Core Insights - Select Water Solutions reported a revenue of $322 million for Q3 2025, a decrease from $364.2 million in Q2 2025 and $371.3 million in Q3 2024 [9] - The company achieved a cash flow from operating activities of $72 million during the same quarter [1] - The Chemical Technologies segment saw a revenue increase of 13% and gross profit growth of 34% compared to Q2 2025 [1][16] - New long-term contracts in Water Infrastructure were announced, covering approximately 65,000 acres, enhancing the company's service capabilities in the Permian Basin [1][25] Financial Performance - Revenue for Q3 2025 was $322.2 million, down from $364.2 million in Q2 2025 and $371.3 million in Q3 2024 [9] - Net income for Q3 2025 was $2.3 million, compared to $11.7 million in Q2 2025 and $18.8 million in Q3 2024 [9] - Gross profit was $43.6 million in Q3 2025, down from $57.8 million in Q2 2025 and $62.4 million in Q3 2024, with a gross margin of 13.5% [10] - Adjusted EBITDA for Q3 2025 was $59.5 million, a decrease from $72.6 million in Q2 2025 and $72.8 million in Q3 2024 [12] Segment Performance - The Water Infrastructure segment generated revenues of $78.8 million in Q3 2025, down from $80.9 million in Q2 2025 and $82.0 million in Q3 2024, with a gross margin before D&A of 53.1% [14] - The Water Services segment reported revenues of $166.9 million in Q3 2025, a significant decrease from $215.7 million in Q2 2025 and $234.0 million in Q3 2024, with a gross margin before D&A of 18.0% [15] - The Chemical Technologies segment achieved revenues of $76.6 million in Q3 2025, up from $67.7 million in Q2 2025 and $55.3 million in Q3 2024, with a gross margin before D&A of 19.9% [16] Strategic Developments - The company signed multiple long-term contracts for water gathering, recycling, and disposal in the Permian Basin, with a total capital expenditure of approximately $25 million expected for these projects [25] - A 12-year agreement was executed for water recycling and disposal in the Northern Delaware Basin, adding approximately 60,000 acres under dedication [4][27] - Select Water Solutions is expanding its infrastructure in the Midland Basin, integrating new contracts into existing facilities to enhance service capabilities [5][26] Cash Flow and Capital Expenditures - Cash flow from operations for Q3 2025 was $71.7 million, compared to $82.6 million in Q2 2025 and $51.9 million in Q3 2024 [17] - Net capital expenditures for Q3 2025 were $91.1 million, with free cash flow reported at ($19.4) million [18] - The company is increasing its 2025 net capital expenditures guidance to a range of $250 million to $275 million [7] Balance Sheet and Liquidity - Total cash and cash equivalents decreased to $17.8 million as of September 30, 2025, down from $51.2 million as of June 30, 2025 [21] - Total liquidity was reported at $175.5 million as of September 30, 2025, compared to $279.3 million as of June 30, 2025 [24] - The company had $250 million in borrowings outstanding under its sustainability-linked credit facility as of September 30, 2025 [22]