Nine Energy Service (NINE) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue reached $147.3 million, at the upper end of guidance, despite significant US rig declines, oil price drops, and pricing pressure, with support from natural gas and international tool sales.

• Adjusted EBITDA was $14.1 million, up 45% year-over-year, while net loss for Q2 was $10.4 million, a 26% improvement from Q2 2024.

• Completion Tool and Wireline revenues grew ~9% and ~11% quarter over quarter, driven by international and gas-levered basin strength, while cementing and coiled tubing declined due to Permian Basin weakness.

• H1 2025 international revenue increased ~20% year-over-year.

• The company operates as a single segment, Completions Solutions, focused on unconventional well completions in North America and internationally.

Financial highlights

• Q2 2025 revenue: $147.3 million; adjusted EBITDA: $14.1 million; net loss: $10.4 million.

• Adjusted gross profit for Q2: $25.8 million; gross margin (GAAP): 11.8%.

• Cash and equivalents: $14.2 million; total liquidity: $65.5 million as of June 30, 2025.

• Net cash from operating activities: $10.1 million in Q2; capex for Q2: $6.1 million; H1 2025 capex: $10.4 million.

• Net debt as of June 30, 2025: $335.2 million; $49.4 million outstanding under the revolver; $300 million in 13% Senior Secured Notes due 2028.

Outlook and guidance

• Q3 2025 revenue projected between $135 million and $145 million, with both revenue and adjusted EBITDA expected to decline sequentially.

• Management expects continued pricing and activity pressure in oil-levered basins, with some offset from stable natural gas regions and international growth.

• Full-year 2025 capital expenditure guidance remains at $15–$25 million.

• Management remains cautiously optimistic on long-term sector outlook, with plans to pursue market share gains, international growth, and technology investments.

• Expects international revenue for full year 2025 to be up over 2024, despite lumpiness.