Oilfield services company Tetra Technologies beats Q3 revenue estimates, raises 2025 revenue guidance

Reuters10-29
Oilfield services company Tetra Technologies beats Q3 revenue estimates, raises 2025 revenue guidance

Overview

  • Tetra Technologies Q3 revenue rose 8% yr/yr, beating analyst expectations

  • Adjusted EPS for Q3 beats consensus, reflecting operational improvements

Outlook

  • Tetra raises 2025 revenue guidance to $620 mln-$630 mln from $610 mln-$630 mln

  • Company expects 2025 adjusted EBITDA of $107 mln-$112 ln, up from $100 mln-$110 mln

  • Tetra anticipates strong demand for battery electrolytes

Result Drivers

  • OFFSHORE AND INDUSTRIAL STRENGTH - Revenue growth driven by strong performance in offshore and industrial calcium chloride businesses

  • COMPLETION FLUIDS GROWTH - Completion Fluids & Products revenue increased 39% year-over-year due to Gulf of America and Brazil projects

  • COST CONTROLS AND TECHNOLOGY - Water & Flowback Services improved EBITDA margins despite revenue decline, aided by cost controls and tech advancements

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$153.23 mln

$143.63 mln (3 Analysts)

Q3 Adjusted EPS

Beat

$0.04

$0.02 (2 Analysts)

Q3 EPS

$0.03

Q3 Adjusted EBITDA

$25.03 mln

Q3 Adjusted Free Cash Flow

-$628,000

Q3 Gross Profit

$36.37 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the oil related services and equipment peer group is "buy"

  • Wall Street's median 12-month price target for Tetra Technologies Inc is $7.50, about 3.7% below its October 28 closing price of $7.78

  • The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nPn9JvKGna

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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