Nine Energy Makes Big Improvements in One Quarter

Nine Energy Service, a Houston-based oilfield services company with operating facilities in Oklahoma’s SCOOP and STACK reported first quarter revenue of nearly $174 million.

In an earnings report released this week, the company also said net income was $1.7 million while adjusted earnings before interest, taxes, depreciation and amortization came to $24.1 million.

The first quarter revenue increased nearly 13% while the adjusted earnings were up 29% over the fourth quarter 2017. The $1.7 million in net income compared to a net loss of nearly $30 million or $1.89 per diluted share from the previous quarter.

Nine’s President and Chief Executive Officer, Ann Fox, commented, “Nine continues to capitalize and execute on the improving macro backdrop, increasing adjusted EBITDA by 29% quarter over quarter and generating $17.3 million in cash flow from operations despite a use of net working capital due to growing revenue by 13%. ”

She said the company’s North American land activity and completion complexity continue to increase, allowing the Company to differentiate through wellsite execution and a comprehensive technology portfolio.

“The Completion Solutions Segment continues to drive growth for Nine. Completion Solutions revenue grew approximately 15% quarter over quarter despite no additional equipment coming online during the first quarter of 2018, but rather was driven by a significant increase in utilization and profitability across all service lines.”