NYSE$TTI

TETRA Technologies Inc · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

TETRA Technologies, Inc. reported a GAAP income of $102 million and diluted earnings per share of $0.77 for the fourth quarter of 2024, driven by a significant non-cash deferred tax asset adjustment. Adjusted income from continuing operations improved sequentially, with Adjusted EBITDA reaching $22.8 million.

TETRA Technologies, Inc. announced its fourth quarter and total year 2024 results, highlighting a GAAP income of $102 million, significantly boosted by a $97.5 million non-cash favorable valuation allowance adjustment to deferred tax assets. Adjusted income from continuing operations was $3.9 million, a 16% sequential improvement, with Adjusted EBITDA at $22.8 million. Revenue for the quarter was $134.5 million, a 5% sequential decrease. The company also reported strong offshore activity and record high produced water treatment volumes.

  • Fourth quarter GAAP income from continuing operations was $102 million, including a $97.5 million non-cash favorable valuation allowance adjustment to deferred tax assets.
  • Adjusted income from continuing operations improved 16% sequentially to $3.9 million, with Adjusted diluted net income per share at $0.03.
  • Fourth quarter Adjusted EBITDA was $22.8 million, with margins improving to 17.0% from 16.6% in the third quarter.
  • The company monetized its entire equity investment in Kodiak Gas Services Inc. in January 2025, generating approximately $19 million in cash proceeds.

Headline financials

Total Revenue

$135M

Previous: $153M-12.2%
EPS (adj)

$0.03

Previous: $0.03+0.0%
Adjusted EBITDA Margin

17.0%

Previous: 15.8%+7.6%
CF&P Adj EBITDA Margin

27.3%

Previous: 25.3%+7.9%
W&FS Adj EBITDA Margin

13.6%

Previous: 14.0%-2.9%
Capital Expenditures

-$14.9M

Previous: -$7.91M-88.2%
Net Income

$102M

Previous: -$3.89M+2726.1%
Operating Income

$28.7M

Previous: $31.7M-9.5%
Gross Profit

$31.1M

Previous: $27.1M+14.7%

Revenue & EPS history

TETRA · Revenue · Quarterly

$135M

Q4 2024-12.2%vs Q4 2023
Beat estimate in 7 of 14 quarters(50%)
ActualEstimate

Revenue by segment

TETRA · $175M total across 2 segments · Q2 2023

  • Completion Fluids & Products
    $98.2M
  • Water & Flowback Services
    $77.2M

Forward guidance

For the first half of 2025, TETRA anticipates net income before taxes to be between $19 million and $34 million, and Adjusted EBITDA to be between $55 million and $65 million, potentially reaching a ten-year record high. The company expects high single-digit to low double-digit revenue growth for the full year 2025 and over $50 million in free cash flow from its base business.

Tailwinds

  • Expected net income before taxes in H1 2025 to be between $19 million and $34 million.
  • Anticipated Adjusted EBITDA in H1 2025 to be between $55 million and $65 million, potentially near or above a ten-year record high.
  • Expected high single-digit to low double-digit revenue growth for the full year 2025.
  • Anticipated generation of over $50 million of free cash flow from base business in 2025.
  • Strong and growing base business with a robust backlog of deep-water projects.

Headwinds

  • U.S. onshore activity was weaker than normal at year-end.
  • Revenue decreased 5% sequentially in Q4 2024.
  • Adjusted free cash flow was a use of $9.3 million in Q4 2024.
  • Water & Flowback Services revenue is expected to be flat to down slightly due to E&P operators reducing capital spending in North America.
  • No investments are expected to be made on lithium initiatives until engineering studies define project economics.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+1.8%

Avg return

Earnings day

+0.1%

Avg return

5 days after

-1.8%

Avg return

30 days after

52%

35 / 67 earnings

Positive

+37.4%

Q2 2015

Best reaction

-18.7%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%-4.5%+5.0%
Q4 2025-18.7%-23.9%-22.6%
Q3 2025-7.6%-7.8%-0.1%
Q1 2025+3.3%-1.4%-2.9%
Q4 2024-4.1%-11.5%-12.0%
Q3 2024+14.2%+3.5%+21.5%
Q2 2024-0.6%-13.0%-12.2%
Q1 2024-18.0%-12.4%-18.2%
Q4 2023+5.7%+2.3%+14.8%
Q3 2023-14.6%-17.8%-15.3%
Q2 2023+14.4%+20.5%+26.7%
Q1 2023-1.8%+2.5%-8.8%
Q4 2022-8.0%-7.0%-33.1%
Q3 2022-16.0%-12.1%-20.8%
Q2 2022-10.7%-15.1%-9.1%
Q1 2022+19.6%+22.6%+48.6%
Q4 2021+5.4%+18.4%+32.0%
Q3 2021+12.1%+19.2%-22.6%
Q2 2021+9.1%+7.1%+1.6%
Q1 2021+30.1%+38.6%+51.0%
Q4 2020+9.1%+3.3%+14.0%
Q3 2020-1.5%-1.8%+50.9%
Q2 2020-0.8%-15.5%-14.1%
Q1 2020+14.3%+12.2%-2.4%
Q4 2019-11.9%-24.5%-74.8%
Q3 2019-16.3%-21.2%-31.0%
Q2 2019+23.0%+33.1%+18.0%
Q1 2019-2.8%-2.8%-31.1%
Q3 2018-10.8%-21.3%-40.8%
Q2 2018+13.4%+18.2%+1.7%
Q1 2018+8.3%+10.0%+3.3%
Q4 2017-3.7%+2.4%+0.3%
Q3 2017+17.8%+13.3%+26.9%
Q2 2017-15.6%-16.9%-15.6%
Q1 2017+11.7%+7.1%-1.9%
Q4 2016-0.4%-3.8%-9.4%
Q3 2016-5.4%+6.2%+13.7%
Q2 2016-1.7%-1.9%-0.3%
Q1 2016-11.3%
Q4 2015-6.0%
Q3 2015+13.8%
Q2 2015+37.4%
Q1 2015+7.0%
Q4 2014+10.2%
Q3 2014-7.0%
Q2 2014+1.5%
Q1 2014-5.6%
Q4 2013-1.7%
Q3 2013-3.1%
Q2 2013+14.4%
Q1 2013-3.8%
Q4 2012-0.3%
Q3 2012+8.4%
Q2 2012+0.1%
Q1 2012+3.7%
Q4 2011-6.5%
Q3 2011-4.2%
Q2 2011+8.9%
Q1 2010+8.9%
Q1 2011+3.8%
Q4 2010+2.1%
Q4 2008+2.1%
Q3 2009+0.8%
Q3 2010+0.8%
Q2 2009+3.2%
Q4 2009+3.2%
Q2 2010+3.2%

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