Kodiak Gas Services reports $309.7M Q2 revenue

By Bobby Samwell • Tuesday, August 13 07:57 • Permanent Link

Kodiak Gas Services, Inc. has reported its financial and operating results for the second quarter of 2024, as well as updated its full-year 2024 guidance. The company's total revenues for the quarter were $309.7 million, representing a significant increase from $203.3 million in the second quarter of 2023. The contract services segment revenues and adjusted gross margin percentage were reported at $276.3 million and 64.0%, respectively, compared to $181.6 million and 64.2% in the same period last year.

Net income for the second quarter of 2024 was $6.7 million, down from $17.5 million in the second quarter of 2023. However, the company achieved a record quarterly adjusted EBITDA of $154.3 million, marking a substantial increase from $107.9 million in the second quarter of 2023. Additionally, Kodiak deployed 41,500 horsepower of new large horsepower compression units, and its horsepower utilization on units with over 1,000 horsepower was approximately 98% as of June 30, 2024.

The company also declared a cash dividend of $0.41 per share, representing an 8% increase over the first quarter of 2024 dividend. Furthermore, Kodiak announced an increase in its full-year 2024 adjusted EBITDA guidance to a range of $590 to $610 million, raising the low end of the range by $10 million.

The contract services segment revenues saw a 52% increase to $276.3 million in the second quarter of 2024 from $181.6 million in the second quarter of 2023. Similarly, other services segment revenues increased to $33.4 million in the second quarter of 2024 compared to $21.7 million in the second quarter of 2023.

Kodiak's fleet horsepower also witnessed growth, reaching 4,481,900 as of June 30, 2024, compared to 3,180,906 in the same period in 2023. The company reported that it had total debt outstanding of $2.5 billion as of June 30, 2024, with $411.4 million available on its ABL facility.

As a result of these announcements, the company's shares have moved 3.0% on the market, and are now trading at a price of $29.31. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.