NYSE$NINEQ

Nine Energy Service Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Nine Energy reported flat revenue and increased gross profit despite stable rig count.

Nine Energy Service reported Q1 2024 revenues of $142.1 million, a net loss of $(8.1) million, and adjusted EBITDA of $15.0 million. The company's revenue was within its original guidance range, and it saw an increase in gross profit despite a flat US rig count.

  • Q1 2024 revenue was $142.1 million, within the provided guidance range.
  • Net loss for Q1 2024 was $(8.1) million, or $(0.24) per diluted share.
  • Adjusted EBITDA for Q1 2024 was $15.0 million.
  • Gross profit increased quarter over quarter due to reduced whitespace in coil tubing.

Headline financials

Total Revenue

$142M

Previous: $163M-13.0%
EPS

-$0.24

Previous: $0.01-2500.0%
Adjusted EBITDA

$15M

Previous: $25M-40.0%
Depreciation & Amortization

$9.53M

Previous: $10.3M-7.6%
Capital Expenditures

-$5.49M

Previous: -$6.34M+13.5%
Free Cash Flow

-$13.5M

Previous: -$12.5M-8.8%
Net Income

-$8.06M

Previous: -$6.11M-31.9%
Operating Income

$4.42M

Previous: $6.88M-35.8%
Gross Profit

$135M

Previous: $156M-13.2%
Cash & Equivalents

$10.2M

Previous: $21.4M-52.1%
Total Assets

$380M

Previous: $427M-10.8%
Stock-Based Comp

$581K

Previous: $489K+18.8%

Revenue & EPS history

Nine Energy · Revenue · Quarterly

$142M

Q1 2024-13%vs Q1 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

Nine Energy expects Q2 revenue to decrease compared to Q1 due to declining natural gas prices and pricing pressure in the cementing business.

Tailwinds

  • Medium and long-term outlook for natural gas markets remains positive.
  • Maintaining footprint will be imperative to capitalize when gas prices recover.
  • Business is nimble and able to capitalize quickly when market shifts.
  • Service and commodity diversity is critical.
  • Strategy of providing an asset-light business with forward-leaning technology and excellent service remains unchanged.

Headwinds

  • Natural gas prices declined to below $2.00 starting in February and continuing into Q2.
  • Expect incremental activity slowdowns in natural-gas levered basins, specifically the Northeast and Haynesville.
  • Cementing business will see full quarter realizations of pricing pressure in Q2.
  • Q2 revenue is expected to be down compared with Q1.
  • Decline in international sales.

Historical earnings impact

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

Avg. return before/after earnings

Based on 8 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-3.5%

Avg return

Earnings day

+1.4%

Avg return

5 days after

-4.1%

Avg return

30 days after

36%

13 / 36 earnings

Positive

+31.8%

Q1 2020

Best reaction

-49.1%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q3 2025-22.1%-13.2%-34.2%
Q2 2025-3.8%-16.5%-9.2%
Q1 2025+14.8%+16.0%-17.2%
Q4 2024+6.9%+16.0%-6.6%
Q3 2024+6.2%+32.2%+67.7%
Q2 2024-6.9%-12.1%-27.4%
Q1 2024-9.5%-11.9%-29.2%
Q4 2023+6.7%+1.0%+23.2%
Q3 2023-30.0%
Q2 2023-4.6%
Q1 2023-19.5%
Q4 2022-28.6%
Q3 2022+19.7%
Q2 2022-5.5%
Q1 2022-4.6%
Q4 2021+24.0%
Q3 2021+10.2%
Q2 2021-10.4%
Q1 2021-3.3%
Q4 2020-7.8%
Q3 2020+0.0%
Q2 2020-15.0%
Q1 2020+31.8%
Q4 2019-49.1%
Q3 2019+4.6%
Q2 2019-9.4%
Q1 2019+8.3%
Q4 2016-14.1%
Q4 2018-16.3%
Q3 2017-11.0%
Q3 2018-14.4%
Q2 2018-4.0%
Q2 2017-4.0%
Q1 2018+15.0%
Q1 2017+15.0%
Q4 2017+5.0%
Q3 2016
Q2 2016
Q1 2016

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