Reports fourth quarter 2025 produced water handling volumes of 2.6 million barrels per day and revenue of $208.9 million, representing quarterly growth of 1% and 2%, respectively
Reports full year 2025 combined produced water handling and pro forma revenue growth of 15% and 19%, respectively, year-over-year
Achieved a single-day volume record of approximately 2.9 million barrels per day of produced water handling volumes in fourth quarter 2025
Announced an open season for the second phase of the Speedway long-haul produced water pipeline project in February 2026
HOUSTON--(BUSINESS WIRE)--March 16, 2026--
WaterBridge Infrastructure LLC (NYSE: WBI) (the "Company" or "WaterBridge") today announced its financial and operating results for the fourth quarter and fiscal year ended December 31, 2025.
Prior to the closing of WaterBridge's initial public offering (the "IPO") on September 18, 2025, WaterBridge completed the successful combination (the "Combination") of its legacy entities WaterBridge Equity Finance LLC ("WBEF"), WaterBridge NDB Operating LLC ("NDB Operating") and Desert Environmental LLC ("Desert Environmental"). Key operational metrics in this release for full year 2025 and all quarters prior to fourth quarter 2025 are presented on a combined basis, and financial results reported in this release for full year 2025 and all quarters prior to fourth quarter 2025 are presented on a pro forma basis in accordance with Article 11 of Regulation S-X, assuming the Combination and the IPO had occurred on January 1, 2024.
Fourth Quarter 2025 Financial Highlights
-- Produced water handling volumes of 2.6 million barrels per day, up 1%
compared to third quarter combined produced water handling volumes
-- Revenue of $208.9 million, up 2% compared to third quarter pro forma
revenue
-- Net loss of $13.6 million, with net loss margin of 7%
-- Adjusted EBITDA of $103.8 million, with Adjusted EBITDA Margin of
50%(1)
-- Gross margin of $46.8 million
-- Adjusted Operating Margin of $108.9 million(1)
Fiscal Year 2025 Financial Highlights
-- Combined produced water handling volumes of 2.4 million barrels per day,
up 15% year-over-year
-- Pro forma revenue of $790.0 million, up 19% year-over-year
-- Pro forma net loss of $58.1 million, with pro forma net loss margin of
7%
-- Pro forma Adjusted EBITDA of $402.8 million, with pro forma Adjusted
EBITDA Margin of 51%(1)
-- Pro forma gross margin of $209.1 million
-- Pro forma Adjusted Operating Margin of $416.9 million(1)
Recent Milestones
-- Continued development of our large-diameter gathering and
transportation Speedway Pipeline project (the "Speedway Pipeline"), with
an open season for Phase II of the project commencing in February 2026.
Phase II is expected to provide up to 500,000 barrels per day (bpd) of
throughput capacity, in addition to the 500,000 bpd of throughput
capacity for the initial phase of the Speedway Pipeline, for customers in
Eddy and Lea counties, New Mexico, increasing access to low pressure pore
space on LandBridge $(LB)$ surface acreage in the Central Basin
Platform.
-- Announced inaugural quarterly cash dividend of $0.05 per share in the
first quarter of 2026
-- Provided full year 2026 Adjusted EBITDA guidance of $420 to $460
million, with year-over-year anticipated growth driven by large scale,
minimum volume commitment-backed capital projects
-- Realized 99.7% operational uptime with measurement variance of less
than 1% across our system for full year 2025, demonstrating the benefits
of WaterBridge's optimized, advanced, and technology-driven operations
-- Achieved a single-day volume record of approximately 2.9 million
barrels per day of produced water handling in fourth quarter of 2025
Management Commentary
Jason Long, Chief Executive Officer of WaterBridge, stated, "2025 was a milestone year for WaterBridge as we brought the largest integrated pure-play water infrastructure network in the United States to the public markets via an upsized IPO. During our first full quarter as a publicly traded company, we achieved record revenues and strong Adjusted EBITDA margins. Featuring predictable cash flows and the Delaware Basin's most expansive integrated pure-play network of produced water facilities, WaterBridge is uniquely positioned to serve the expanding water takeaway needs of producers. As we enter 2026, we remain dedicated to enabling critical flow assurance through our responsibly developed pore space and recycling infrastructure."
Scott McNeely, Chief Financial Officer of WaterBridge, stated, "WaterBridge entered 2026 from a position of strength and with robust demand for large-scale, high return growth projects. In the year to come, we anticipate further accelerating commercial momentum with the ramp of our bpx Kraken project, the anticipated completion of phase 1 of the Speedway Pipeline project, and strong demand for phase 2 of Speedway. Underpinned by long-term, fixed-fee contracts, a diversified customer base and strong demand for produced water handling, we are building a superb foundation for sustained growth and shareholder value creation."
Fourth Quarter Operational Results
Produced water handling volumes for the fourth quarter were 2.6 million barrels per day, representing a 1% increase compared to the combined produced water handling volumes in the third quarter of 2025. Volume growth was driven by increased produced water handling demand in our Eddy County and Stateline systems, as well as increased produced water volumes due to the continued ramp of the bpx Kraken pipeline project.
Fourth quarter capital expenditures were $89.2 million, primarily driven by construction costs for the first phase of the Speedway Pipeline project, as well as the continued expansion of our Stateline systems in response to growing demand for produced water handling services.
Gross margin and gross margin per barrel for the quarter were $46.8 million and $0.18, respectively, as compared to third quarter 2025 pro forma gross margin and pro forma gross margin per barrel of $58.3 million and $0.22, respectively. Adjusted Operating Margin and Adjusted Operating Margin per barrel were $108.9 million and $0.41 per barrel, respectively, as compared to third quarter 2025 pro forma Adjusted Operating Margin and pro forma Adjusted Operating Margin per Barrel of $111.0 million and $0.42, respectively.(1)
Fourth Quarter Financial Results
Total revenue for the fourth quarter of 2025 was $208.9 million as compared to $205.5 million of total pro forma revenue in the third quarter of 2025. The quarterly increase was mainly driven by continued produced water volume growth across our infrastructure.
Net loss for the fourth quarter of 2025 was $13.6 million as compared to an $18.7 million pro forma net loss in the third quarter of 2025. Adjusted EBITDA was $103.8 million in the fourth quarter of 2025 as compared to pro forma Adjusted EBITDA of $105.7 million in the third quarter of 2025.(1)
Net loss margin was 7% in the fourth quarter of 2025, and Adjusted EBITDA Margin was 50% in the fourth quarter of 2025.(1)
Strong Balance Sheet with Ample Liquidity
Total liquidity was $526.5 million as of December 31, 2025, including approximately $475.0 million of available borrowing capacity under its revolving credit facility and total cash and cash equivalents of $51.5 million. The Company had $1.465 billion of borrowings outstanding as of December 31, 2025, versus $609.4 million of borrowings outstanding as of December 31, 2024.
Return of Capital Initiated
On February 25th, 2026, WaterBridge announced that our Board of Directors declared an inaugural dividend on our Class A shares of $0.05 per share, payable on March 19, 2026 to shareholders of record as of March 5, 2026, and a corresponding required cash distribution to WBI Operating LLC unitholders.
2026 Outlook
WaterBridge's 2026 plan reflects its continued commitment to responsible growth, allocating capital to high-return, minimum volume commitment-driven organic growth projects. Based on current expectations of activity levels and our contract portfolio, the Company expects its full year produced water handling volumes to average approximately 2,500 to 2,700 MBbl/d, representing approximately 7% annual volume growth.
2026 capital expenditures are expected to be approximately $430 to $490 million, primarily driven by growth capital expenditures associated with the Speedway Pipeline project's first and second phases, additional commercial projects schedule for construction in the second half of 2026, and late year construction capital associated with the previously announced 10-year commercial agreement with Devon Energy that includes a 7.5-year MVC, commencing on April 1, 2027, for the transportation and handling of Devon produced water volumes generated in Eddy and Lea counties, New Mexico.
"Based on the high demand and positive customer reception to the first phase of the Speedway Pipeline project, WaterBridge is looking forward to developing incremental projects associated with the second phase of the project as early as the second half of 2026. As always, we will continue to prioritize capital allocation to high-return, organic growth projects to support our customers and their produced water takeaway needs in Eddy and Lea counties," said Jason Long, CEO.
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