Core Viewpoint - Dawson Geophysical Company reported a significant increase in demand for high-resolution seismic surveys, leading to a capital investment in new equipment to enhance operational efficiency and competitiveness in the market [2][3][7]. Financial Performance - For Q2 2025, the company reported fee revenues of $8.7 million, a 5% increase from $8.3 million in Q2 2024. Total revenue for the quarter was $9.9 million, down from $12.5 million in the same quarter last year [3][13]. - Gross margin improved to 13% in Q2 2025 from 1% in Q2 2024, attributed to enhanced operational efficiencies [3]. - The company incurred a net loss of $2.3 million or $0.08 per share in Q2 2025, compared to a net loss of $3.5 million or $0.12 per share in Q2 2024 [4][13]. - Year-to-date, the company reported a net loss of $1.4 million or $0.04 per share, a decline from a net income of $2.3 million or $0.07 per share in the same period of 2024 [5][13]. Operational Update - A large channel crew was deployed in April 2025, expected to maintain high utilization through the end of the year. The company is also improving its backlog with multiple jobs contracted for quick deployment of new equipment [3][5]. - The company anticipates that the new equipment will enhance both top-line and bottom-line results as it is deployed [3]. Capital Investment - On August 8, 2025, the company entered into an Equipment Purchase Agreement to acquire single point node channels for approximately $24.2 million, with deliveries scheduled from August 2025 to January 2026 [6][7]. - The payment structure includes an initial cash payment of $4.8 million, followed by additional payments upon delivery, with the remainder financed through promissory notes at an interest rate of 8.75% [7]. Liquidity Position - As of June 30, 2025, the company increased its cash position to $16.2 million and improved its working capital to $4.9 million, compared to $1.4 million and $4.6 million at the end of 2024 [8][16].

Financial Performance - FY25 Q2 revenue was $18 million, down 26% quarter-over-quarter[17] - FY25 Q2 gross profit was $1.7 million, down 70% quarter-over-quarter[17] - FY25 Q2 net loss was $9.8 million, a 126% increase quarter-over-quarter[17] - FY25 Q2 adjusted EBITDA was a loss of $6.5 million, down 129% quarter-over-quarter[17] - Trailing twelve months (TTM) revenue was $116.5 million, down 15% year-over-year[20] - TTM gross profit was $46.4 million, down 17% year-over-year[20] - TTM net loss was $16.4 million, down 202% year-over-year[20] - TTM adjusted EBITDA was $16 million, down 53% year-over-year[20] Segment Performance - Smart Water segment Q2 revenue increased 48% quarter-over-quarter to $9.5 million[25] - Energy Solutions segment Q2 revenue decreased 77% quarter-over-quarter to $2.6 million[31] - Intelligent Industrial segment Q2 revenue decreased 13% quarter-over-quarter to $5.9 million[37] Smart Water Segment - Over 27 million Hydroconn® universal AMI connectors have been sold[13] - Hydroconn® connectors achieved their highest first six-months revenue to date[15, 28] - Hydroconn® smart water meter connector cabling product line is BABA compliant[29]