NYSE$NINEQ
Nine Energy Service Inc · Q3 2021 earnings
Q3 2021 earnings · · Investor relations
Briefing
Nine Energy reported a sequential revenue increase, driven by Completion Tool and Coiled Tubing service lines, but experienced a net loss due to labor constraints and pricing pressures.
Nine Energy Service reported Q3 2021 revenues of $92.9 million, a net loss of $(16.1) million, and adjusted EBITDA of $4.5 million. The company's revenue fell slightly below original guidance due to labor constraints, despite a sequential revenue increase of approximately 9%.
- Sequential revenue increased by approximately 9%, outpacing EIA US completions.
- Labor constraints in the Permian Basin impacted wireline job completion.
- Completion Tool and Coiled Tubing service lines performed particularly well.
- Dissolvable Stinger units sold increased by approximately 18% quarter over quarter.
Headline financials
Revenue & EPS history
Nine Energy · Revenue · Quarterly
$92.9M
Forward guidance
Nine Energy anticipates Q4 revenue will be flat to slightly up compared to Q3, with North American capex spending expected to increase in 2022.
Tailwinds
- Customers remain focused on coming within or below their original 2021 capex budgets.
- Budget exhaustion or the effects of holidays will not be as severe as in previous years.
- Q4 revenue will be flat to slightly up compared to Q3.
- North American capex spending will increase in 2022.
- Robust commodity price environment supports increased activity for 2022 over 2021.
Headwinds
- Labor shortages will continue to be a significant challenge for Nine and the collective OFS industry moving forward.
- Pricing for products and services remains low.
- Most price increases are being offset by simultaneous price inflation for labor and materials.
- Original third quarter 2021 revenue guidance was between $95.0 and $103.0 million, with actual results falling slightly below the provided range.
- ROIC (Return on Invested Capital) was (11)%
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 8 quarterly earnings reports
-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
| Quarter | Report date | Reaction (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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