Enerflex Stock Price, News & Analysis

Enerflex Ltd. (NYSE: EFXT) has successfully extended its syndicated secured revolving credit facility (RCF) maturity date by three years to July 11, 2028, maintaining the availability at $800 million. As of March 31, 2025, the company had drawn $117 million on the RCF. The company also maintains a $70 million unsecured credit facility supported by Export Development Canada.

The company's interim CFO highlighted that this renewal provides enhanced liquidity and improved terms, supporting Enerflex's strategic priorities which include improving core operations profitability, capitalizing on expected natural gas and produced water volume increases, and maximizing free cash flow. Additionally, Enerflex announced it will release its Q2 2025 financial results on August 7, 2025, before market opening.

Enerflex Ltd (NYSE: EFXT) reported strong Q1 2025 financial results with adjusted EBITDA of $113 million and free cash flow of $85 million. Revenue was $552 million, down from $638 million in Q1 2024. The company achieved improved gross margins of 29% and reduced its bank-adjusted net debt-to-EBITDA ratio to 1.3x. Engineered Systems bookings were $205 million with a solid backlog of $1.2 billion. The U.S. contract compression business maintained strong performance with 94% utilization. The company declared a quarterly dividend of CAD$0.0375 per share. Management highlighted strong operational execution, disciplined capital allocation, and debt reduction of $74 million during Q1. For 2025, Enerflex targets capital expenditures of $110-130 million and expects Energy Infrastructure and After-Market Services to account for approximately 65% of gross margin.

Enerflex Ltd. (NYSE: EFXT) held its Annual Meeting of Shareholders virtually on May 7, 2025, where shareholders approved all 8 nominee directors. The voting results showed varying levels of support, with approval percentages ranging from 81.54% to 96.24%. Fernando R. Assing and Mona Hale received the highest approval at 96.24%, while Thomas B. Tyree, Jr. received the lowest at 81.54%. Additionally, shareholders approved the non-binding advisory vote on executive compensation ("Say-on-Pay") with 91.59% support, representing 83,831,845 common shares.

Enerflex (TSX: EFX) (NYSE: EFXT) has announced two key corporate governance initiatives. First, the company plans to initiate a search for a new qualified independent director this year. Second, the Board has committed to achieving at least 30% gender diversity by the 2026 annual meeting.

The company also announced it will release its Q1 2025 financial results on May 8, 2025, before market open, followed by a conference call and audio webcast at 8:00 a.m. (MDT) where senior management will discuss results and host a Q&A session.

Enerflex (TSX: EFX) (NYSE: EFXT) has received approval from the Toronto Stock Exchange for a normal course issuer bid (NCIB) to repurchase up to 6,159,695 common shares, representing 5% of its public float as of March 18, 2025.

The NCIB will run from April 1, 2025 to March 31, 2026, with daily purchases to 109,475 shares, except for block purchases. The company had 124,150,067 common shares outstanding and a public float of 123,193,902 shares as of March 18, 2025.

Enerflex believes the current share price doesn't reflect underlying value and sees the buyback as an effective use of cash resources. The company has established an automatic share purchase plan (ASPP) with its designated broker to facilitate purchases at market prices through various trading facilities including TSX and NYSE.

Enerflex (TSX: EFX) (NYSE: EFXT) has announced Board approval to implement a Normal Course Issuer Bid (NCIB), allowing the company to repurchase up to 5% of its public float over twelve months through the TSX, alternative Canadian trading systems, or NYSE.

The announcement follows two key shareholder-focused initiatives:

• A previously announced 50% increase in quarterly dividend
• The planned implementation of the NCIB share buyback program

According to Interim CEO Preet Dhindsa, these moves are possible as Enerflex is now operating within its target leverage range. The company believes the current market price of its common shares doesn't fully reflect their underlying value and considers the repurchase program an effective use of cash resources. The NCIB implementation is subject to TSX approval, with further details pending.

Enerflex (NYSE: EFXT) announced an immediate leadership transition as Marc Rossiter steps down from his positions as President, CEO, and Director. Preet Dhindsa, the current Senior Vice President and CFO, has been appointed as Interim CEO, while Joe Ladouceur will serve as Interim CFO.

The company has initiated a comprehensive search for a permanent CEO with the help of a leading executive search firm. Enerflex reaffirmed its 2025 outlook, highlighting:

• 65% of gross margin comes from Energy Infrastructure and After-Market Services
• Capital expenditures planned at $110-130 million for 2025
• Growth capital spending of $40-60 million focused on US and Middle East opportunities

The company plans to enhance shareholder returns through a 50% increase in quarterly dividend and implementation of a normal course issuer bid. Enerflex maintains its focus on enhancing core operations profitability, leveraging its position in key markets, and maximizing free cash flow.

Enerflex (NYSE: EFXT) reported strong Q4 2024 financial results with adjusted EBITDA of $121 million and free cash flow of $76 million. The company generated revenue of $561 million, with a gross margin of 31%. The Energy Infrastructure and After-Market Services segments contributed 67% of consolidated gross margin.

Key highlights include:

• Bank-adjusted net debt-to-EBITDA ratio reduced to 1.5x
• Strong contract backlog of $1.5 billion for Energy Infrastructure and $1.3 billion for Engineered Systems
• USA compression business performing well with 95% utilization across 428,000 horsepower fleet
• Net debt reduced to $616 million, down $208 million year-over-year
• Quarterly dividend increased by 50% to CAD$0.0375 per share

Enerflex (NYSE: EFXT) has released its preliminary outlook for 2025, highlighting three key priorities: enhancing core operations profitability, leveraging its position to capitalize on natural gas and produced water volumes growth, and maximizing free cash flow. The company expects its Energy Infrastructure and After-Market Services to generate approximately 65% of gross margin before depreciation and amortization.

The Energy Infrastructure product line has contracts expected to generate $1.5 billion in revenue during their current terms. The Engineered Systems division carries a backlog of approximately $1.3 billion as of December 31, 2024, with most revenue conversion expected within 12 months. The company plans capital expenditures of $110-130 million for 2025, including $70 million for maintenance and PP&E.