Overview
USA Compression Q3 revenue missed analyst expectations despite record total revenues
Adjusted EBITDA for Q3 beat analyst estimates, reflecting strong operational performance
Company improved full-year 2025 guidance, indicating confidence in operational performance
Outlook
USA Compression tightens full-year 2025 Adjusted EBITDA guidance to $610 mln-$620 mln
Company expects 2025 Distributable Cash Flow of $370 mln-$380 mln
Expansion capital expenditures for 2025 projected at $115 mln-$125 mln
Result Drivers
REVENUE PER HORSEPOWER - Record average revenue per revenue-generating horsepower contributed to increased total revenues
COST SAVINGS - CEO Clint Green highlighted savings in SG&A, operating expenses, and interest expenses as key drivers of improved results
CASH FLOW IMPROVEMENT - Net cash provided by operating activities increased significantly, boosting distributable cash flow coverage
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $250.25 mln | $250.46 mln (5 Analysts) |
Q3 EPS | $0.26 | ||
Q3 Net Income | $34.48 mln | ||
Q3 Adjusted EBITDA | Beat | $160.30 mln | $150.05 mln (7 Analysts) |
Q3 Adjusted Gross Margin | 69.30% | ||
Q3 Operating Income | $83.93 mln | ||
Q3 Pretax Profit | $36.89 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the oil related services and equipment peer group is "buy."
Wall Street's median 12-month price target for USA Compression Partners LP is $26.00, about 15.4% above its November 4 closing price of $21.99
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 24 three months ago
Press Release: ID:nBw4mtlZZa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)