NASDAQ$KLXE

KLX Energy Services Holdings Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

KLXE reported strong pro forma fourth quarter with revenue and adjusted EBITDA gains.

KLX Energy Services reported a pro forma revenue of $145.0 million for Q4 2021, a 13% increase compared to the previous quarter. Adjusted EBITDA for the quarter was $6.7 million, a 63% increase sequentially.

  • Pro Forma Fourth Quarter Revenue was $145.0 million, a 13% increase relative to Pro Forma Third Quarter.
  • Adjusted EBITDA for the Pro Forma Fourth Quarter was $6.7 million, a 63% increase relative to Adjusted EBITDA for the Pro Forma Third Quarter.
  • Ended 2021 with $28.0 million in cash.
  • Total liquidity as of December 31, 2021 was $70.4 million.

Headline financials

Total Revenue

$145M

Previous: $86.8M+67.1%
EPS (adj)

-$1.98

Previous: -$3.29+39.8%
Adjusted EBITDA

$3.6M

No prior period
Capital Expenditures

$3.5M

Previous: $3.4M+2.9%
Free Cash Flow

-$15.9M

Previous: $1.5M-1160.0%
Net Income

-$13.2M

Previous: -$25.1M+47.4%
Operating Income

-$7.8M

Previous: -$26M+70.0%
Gross Profit

$2.9M

Previous: -$3.6M+180.6%
Cash & Equivalents

$28M

Previous: $124M-77.3%
Total Assets

$388M

Previous: $623M-37.8%
Stock-Based Comp

$500K

Previous: $4.7M-89.4%

Revenue & EPS history

KLX Energy Services · Revenue · Quarterly

$145M

Q4 2021+67.1%vs Q4 2020
Beat estimate in 6 of 13 quarters(46%)
ActualEstimate

Revenue by segment

KLX Energy Services · $94.4M total across 3 segments · Q4 2021

  • Northeast/Mid-Con
    $36.6M
  • Southwest
    $34M
  • Rocky Mountains
    $23.8M

Forward guidance

KLXE anticipates continued improvements in activity and expects net pricing improvements to accelerate throughout 2022, with a full year revenue increase of 35% to 45% relative to the Pro Forma Fiscal Year ended December 31, 2021.

Tailwinds

  • Optimistic about continued improvements in activity in 2022.
  • Expect net pricing improvements to accelerate as we progress through 2022.
  • KLXE is well-positioned to benefit from the expanding drilling and completions market.
  • Anticipated pent-up demand for intervention services.
  • Expect steady improvement throughout the year.

Headwinds

  • Market activity got off to a slow start in early 2022, partially due to the Omicron variant.
  • Staying ahead of inflationary cost pressures will remain a critical priority in 2022.
  • Supply chain issues will remain a critical priority in 2022.
  • COVID-19 pandemic
  • Declining commodity prices

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-2.4%

Avg return

Earnings day

-4.2%

Avg return

5 days after

-7.0%

Avg return

30 days after

39%

13 / 33 earnings

Positive

+28.4%

Q1 2020

Best reaction

-27.4%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+10.4%-2.3%
Q4 2025-9.2%-12.0%+35.6%
Q3 2025-8.3%-11.7%-15.7%
Q1 2025-15.0%-4.3%-14.6%
Q4 2024-6.0%-7.8%-54.2%
Q3 2024-5.8%-2.4%+33.7%
Q2 2024+5.6%+5.6%+8.0%
Q1 2024-9.7%-16.5%-29.5%
Q4 2023-1.7%-8.9%-19.8%
Q3 2023-6.6%-6.1%-12.3%
Q2 2023+7.5%+2.3%+1.0%
Q1 2023+12.0%+8.5%-4.9%
Q4 2022+7.6%-6.6%-15.1%
Q3 2022-5.3%-3.1%-23.9%
Q2 2022+15.0%+10.8%+16.1%
Q1 2022-5.3%-23.1%+25.0%
Q4 2021-8.7%-25.8%-45.2%
Q3 2021-11.4%-22.8%+6.9%
Q2 2021+0.5%-11.6%-22.0%
Q1 2021-22.0%-28.9%-34.7%
Q4 2020-26.2%-43.0%-13.9%
Q3 2020+6.5%-4.0%-6.5%
Q2 2020-14.8%-15.2%-47.2%
Q1 2020+28.4%+66.7%+3.4%
Q4 2019-27.4%-19.0%-37.4%
Q3 2019+4.7%+31.8%+4.2%
Q2 2019-10.3%-6.3%-12.0%
Q1 2019-9.2%-9.2%-16.5%
Q1 2017-5.3%-2.0%+5.6%
Q4 2017-5.3%-2.0%+5.6%
Q4 2018+4.4%-0.6%+14.0%
Q3 2018+27.4%+26.0%+22.9%
Q2 2018+5.4%+5.6%+18.2%

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