Ranger Energy Services, Inc. Announces Q4 2024 and Full Year 2024 Results
Financial & Operational Highlights
-
Full year 2024 revenue of
$571.1 million $18.4 million $0.81 -
Full year 2024 Adjusted EBITDA(1) of
$78.9 million 13.8% Adjusted EBITDA margin compared to$84.4 million 13.3% Adjusted EBITDA margin -
Adjusted EBITDA(1) of
$21.9 million 15.3% Adjusted EBITDA margin compared to$25.1 million $18.4 million -
Full year 2024 Free Cash Flow(2) of
$50.4 million $2.24 $40.9 million $112.1 million -
Returned over
40% of 2024 Free Cash Flow(2) through dividends and repurchases far exceeding minimum commitment -
Increase of
20% in the Company’s dividend to$0.06 - High-Specification Rigs delivered record performance reaching new highs and reinforcing Ranger’s leadership in the sector
- Ancillary Services expanded profitability meaningfully with strong growth in Plugging and Abandonment (P&A), Rentals and Torrent underpinned by improved execution
1 |
“Adjusted EBITDA” is not presented in accordance with generally accepted accounting principles in
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2 |
“Free Cash Flow” is not presented in accordance with |
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Management Comments
Stuart Bodden, Ranger’s Chief Executive Officer, commented, “Ranger again demonstrated its resilience and execution excellence, with strong performance despite the challenges presented in the broader market. We posted our highest fourth quarter profitability ever, reflecting the ongoing strength and potential of our Company in spite of a challenging market backdrop the past two years. In addition to record profitability levels, we also achieved our best Total Recordable Incident Rate (‘TRIR’) on record. Our achievements in 2025 prove the effectiveness of our production-focused business model with record revenue levels in our core business and supporting service lines in the face of declining rig and frac crew counts. This performance allowed us to pursue aggressive stock buybacks at very attractive prices and allocate capital to high return projects. Our confidence in the business and our commitment to capital returns is best illustrated by the announcement today of an increase in our quarterly dividend.
“The Ranger team is able to achieve new heights consistently when we live our ‘Leads the Way’ mantra. Our core High Specification Rigs business once again exceeded expectations, delivering another record quarter of revenue with robust asset utilization through the holiday season. This continued strength underscores the effectiveness of our production focus, quality assets and exceptional execution in a competitive industry.
“Our Ancillary Services segment also continues to perform very well, supported by increased operational activity in key service lines such as P&A, Torrent, and Rentals. All three of these service lines posted significantly improved margins for the year driving incremental profitability. We expect to see both the P&A and Torrent service lines continue to grow revenue meaningfully in 2025 as market conditions remain supportive for this work.”
Mr. Bodden continued, “As anticipated, our Wireline Services segment experienced typical seasonal decline during the fourth quarter, driven by our Northern operations exposure with a reduction in operating leverage pressuring margins. The unusually cold weather thus far in 2025 will keep this segment depressed in the first quarter before an expected rebound in the second quarter. The more production-focused conventional wireline product line grew revenues by
“Looking ahead, we remain confident in Ranger’s ability to drive growth and create value. Despite a largely flat industry backdrop expected this year, we expect key service lines will achieve modest year-over-year growth, reflecting the strength of our differentiated offerings and disciplined execution. Through these opportunities, we will continue to prioritize safety, operational excellence, cost control, and service quality. The dedication of the Ranger team is unmatched and we look forward to continuing to Lead the Way in 2025.”
CAPITAL RETURNS AND GOVERNANCE UPDATE
Ranger exceeded its commitment of returning at least
PERFORMANCE SUMMARY
For the fourth quarter of 2024, revenue was
Net income totaled
Adjusted EBITDA of
BUSINESS SEGMENT FINANCIAL RESULTS
High Specification Rigs
High Specification Rigs segment revenue was
Operating income was
Wireline Services
Wireline Services segment revenue was
Revenue Breakdown by Service Line, in millions: |
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Year Ended December 31, |
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Service Line |
2022 Revenue |
2023 Revenue |
2024 Revenue |
Wireline Completions |
|
|
|
Wireline Production |
36.8 |
42.1 |
46.6 |
Wireline Pump Down |
16.6 |
22.3 |
19.9 |
Total Wireline Segment Revenue |
|
|
|
Operating loss was
Processing Solutions and Ancillary Services
Processing Solutions and Ancillary Services segment revenue was
Operating income in this segment was
BALANCE SHEET, CASH FLOW AND LIQUIDITY
As of December 31, 2024, the Company had
Cash provided by Operating Activities for 2024 is
In 2024, the Company had capital expenditures of
Conference Call and Investor Meetings
The Company will host a conference call to discuss its fourth quarter 2024 results on Tuesday, March 4, 2025, at 9:00 a.m. Central Time (10:00 a.m. Eastern Time). To join the conference call from within
Ranger Management will be participating in the following upcoming industry and investor conferences and welcome the opportunity to meet with investors.
- Daniel Energy Partners THRIVE Energy Conference – March 4-6
- Sidoti Small-Cap Virtual Conference – March 20
- Piper Sandler 25th Annual Energy Conference – March 17-19
About Ranger Energy Services, Inc.
Ranger is one of the largest providers of high specification mobile rig well services, cased hole wireline services, and ancillary services in the
Cautionary Statement Concerning Forward-Looking Statements
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact included in this press release, regarding our strategy, future operations, financial position, estimated revenue and losses, projected costs, prospects, plans and objectives of management are forward-looking statements. When used in this press release, the words “may,” “should,” “intend,” “could,” “believe,” “anticipate,” “estimate,” “expect,” “outlook,” “project” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements represent Ranger’s expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of Ranger’s control. Should one or more of these risks or uncertainties described occur, or should underlying assumptions prove incorrect, our actual results and plans could differ materially from those expressed in any forward-looking statements.
Our future results will depend upon various other risks and uncertainties, including, but not limited to, those detailed in our current and past filings with the
All forward looking statements, expressed or implied, included in this press release are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that we or persons acting on our behalf may issue. Except as otherwise required by applicable law any forward-looking statement speaks only as of the date on which is it made. We disclaim any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this cautionary statement, to reflect events or circumstances after the date of this press release.
RANGER ENERGY SERVICES, INC.
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Three Months Ended September 30, |
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Three Months Ended December 31, |
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Year Ended December 31, |
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|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
|
|
|
|
|
|
|
|
|
|
||||||||||
High Specification Rigs |
|
$ |
86.7 |
|
|
$ |
87.0 |
|
|
$ |
79.0 |
|
|
$ |
336.1 |
|
|
$ |
313.3 |
|
Wireline Services |
|
|
30.3 |
|
|
|
22.6 |
|
|
|
41.5 |
|
|
|
110.2 |
|
|
|
199.1 |
|
Processing Solutions and Ancillary Services |
|
|
36.0 |
|
|
|
33.5 |
|
|
|
31.0 |
|
|
|
124.8 |
|
|
|
124.2 |
|
Total revenue |
|
|
153.0 |
|
|
|
143.1 |
|
|
|
151.5 |
|
|
|
571.1 |
|
|
|
636.6 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating expenses |
|
|
|
|
|
|
|
|
|
|
||||||||||
Cost of services (exclusive of depreciation and amortization): |
|
|
|
|
|
|
|
|
|
|
||||||||||
High Specification Rigs |
|
|
67.2 |
|
|
|
68.3 |
|
|
|
63.6 |
|
|
|
267.1 |
|
|
|
249.2 |
|
Wireline Services |
|
|
27.6 |
|
|
|
22.9 |
|
|
|
40.4 |
|
|
|
107.3 |
|
|
|
180.7 |
|
Processing Solutions and Ancillary Services |
|
|
27.2 |
|
|
|
25.6 |
|
|
|
25.7 |
|
|
|
98.4 |
|
|
|
101.8 |
|
Total cost of services |
|
|
122.0 |
|
|
|
116.8 |
|
|
|
129.7 |
|
|
|
472.8 |
|
|
|
531.7 |
|
General and administrative |
|
|
7.1 |
|
|
|
7.1 |
|
|
|
6.8 |
|
|
|
27.8 |
|
|
|
29.5 |
|
Depreciation and amortization |
|
|
11.1 |
|
|
|
10.8 |
|
|
|
10.6 |
|
|
|
44.1 |
|
|
|
39.9 |
|
Impairment of fixed assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
0.4 |
|
Gain on sale of assets |
|
|
(0.1 |
) |
|
|
(0.5 |
) |
|
|
(0.2 |
) |
|
|
(2.2 |
) |
|
|
(1.8 |
) |
Total operating expenses |
|
|
140.1 |
|
|
|
134.2 |
|
|
|
146.9 |
|
|
|
542.5 |
|
|
|
599.7 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating income |
|
|
12.9 |
|
|
|
8.9 |
|
|
|
4.6 |
|
|
|
28.6 |
|
|
|
36.9 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Other expenses |
|
|
|
|
|
|
|
|
|
|
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Interest expense, net |
|
|
0.7 |
|
|
|
0.5 |
|
|
|
0.7 |
|
|
|
2.6 |
|
|
|
3.5 |
|
Loss on debt retirement |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2.4 |
|
Total other expenses, net |
|
|
0.7 |
|
|
|
0.5 |
|
|
|
0.7 |
|
|
|
2.6 |
|
|
|
5.9 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income tax expense |
|
|
12.2 |
|
|
|
8.4 |
|
|
|
3.9 |
|
|
|
26.0 |
|
|
|
31.0 |
|
Income tax expense |
|
|
3.5 |
|
|
|
2.6 |
|
|
|
1.8 |
|
|
|
7.6 |
|
|
|
7.2 |
|
Net income |
|
|
8.7 |
|
|
|
5.8 |
|
|
|
2.1 |
|
|
|
18.4 |
|
|
|
23.8 |
|
|
|
|
|
|
|
|
|
|
|
|
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Income per common share: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
$ |
0.39 |
|
|
$ |
0.26 |
|
|
$ |
0.09 |
|
|
$ |
0.82 |
|
|
$ |
0.97 |
|
Diluted |
|
$ |
0.39 |
|
|
$ |
0.25 |
|
|
$ |
0.09 |
|
|
$ |
0.81 |
|
|
$ |
0.95 |
|
Weighted average common shares outstanding |
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
|
22,241,847 |
|
|
|
22,250,468 |
|
|
|
24,129,081 |
|
|
|
22,518,726 |
|
|
|
24,600,151 |
|
Diluted |
|
|
22,494,453 |
|
|
|
22,920,235 |
|
|
|
24,537,046 |
|
|
|
22,852,632 |
|
|
|
24,991,494 |
|
RANGER ENERGY SERVICES, INC.
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|
December 31, 2024 |
|
December 31, 2023 |
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Assets |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
40.9 |
|
|
$ |
15.7 |
|
Accounts receivable, net |
|
|
68.4 |
|
|
|
85.4 |
|
Contract assets |
|
|
16.7 |
|
|
|
17.7 |
|
Inventory |
|
|
5.7 |
|
|
|
6.4 |
|
Prepaid expenses |
|
|
11.4 |
|
|
|
9.6 |
|
Assets held for sale |
|
|
0.8 |
|
|
|
0.6 |
|
Total current assets |
|
|
143.9 |
|
|
|
135.4 |
|
|
|
|
|
|
||||
Property and equipment, net |
|
|
224.3 |
|
|
|
226.3 |
|
Intangible assets, net |
|
|
5.6 |
|
|
|
6.3 |
|
Operating leases, right-of-use assets |
|
|
7.0 |
|
|
|
9.0 |
|
Other assets |
|
|
0.8 |
|
|
|
1.0 |
|
Total assets |
|
$ |
381.6 |
|
|
$ |
378.0 |
|
|
|
|
|
|
||||
Liabilities and Stockholders' Equity |
|
|
|
|
||||
Accounts payable |
|
|
27.2 |
|
|
|
31.3 |
|
Accrued expenses |
|
|
28.2 |
|
|
|
29.6 |
|
Other financing liability, current portion |
|
|
0.7 |
|
|
|
0.6 |
|
Long-term debt, current portion |
|
|
— |
|
|
|
0.1 |
|
Short-term lease liability |
|
|
8.7 |
|
|
|
7.3 |
|
Other current liabilities |
|
|
0.4 |
|
|
|
0.1 |
|
Total current liabilities |
|
|
65.2 |
|
|
|
69.0 |
|
|
|
|
|
|
||||
Long-term lease liability |
|
|
14.1 |
|
|
|
14.9 |
|
Other financing liability |
|
|
10.3 |
|
|
|
11.0 |
|
Deferred tax liability |
|
|
18.2 |
|
|
|
11.3 |
|
Total liabilities |
|
$ |
107.8 |
|
|
$ |
106.2 |
|
|
|
|
|
|
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Commitments and contingencies |
|
|
|
|
||||
|
|
|
|
|
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Stockholders' equity |
|
|
|
|
||||
Preferred stock, |
|
|
— |
|
|
|
— |
|
Class A Common Stock, |
|
|
0.3 |
|
|
|
0.3 |
|
Class B Common Stock, |
|
|
— |
|
|
|
— |
|
Less: Class A Common Stock held in treasury at cost; 3,877,628 treasury shares as of December 31, 2024 and 2,357,328 treasury shares as of December 31, 2023 |
|
|
(38.6 |
) |
|
|
(23.1 |
) |
Retained earnings |
|
|
42.2 |
|
|
|
28.4 |
|
Additional paid-in capital |
|
|
269.9 |
|
|
|
266.2 |
|
Total controlling stockholders' equity |
|
|
273.8 |
|
|
|
271.8 |
|
Total liabilities and stockholders' equity |
|
$ |
381.6 |
|
|
$ |
378.0 |
|
RANGER ENERGY SERVICES, INC.
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Year Ended December 31, |
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|
|
|
2024 |
|
|
|
2023 |
|
Cash Flows from Operating Activities |
|
|
|
|
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Net income |
|
$ |
18.4 |
|
|
$ |
23.8 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||
Depreciation and amortization |
|
|
44.1 |
|
|
|
39.9 |
|
Equity based compensation |
|
|
5.8 |
|
|
|
4.8 |
|
Gain on disposal of property and equipment |
|
|
(2.2 |
) |
|
|
(1.8 |
) |
Impairment of fixed assets |
|
|
— |
|
|
|
0.4 |
|
Deferred income tax expense |
|
|
6.9 |
|
|
|
6.6 |
|
Loss on debt retirement |
|
|
— |
|
|
|
2.4 |
|
Other expense, net |
|
|
1.3 |
|
|
|
2.3 |
|
Changes in operating assets and liabilities |
|
|
|
|
||||
Accounts receivable |
|
|
16.7 |
|
|
|
5.3 |
|
Contract assets |
|
|
1.0 |
|
|
|
9.2 |
|
Inventory |
|
|
0.4 |
|
|
|
(0.9 |
) |
Prepaid expenses and other current assets |
|
|
(1.8 |
) |
|
|
(0.4 |
) |
Other assets |
|
|
2.1 |
|
|
|
2.1 |
|
Accounts payable |
|
|
(3.7 |
) |
|
|
6.6 |
|
Accrued expenses |
|
|
(2.4 |
) |
|
|
(7.2 |
) |
Other current liabilities |
|
|
(2.6 |
) |
|
|
0.3 |
|
Other long-term liabilities |
|
|
0.5 |
|
|
|
(2.6 |
) |
Net cash provided by operating activities |
|
|
84.5 |
|
|
|
90.8 |
|
|
|
|
|
|
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Cash Flows from Investing Activities |
|
|
|
|
||||
Purchase of property and equipment |
|
|
(34.1 |
) |
|
|
(36.5 |
) |
Proceeds from disposal of property and equipment |
|
|
3.0 |
|
|
|
6.8 |
|
Net cash used in investing activities |
|
|
(31.1 |
) |
|
|
(29.7 |
) |
|
|
|
|
|
||||
Cash Flows from Financing Activities |
|
|
|
|
||||
Borrowings under Revolving Credit Facility |
|
|
27.3 |
|
|
|
325.2 |
|
Principal payments on Revolving Credit Facility |
|
|
(27.3 |
) |
|
|
(327.7 |
) |
Principal payments on Eclipse M&E Term Loan Facility |
|
|
— |
|
|
|
(10.4 |
) |
Principal payments on Secured Promissory Note |
|
|
— |
|
|
|
(6.2 |
) |
Principal payments on financing lease obligations |
|
|
(5.7 |
) |
|
|
(5.4 |
) |
Principal payments on other financing liabilities |
|
|
(0.6 |
) |
|
|
(0.8 |
) |
Dividends paid to Class A Common Stock shareholders |
|
|
(4.5 |
) |
|
|
(2.4 |
) |
Shares withheld for equity compensation |
|
|
(1.8 |
) |
|
|
(1.0 |
) |
Payments on Other Installment Purchases |
|
|
(0.1 |
) |
|
|
(0.4 |
) |
Repurchase of Class A Common Stock |
|
|
(15.5 |
) |
|
|
(19.3 |
) |
Deferred financing costs on Wells Fargo |
|
|
— |
|
|
|
(0.7 |
) |
Net cash used in financing activities |
|
|
(28.2 |
) |
|
|
(49.1 |
) |
|
|
|
|
|
||||
Increase (decrease) in cash and cash equivalents |
|
|
25.2 |
|
|
|
12.0 |
|
Cash and cash equivalents, Beginning of Period |
|
|
15.7 |
|
|
|
3.7 |
|
Cash and cash equivalents, End of Period |
|
$ |
40.9 |
|
|
$ |
15.7 |
|
|
|
|
|
|
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Supplemental Cash Flow Information |
|
|
|
|
||||
Interest paid |
|
$ |
2.0 |
|
|
$ |
1.4 |
|
Supplemental Disclosure of Non-cash Investing and Financing Activities |
|
|
|
|
||||
Capital expenditures included in accounts payable and accrued liabilities |
|
$ |
0.4 |
|
|
$ |
(0.5 |
) |
Additions to fixed assets through installment purchases and financing leases |
|
$ |
(8.6 |
) |
|
$ |
(10.0 |
) |
Additions to fixed assets through asset trades |
|
$ |
(4.6 |
) |
|
$ |
(1.1 |
) |
RANGER ENERGY SERVICES, INC.
|
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Note Regarding Non‑GAAP Financial Measure |
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The Company utilizes certain non-GAAP financial measures that management believes to be insightful in understanding the Company’s financial results. These financial measures, which include Adjusted EBITDA and Free Cash Flow, should not be construed as being more important than, or as an alternative for, comparable |
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Adjusted EBITDA |
||||||||||||||||||
We believe Adjusted EBITDA is a useful performance measure because it allows for an effective evaluation of our operating performance when compared to our peers, without regard to our financing methods or capital structure. We exclude the items listed below from net income or loss in arriving at Adjusted EBITDA because these amounts can vary substantially within our industry depending upon accounting methods, book values of assets, capital structures and the method by which the assets were acquired. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historic costs of depreciable assets, none of which are reflected in Adjusted EBITDA. |
||||||||||||||||||
We define Adjusted EBITDA as net income or loss before net interest expense, income tax provision or benefit, depreciation and amortization, equity‑based compensation, acquisition-related, severance and reorganization costs, gain or loss on disposal of property and equipment, and certain other non-cash items that we do not view as indicative of our ongoing performance. |
||||||||||||||||||
The following tables are a reconciliation of net income or loss to Adjusted EBITDA for the respective periods, in millions: |
||||||||||||||||||
|
|
High Specification Rigs |
|
Wireline Services |
|
Processing Solutions and Ancillary Services |
|
Other |
|
Total |
||||||||
|
|
Three Months Ended December 31, 2024 |
||||||||||||||||
Net income (loss) |
|
$ |
13.4 |
|
$ |
(3.0 |
) |
|
$ |
5.5 |
|
$ |
(10.1 |
) |
|
$ |
5.8 |
|
Interest expense, net |
|
|
— |
|
|
— |
|
|
|
— |
|
|
0.5 |
|
|
|
0.5 |
|
Income tax expense |
|
|
— |
|
|
— |
|
|
|
— |
|
|
2.6 |
|
|
|
2.6 |
|
Depreciation and amortization |
|
|
5.3 |
|
|
2.7 |
|
|
|
2.4 |
|
|
0.4 |
|
|
|
10.8 |
|
EBITDA |
|
|
18.7 |
|
|
(0.3 |
) |
|
|
7.9 |
|
|
(6.6 |
) |
|
|
19.7 |
|
Equity based compensation |
|
|
— |
|
|
— |
|
|
|
— |
|
|
1.8 |
|
|
|
1.8 |
|
Gain on disposal of property and equipment |
|
|
— |
|
|
— |
|
|
|
— |
|
|
(0.5 |
) |
|
|
(0.5 |
) |
Severance and reorganization costs |
|
|
0.2 |
|
|
0.5 |
|
|
|
0.1 |
|
|
— |
|
|
|
0.8 |
|
Acquisition related costs |
|
|
0.1 |
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
0.1 |
|
Adjusted EBITDA |
|
$ |
19.0 |
|
$ |
0.2 |
|
|
$ |
8.0 |
|
$ |
(5.3 |
) |
|
$ |
21.9 |
|
|
|
High Specification Rigs |
|
Wireline Services |
|
Processing Solutions and Ancillary Services |
|
Other |
|
Total |
||||||||
|
|
Three Months Ended September 30, 2024 |
||||||||||||||||
Net income (loss) |
|
$ |
13.8 |
|
|
$ |
— |
|
$ |
6.6 |
|
$ |
(11.7 |
) |
|
$ |
8.7 |
|
Interest expense, net |
|
|
— |
|
|
|
— |
|
|
— |
|
|
0.7 |
|
|
|
0.7 |
|
Income tax expense |
|
|
— |
|
|
|
— |
|
|
— |
|
|
3.5 |
|
|
|
3.5 |
|
Depreciation and amortization |
|
|
5.7 |
|
|
|
2.7 |
|
|
2.2 |
|
|
0.5 |
|
|
|
11.1 |
|
EBITDA |
|
|
19.5 |
|
|
|
2.7 |
|
|
8.8 |
|
|
(7.0 |
) |
|
|
24.0 |
|
Equity based compensation |
|
|
— |
|
|
|
— |
|
|
— |
|
|
1.4 |
|
|
|
1.4 |
|
Gain on disposal of property and equipment |
|
|
— |
|
|
|
— |
|
|
— |
|
|
(0.1 |
) |
|
|
(0.1 |
) |
Legal fees and settlements |
|
|
(0.3 |
) |
|
|
— |
|
|
— |
|
|
0.1 |
|
|
|
(0.2 |
) |
Adjusted EBITDA |
|
$ |
19.2 |
|
|
$ |
2.7 |
|
$ |
8.8 |
|
$ |
(5.6 |
) |
|
$ |
25.1 |
|
|
|
High Specification Rigs |
|
Wireline Services |
|
Processing Solutions and Ancillary Services |
|
Other |
|
Total |
||||||||
|
|
Three Months Ended December 31, 2023 |
||||||||||||||||
Net income (loss) |
|
$ |
10.0 |
|
$ |
(1.8 |
) |
|
$ |
3.4 |
|
$ |
(9.5 |
) |
|
$ |
2.1 |
|
Interest expense, net |
|
|
— |
|
|
— |
|
|
|
— |
|
|
0.7 |
|
|
|
0.7 |
|
Income tax expense |
|
|
— |
|
|
— |
|
|
|
— |
|
|
1.8 |
|
|
|
1.8 |
|
Depreciation and amortization |
|
|
5.4 |
|
|
2.9 |
|
|
|
1.9 |
|
|
0.4 |
|
|
|
10.6 |
|
EBITDA |
|
|
15.4 |
|
|
1.1 |
|
|
|
5.3 |
|
|
(6.6 |
) |
|
|
15.2 |
|
Equity based compensation |
|
|
— |
|
|
— |
|
|
|
— |
|
|
1.2 |
|
|
|
1.2 |
|
Gain on disposal of property and equipment |
|
|
— |
|
|
— |
|
|
|
— |
|
|
(0.2 |
) |
|
|
(0.2 |
) |
Severance and reorganization costs |
|
|
— |
|
|
1.7 |
|
|
|
— |
|
|
— |
|
|
|
1.7 |
|
Acquisition related costs |
|
|
— |
|
|
— |
|
|
|
— |
|
|
0.5 |
|
|
|
0.5 |
|
Adjusted EBITDA |
|
$ |
15.4 |
|
$ |
2.8 |
|
|
$ |
5.3 |
|
$ |
(5.1 |
) |
|
$ |
18.4 |
|
|
|
High Specification Rigs |
|
Wireline Services |
|
Processing Solutions and Ancillary Services |
|
Other |
|
Total |
||||||||
|
|
Year Ended December 31, 2024 |
||||||||||||||||
Net income (loss) |
|
$ |
46.8 |
|
$ |
(8.5 |
) |
|
$ |
17.8 |
|
$ |
(37.7 |
) |
|
$ |
18.4 |
|
Interest expense, net |
|
|
— |
|
|
— |
|
|
|
— |
|
|
2.6 |
|
|
|
2.6 |
|
Income tax expense |
|
|
— |
|
|
— |
|
|
|
— |
|
|
7.6 |
|
|
|
7.6 |
|
Depreciation and amortization |
|
|
22.2 |
|
|
11.4 |
|
|
|
8.6 |
|
|
1.9 |
|
|
|
44.1 |
|
EBITDA |
|
|
69.0 |
|
|
2.9 |
|
|
|
26.4 |
|
|
(25.6 |
) |
|
|
72.7 |
|
Equity based compensation |
|
|
— |
|
|
— |
|
|
|
— |
|
|
5.8 |
|
|
|
5.8 |
|
Gain on disposal of property and equipment |
|
|
— |
|
|
— |
|
|
|
— |
|
|
(2.2 |
) |
|
|
(2.2 |
) |
Severance and reorganization costs |
|
|
0.9 |
|
|
0.6 |
|
|
|
0.2 |
|
|
0.1 |
|
|
|
1.8 |
|
Acquisition related costs |
|
|
0.4 |
|
|
— |
|
|
|
— |
|
|
0.1 |
|
|
|
0.5 |
|
Legal fees and settlements |
|
|
0.2 |
|
|
— |
|
|
|
— |
|
|
0.1 |
|
|
|
0.3 |
|
Adjusted EBITDA |
|
$ |
70.5 |
|
$ |
3.5 |
|
|
$ |
26.6 |
|
$ |
(21.7 |
) |
|
$ |
78.9 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
High Specification Rigs |
|
Wireline Services |
|
Processing Solutions and Ancillary Services |
|
Other |
|
Total |
|||||||
|
|
Year Ended December 31, 2023 |
|||||||||||||||
Net income (loss) |
|
$ |
44.0 |
|
$ |
7.1 |
|
$ |
15.5 |
|
$ |
(42.8 |
) |
|
$ |
23.8 |
|
Interest expense, net |
|
|
— |
|
|
— |
|
|
— |
|
|
3.5 |
|
|
|
3.5 |
|
Income tax expense |
|
|
— |
|
|
— |
|
|
— |
|
|
7.2 |
|
|
|
7.2 |
|
Depreciation and amortization |
|
|
20.1 |
|
|
11.3 |
|
|
6.9 |
|
|
1.6 |
|
|
|
39.9 |
|
EBITDA |
|
|
64.1 |
|
|
18.4 |
|
|
22.4 |
|
|
(30.5 |
) |
|
|
74.4 |
|
Impairment of fixed assets |
|
|
— |
|
|
— |
|
|
— |
|
|
0.4 |
|
|
|
0.4 |
|
Equity based compensation |
|
|
— |
|
|
— |
|
|
— |
|
|
4.8 |
|
|
|
4.8 |
|
Loss on retirement of debt |
|
|
— |
|
|
— |
|
|
— |
|
|
2.4 |
|
|
|
2.4 |
|
Gain on disposal of property and equipment |
|
|
— |
|
|
— |
|
|
— |
|
|
(1.8 |
) |
|
|
(1.8 |
) |
Severance and reorganization costs |
|
|
— |
|
|
1.7 |
|
|
— |
|
|
0.4 |
|
|
|
2.1 |
|
Acquisition related costs |
|
|
— |
|
|
— |
|
|
— |
|
|
2.1 |
|
|
|
2.1 |
|
Adjusted EBITDA |
|
$ |
64.1 |
|
$ |
20.1 |
|
$ |
22.4 |
|
$ |
(22.2 |
) |
|
$ |
84.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Free Cash Flow |
||||||||||||||||
We believe Free Cash Flow is an important financial measure for use in evaluating the Company’s financial performance, as it measures our ability to generate additional cash from our business operations. Free Cash Flow should be considered in addition to, rather than as a substitute for, net income as a measure of our performance or net cash provided by operating activities as a measure of our liquidity. Additionally, our definition of Free Cash Flow is limited and does not represent residual cash flows available for discretionary expenditures due to the fact that the measure does not deduct the payments required for debt service and other obligations or payments made for business acquisitions. Therefore, we believe it is important to view Free Cash Flow as supplemental to our entire statement of cash flows. |
||||||||||||||||
The following table is a reconciliation of consolidated operating cash flows to Free Cash Flow for the respective periods, in millions: |
||||||||||||||||
|
|
Three Months Ended |
|
Year Ended |
||||||||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
||||||||
Net cash provided by operating activities |
|
$ |
32.7 |
|
|
$ |
37.7 |
|
|
$ |
84.5 |
|
|
$ |
90.8 |
|
Purchase of property and equipment |
|
|
(5.4 |
) |
|
|
(8.6 |
) |
|
|
(34.1 |
) |
|
|
(36.5 |
) |
Free Cash Flow |
|
$ |
27.3 |
|
|
$ |
29.1 |
|
|
$ |
50.4 |
|
|
$ |
54.3 |
|
|
|
|
|
|
|
|
|
|
||||||||
Add back: Purchase of property and equipment related to asset acquisition |
|
|
— |
|
|
|
1.5 |
|
|
|
— |
|
|
|
8.7 |
|
Modified Free cash Flow |
|
$ |
27.3 |
|
|
$ |
30.6 |
|
|
$ |
50.4 |
|
|
$ |
63.0 |
|
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA |
|
$ |
21.9 |
|
|
$ |
18.4 |
|
|
$ |
78.9 |
|
|
$ |
84.4 |
|
Free cash Flow conversion - Free cash flow as a percentage of EBITDA |
|
|
125 |
% |
|
|
158 |
% |
|
|
64 |
% |
|
|
64 |
% |
Modified Free cash Flow conversion - Modified Free cash Flow as a percentage of EBITDA |
|
|
125 |
% |
|
|
166 |
% |
|
|
64 |
% |
|
|
75 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250303740655/en/
Company Contact:
Melissa Cougle
Chief Financial Officer
(713) 935-8900
InvestorRelations@rangerenergy.com
Source: Ranger Energy Services, Inc.
