the foundation for Speedway Phase Two [34] Question: Capital allocation philosophy post-growth project spend - Management emphasized prioritizing high-return organic growth projects while remaining open to M&A opportunities [38] Question: Expectations for Speedway Phase Two - Management indicated that CapEx for Phase Two is included in the budget and is based on firm commercial projects [48] Question: Evolution of rates for water takeaway - Management noted that rates are increasing due to higher demand and capital needs for projects, with new rates significantly higher than previous averages [56] Question: Capacity to handle more produced water volumes - Management stated that the company could exceed the peak of 2.9 million barrels per day, highlighting the importance of having infrastructure in place [63]

Financial Data and Key Metrics Changes - In Q4 2025, WaterBridge achieved record revenue of $208.9 million, a 2% increase compared to the pro forma Q3 revenue [14] - Full year 2025 pro forma revenues reached $790 million, representing a 19% annual increase compared to pro forma 2024 revenues [5][14] - Full-year adjusted EBITDA was $402.8 million, a 16% year-over-year increase [15] - The company reported a full-year net loss of $58.1 million [15] Business Line Data and Key Metrics Changes - Produced water volumes in Q4 2025 increased to 2.6 million barrels per day, with full year combined volumes averaging 2.4 million barrels per day, reflecting a 15% year-over-year growth [5][10] - The Kraken project was brought online, contributing an initial capacity of approximately 450,000 barrels per day [11] - The Speedway Phase 1 project was oversubscribed, with expectations for significant volume growth in 2026 and beyond [12] Market Data and Key Metrics Changes - WaterBridge's produced water handling capacity exceeds 5 million barrels per day across over 2,600 miles of integrated pipeline [6] - The company has experienced a compound annual growth rate (CAGR) of over 22% in produced water handling volumes since 2022 [7] - Rates for produced water takeaway are increasing due to rising demand, with new contracts expected to drive higher unit-level revenue [58] Company Strategy and Development Direction - WaterBridge aims to continue its operational and commercial momentum in 2026, focusing on high-return organic growth projects and expanding its water infrastructure network [8][16] - The company is committed to maintaining a conservative balance sheet while exploring selective strategic acquisitions [16][39] - Future growth is anticipated from the Speedway Phase II project and potential Phase III developments, driven by increasing demand for water solutions [56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position entering 2026, highlighting strong commercial momentum and opportunities for growth [14][18] - The current macro environment is viewed as more favorable than when the 2026 guidance was set, suggesting potential upside in produced water handling volumes [25][46] - Management noted that the merger between Devon and Coterra could present incremental growth opportunities for WaterBridge [27][29] Other Important Information - The company ended 2025 with total liquidity of $527 million, including $52 million in cash and cash equivalents [15] - Capital expenditures in Q4 2025 were $89.2 million, primarily for the development of Speedway Phase 1 [16] - An inaugural quarterly dividend of $0.05 per share was declared [16] Q&A Session Summary Question: 2026 produced water handling volumes guidance - Management acknowledged that the guidance reflects a conservative approach based on previous producer feedback when oil prices were lower, but noted potential for upside in the latter half of 2026 [25][26] Question: Opportunities from the Devon and Coterra merger - Management expressed excitement about the merger and the potential for growth opportunities, particularly with the Devon team [27][29] Question: Acceleration of growth project opportunities - Management confirmed that several commercial projects are firmed up and will serve as the foundation for Speedway Phase II, with additional capital allocated for these projects [35][36] Question: Capital allocation philosophy post-growth project spend - Management emphasized prioritizing high-return organic growth projects while remaining open to M&A opportunities, maintaining a healthy balance sheet, and considering dividends and buybacks in the future [39][40] Question: Capacity to handle more produced water volumes - Management indicated that the company could exceed the peak of 2.9 million barrels per day, highlighting the importance of having infrastructure in place to accommodate larger multi-well pads [65][66]