Financial Data and Key Metrics Changes - In Q4 2025, rental revenue reached $44.3 million, a 16% year-over-year increase, while full-year rental revenue totaled $164.3 million, up 14% from the previous year [5][12] - Adjusted EBITDA for Q4 was $21.2 million, and for the full year, it was $81 million, both record figures for the company [5][12] - Net income for 2025 was $19.9 million, or $1.57 per diluted share, marking a record performance [15] Business Line Data and Key Metrics Changes - Rented horsepower increased to approximately 563,000 by year-end 2025, a 14% increase over the prior year, with fleet utilization reaching 84.9% [5][12] - Adjusted Rental Gross Margin for the full year was $99.6 million, reflecting a 14% year-over-year increase [13] Market Data and Key Metrics Changes - Demand for natural gas compression remains strong, driven by domestic oil production, particularly in liquid-rich basins like the Permian [8] - The company expects structural tailwinds from increasing LNG export capacity and growing electricity consumption from data centers and AI-related infrastructure [21][22] Company Strategy and Development Direction - The company is focused on fleet expansion, particularly in large horsepower and electric units, which generate higher returns and longer contract durations [7] - NGS initiated a return of capital program in 2025, including a dividend program that returned approximately $2.6 million to shareholders [6][17] - The company is committed to a disciplined capital allocation framework that includes organic growth, shareholder returns, and strategic M&A opportunities [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to drive further improvements and increase shareholder value, citing strong execution and market share gains [4] - The company anticipates continued organic growth in 2026, driven by large horsepower deployments and sustained industry demand for compression services [19] Other Important Information - The company recorded a $2.6 million non-cash impairment charge related to its Midland headquarters property [15] - Capital expenditures for 2025 totaled $121.5 million, with approximately $109.8 million allocated to growth capital expenditures for new large horsepower compression units [17] Q&A Session Summary Question: Guidance on large horsepower and electric motor drive assets' impact on rental gross margins - Management did not provide specific guidance on Adjusted Rental Gross Margin but expects modest uplift from the 60.6% figure in 2025 [24] Question: Lead times for large horsepower units and current bottlenecks - Lead times for high-end large horsepower units have extended beyond 100 weeks, while lower horsepower units have not seen significant changes [25][26] Question: Competitive environment and pricing due to delays in large horsepower units - The competitive landscape is evolving, and while lead times for high horsepower units are long, the company has sufficient units to meet customer needs [32] Question: Opportunities in midstream and pricing dynamics - The company is seeing quoting activity in midstream but has not yet won contracts in that area; they believe they can penetrate this market with their technology and service [38][42] Question: Return of capital and dividend strategy moving forward - Management understands shareholders' desire for a consistent and increasing dividend but did not provide specific guidance for 2026 [46] Question: Maintenance capital expenditures and their trajectory - Maintenance capital expenditures are expected to gradually increase due to the significant fleet horsepower growth over the past five years [61]

Core Viewpoint - Natural Gas Services Group, Inc. (NGS) reported strong financial results for the year and fourth quarter ended December 31, 2025, highlighting record performance in rented horsepower, fleet utilization, and rental revenue, driven by sustained demand for large horsepower compression equipment [3][5]. Financial Performance - Fourth quarter rental revenue reached $44.3 million, a 16.0% increase year-over-year, contributing to a full-year rental revenue of $164.3 million, up 13.9% from 2024 [5][9]. - Adjusted EBITDA for the fourth quarter was $21.2 million, marking a 17.6% year-over-year increase, while full-year Adjusted EBITDA totaled $81.0 million, a 16.5% increase compared to 2024 [5][14]. - Net income for the fourth quarter was $4.1 million, or $0.32 per diluted share, compared to $2.9 million, or $0.23 per diluted share, in the same quarter of 2024 [12][38]. Operational Highlights - Rented horsepower increased by 37,000 to 563,000, representing a 14.4% year-over-year growth, with fleet utilization reaching a record 84.9% [3][9]. - The company initiated its inaugural dividend in Q3 2025 and increased it by 10.0% in Q4, returning $2.6 million to shareholders in the second half of 2025 [3][5]. Capital Expenditure and Guidance - For 2026, NGS expects Adjusted EBITDA between $90.5 million and $95.5 million, driven by large horsepower unit deployments and operational improvements [4][7]. - Growth capital expenditures for 2026 are projected to be between $55 million and $70 million, reflecting continued investment in large horsepower compression units [7][8]. Strategic Outlook - The company remains focused on organic fleet growth while evaluating accretive M&A opportunities, maintaining a balanced capital allocation framework [3][8]. - NGS's low leverage ratio of 2.72x and fixed charge coverage ratio of 3.45x provide significant flexibility for continued investment and shareholder value delivery [15].

Core Thesis - USA Compression Partners, LP (USAC) is positioned as a compelling income-focused energy investment, with an indicated annualized yield of 8.5% and potential upside to $30 from a recent price of $24.60 [3] Financial Performance - As of February 26th, USAC's share price was $27.60, with trailing and forward P/E ratios of 35.73 and 23.36 respectively [1] - In Q3 2025, USAC achieved record adjusted EBITDA of $160 million, surpassing analyst expectations, with contract operations revenue increasing by 5% year-over-year [4] - Full-year EBITDA guidance was raised by 2.5%, reflecting tight market conditions and a 94% average horsepower utilization rate [4] Operational Strength - USAC focuses on high-horsepower applications, which make up over 75% of its active compression fleet, deployed across five major basins with favorable economics [4] - The company operates under long-term, take-or-pay contracts, ensuring stable cash flows and supporting natural gas transportation and crude oil production [3][5] Financial Backing and Stability - Energy Transfer LP owns the non-economic general partnership and 46.9% of outstanding common units, providing strong financial backing [5] - Credit ratings from Moody's, S&P, and Fitch are Ba3, B+, and BB respectively, highlighting USAC's geographic diversity, scale, and long-term relationships with investment-grade counterparties [5] Investment Opportunity - USAC is characterized as a medium- to high-risk Master Limited Partnership (MLP) suitable for taxable income-focused portfolios, offering both high current income and exposure to the domestic energy infrastructure sector [6] - The combination of resilient operations, strong contract coverage, and attractive yield positions USAC as a distinctive investment opportunity [6]

Core Thesis - USA Compression Partners, LP (USAC) is positioned as a compelling income-focused energy investment, with an indicated annualized yield of 8.5% and potential upside to $30 from a recent price of $24.60 [3] Financial Performance - As of February 26th, USAC's share price was $27.60, with trailing and forward P/E ratios of 35.73 and 23.36 respectively [1] - In Q3 2025, USAC achieved record adjusted EBITDA of $160 million, surpassing analyst expectations, with contract operations revenue increasing by 5% year-over-year [4] - Full-year EBITDA guidance was raised by 2.5%, reflecting tight market conditions and a 94% average horsepower utilization rate [4] Operational Strength - USAC focuses on high-horsepower applications, which make up over 75% of its active compression fleet, deployed across five major basins with favorable economics [4] - The company operates under long-term, take-or-pay contracts, ensuring stable cash flows and supporting natural gas transportation and crude oil production [3][5] Financial Backing and Stability - Energy Transfer LP owns the non-economic general partnership and 46.9% of outstanding common units, providing strong financial backing [5] - Credit ratings from Moody's, S&P, and Fitch are Ba3, B+, and BB respectively, highlighting USAC's geographic diversity, scale, and long-term relationships with investment-grade counterparties [5] Investment Opportunity - USAC is characterized as a medium- to high-risk Master Limited Partnership (MLP) suitable for taxable income-focused portfolios, offering both high current income and exposure to the domestic energy infrastructure sector [6] - The combination of resilient operations, strong contract coverage, and attractive yield positions USAC as a distinctive investment opportunity [6]

ARCHROCK, INC. Investor Handout February 2026 2 0,169,224 0,0,0 Forward-Looking Statements All statements in this release (and oral statements made regarding the subjects of this release) other than historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties and factors that could cause actual results ...

Core Insights - The company is planning to optimize route management, inventory, contracts, and operational structures to realize synergies by 2026, with substantial synergy capture targeted by 2027 [1][8] - The acquisition of J-W Power, which closed on January 12, broadens the company's reach across major U.S. oil and gas basins, positioning it as a preferred choice for operators [2][5] - The company reported record full-year Adjusted EBITDA of $613.8 million and Distributable Cash Flow (DCF) of $385.7 million, maintaining an average utilization above 94% [3][4] Financial Performance - For 2025, the company achieved a total recordable incident rate (TRIR) of 0.39, about half the industry average, and ended the year with 94.5% utilization [4][3] - The fourth-quarter pricing reached an all-time high of $21.69 per horsepower, reflecting a 1% sequential increase and a 4% year-over-year increase [12] - The company’s 2026 outlook includes Adjusted EBITDA of $770–800 million and DCF of $480–510 million, supported by a larger capital program of $230–250 million [6][17] Acquisition and Integration - The acquisition of J-W Power is expected to generate $10–20 million in annual run-rate synergies by the end of 2027, with a review of approximately 200,000 idle horsepower [7][8] - The company plans to integrate J-W assets into its operations during 2026, with a new ERP system going live in the first quarter of 2026 [1][5] Market Environment - The energy macroenvironment stabilized in 2025, although development in the Permian slowed due to lower oil prices, while natural gas volumes rose by about 9% year-over-year [9][10] - The average natural gas price in 2025 was $3.52 per MMBtu, a 56% increase from the previous year [10] Capital Expenditures and Growth Plans - The company’s capital expenditures for 2026 include over 100,000 new horsepower and approximately $40 million for vehicles, tools, and technology [13][14] - Management indicated that about $205 million of growth spending is tied to core compression growth, with half of the new horsepower already under contract [14] Debt and Financial Strategy - The company aims for a near-term leverage target of 3.75x debt-to-EBITDA over the next 12 months, with current borrowing costs about 50 basis points lower than recent notes refinance [15] - Management is targeting normalized distribution coverage of about 1.6x+ in 2026, while balancing distribution growth with deleveraging goals [18]

Core Viewpoint - Natural Gas Services Group, Inc. ("NGS") announces the retirement of Stephen Taylor, Chairman Emeritus, from the Board of Directors, concluding over two decades of leadership and service to the company [1][5]. Leadership Transition - Stephen Taylor served as CEO and Chairman for nearly 20 years, during which NGS experienced significant growth and developed new operational capabilities [2]. - Under Taylor's leadership, NGS expanded its national footprint and broadened its equipment portfolio, establishing a large horsepower fleet [2][3]. - NGS transformed from a small compression fabricator into a large-scale rental compression platform serving major U.S. oil and gas basins [3]. Legacy and Impact - Taylor completed a planned leadership transition in February 2024, passing the CEO role to Justin Jacobs while continuing to provide guidance as a director [4]. - His leadership was instrumental in building a durable business with strong fundamentals, and his guidance during the CEO transition was invaluable [5]. - Taylor expressed pride in NGS's achievements and confidence in the company's future success, retaining a significant equity interest in the company [5]. Board Governance - The Board of Directors is engaged in regular governance and succession planning processes and will announce any changes to Board composition as they develop [5].

Core Insights - USA Compression Partners (USAC) has acquired J-W Power Company for approximately $860 million, enhancing its position in the natural gas compression industry and strengthening its market presence [2][10] Transaction Details and Financing Structure - The acquisition was financed through a combination of $430 million in cash from a revolving credit facility and the issuance of about 18.2 million common units at an effective price of $23.50 each [3][4] - The cash portion was fully covered by existing credit capacity, minimizing the need for additional external funding and strengthening the company's balance sheet [4] Fleet Expansion and Operational Capacity - The acquisition adds over 0.8 million active horsepower, bringing USA Compression's total to 4.4 million, positioning it as a leading player in the compression services sector [5][6] - This expanded fleet allows USA Compression to better serve a diversified customer base with more efficient and scalable solutions [6] Strategic Benefits for Commercial Portfolio - The integration of J-W Power Company's assets diversifies and strengthens USA Compression's customer base, critical for long-term stability and growth [7] - The acquisition enables USA Compression to offer a wider variety of compression services, enhancing its competitive edge in the evolving industry [8] Financial Impact and Value Creation - The acquisition is expected to result in near-term accretion on a Distributable Cash Flow basis, benefiting unitholders through increased operational capacity and enhanced customer base [11] - It also strengthens long-term outlook by improving pro forma debt metrics and optimizing capital structure, providing greater financial flexibility for growth initiatives [12][13] Strengthening Position in Mid-to-Large Horsepower Compression - The acquisition reinforces USA Compression's capabilities in mid-to-large horsepower compression, positioning it to meet rising demand in the energy sector [14] - By expanding its fleet of high-capacity compression units, USA Compression can serve larger and more complex projects across key operational regions [15] Strategic Growth and Market Leadership - This acquisition is a critical step in USA Compression's growth strategy, creating a stronger, more diversified entity well-equipped to capitalize on emerging opportunities [16] - The enhanced fleet and expanded customer base will allow USA Compression to maintain a competitive edge and drive sustainable growth [17] Conclusion - The completion of the acquisition marks a significant milestone for USA Compression, positioning it for success with a larger, more diversified fleet and improved financial metrics [18]

Core Insights - Investors are gravitating towards safer, low-beta stocks due to anticipated market uncertainty [1] - Companies are increasingly utilizing complex borrowing methods for funding data center projects, contributing to market nervousness [1] Stock Recommendations - Suggested low-beta stocks include J & J Snack Foods Corp. (JJSF), USA Compression Partners, LP (USAC), Natural Gas Services Group, Inc. (NGS), and The Vita Coco Company, Inc. (COCO) [2] Stock Characteristics - Beta measures the volatility of a stock relative to the market, with a beta of less than 1 indicating lower volatility [3][4] - A beta range of 0 to 0.6 is used as a screening criterion for less volatile stocks [5] Screening Criteria - Stocks must have a positive price change over the last four weeks [5] - Average 20-day trading volume should exceed 50,000 [6] - Stock price must be at least $5 [6] - Zacks Rank of 1 indicates strong buy potential [6] Company Profiles - **J & J Snack Foods**: Strong balance sheet, negligible debt, focused on capital return to shareholders, and plans to accelerate stock repurchases [7] - **USA Compression Partners**: Positioned to benefit from rising demand for cleaner fuels and LNG exports, with plans to add new equipment by year-end [8][9] - **Natural Gas Services**: Benefits from increased LNG exports, leading to higher demand for compression equipment [10] - **The Vita Coco Company**: Leading producer of coconut water, experiencing strong demand growth across regions [11]

Core Insights - Pembina Pipeline Corporation has outlined a growth strategy for 2026, focusing on increasing fee-based adjusted EBITDA and expanding its pipeline systems to capitalize on market conditions and customer demand [2][3][18] Financial Performance - Pembina projects an adjusted EBITDA of C$4.1 billion to C$4.4 billion for 2026, representing an approximate 4% increase compared to 2025, driven by increased volumes across its diversified energy assets [3][9] - The company anticipates a compound annual growth rate of about 5% in fee-based adjusted EBITDA per share from 2023 to 2026 [4] Capital Investments and Expansions - Pembina's capital investment program for 2026 is set at C$1.6 billion, with C$640 million allocated to pipeline expansions and C$255 million for facilities projects [5][6] - The expansion of the Peace Pipeline System includes a C$200 million investment to increase propane-plus market delivery capacity by 70,000 barrels per day [10][11] Strategic Agreements - Pembina has secured a 12-year agreement with Ovintiv Inc. for 0.5 million tons per annum of liquefaction capacity at the Cedar LNG facility, expected to contribute C$220 million to C$280 million annually in adjusted EBITDA [7][8] Innovation and Sustainability - The Greenlight Electricity Center project aims to provide up to 1,800 MW of electricity to Alberta's power grid, with significant progress made in 2025 [12][13] - Pembina's focus on safe, reliable, and cost-effective energy infrastructure solutions is central to its long-term sustainability and growth strategy [19][20] Leadership Transition - Pembina is undergoing a leadership transition with key executives retiring by the end of 2025, aiming to strengthen organizational capabilities [14][15] Marketing Outlook - The marketing segment is expected to have a more moderate contribution in 2026 due to lower frac spreads and changing natural gas prices, but Pembina continues to navigate these dynamics through hedging strategies [16][17]