Kodiak Gas Services Inc

NYSE:KGSUnited States

May 8, 2024

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• -- Earnings Flash (KGS) KODIAK GAS SERVICES Reports Q1 Revenue $215.5M, vs. Street Est of $220.6M, from 4:32PM ET on Wednesday May 08, 2024 by MT Newswires

  4:32PM ET on Wednesday May 08, 2024 by MT Newswires
  Companies Mentioned: KGS
  04:32 PM EDT, 05/08/2024 (MT Newswires) -- ...

• Kodiak Gas Services Announces First Quarter 2024 Results Including Record Adjusted EBITDA; Increases Full Year 2024 Guidance, from 4:15PM ET on Wednesday May 08, 2024 by Dow Jones

  4:15PM ET on Wednesday May 08, 2024 by Dow Jones
  Companies Mentioned: KGS
  amortization 46,944 46,455 44,897 -------------------- -------------------- -------------------- Adjusted Gross Margin $ 127,517 $ 125,781 $ 114,927 ==================== ==================== ==================== Adjusted Gross Margin Percentage(1) 65.9 % 66.3 % 64.7 % (1) Calculated using Adjusted Gross Margin for Compression Operations as a percentage of total Compression Operations revenues. KODIAK GAS SERVICES, INC. RECONCILIATION OF ADJUSTED GROSS MARGIN TO GROSS MARGIN FOR OTHER SERVICES (in thousands, excluding percentages; unaudited) Three Months Ended ------------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 --------------------- --------------------- --------------------- Total revenues $ 22,093 $ 36,364 $ 12,415 Cost of sales (excluding depreciation and amortization) (17,684) (27,872) (8,988) Depreciation and amortization -- -- -- --------------------- --------------------- --------------------- Gross margin $ 4,409 $ 8,492 $ 3,427 --------------------- --------------------- --------------------- Gross margin percentage 20.0 % 23.4 % 27.6 % Depreciation and amortization -- -- -- --------------------- --------------------- --------------------- Adjusted Gross Margin $ 4,409 $ 8,492 $ 3,427 ===================== ===================== ===================== Adjusted Gross Margin Percentage(1) 20.0 % 23.4 % 27.6 % (1) Calculated using Adjusted Gross Margin for Other Services as a percentage of total Other Services revenues. KODIAK GAS SERVICES, INC. RECONCILIATION OF NET INCOME TO DISCRETIONARY CASH FLOW AND FREE CASH FLOW (in thousands; unaudited) Three Months Ended ----------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 -------------------- --------------------- -------------------- Net income (loss) $ 30,232 $ (6,874) $ (12,343) Depreciation and amortization 46,944 46,455 44,897 Change in fair value of derivatives (14,241) 29,339 17,934 Deferred tax provision 6,261 1,551 (2,521) Amortization of debt issuance costs 2,643 2,296 5,445 Equity compensation expense(1) 2,848 2,462 879 Transaction expenses(2) 7,880 4,288 201 (Gain) loss on sale of property, plant and equipment -- (56) 17 Maintenance capital expenditures (10,642) (8,934) (4,803) -------------------- --------------------- -------------------- Discretionary Cash Flow $ 71,925 $ 70,527 $ 49,706 Growth capital expenditures(3)(4) (59,401) (60,472) (35,816) Proceeds from sale of property, plant and equipment -- 394 32 -------------------- --------------------- -------------------- Free Cash Flow $ 12,524 $ 10,449 $ 13,922 ==================== ===================== ==================== (1) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $2.8 million, $2.5 million and $0.9 million, respectively, of non-cash adjustments for equity compensation expense. (2) Represents certain costs associated with non-recurring professional services, primarily related to the CSI acquisition for the three months ended March 31, 2024, and other costs. (3) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, growth capital expenditures include a $9.9 million increase, a $4.8 million decrease and an $8.0 million decrease in accrued capital expenditures, respectively. (4) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $5.8 million, $3.5 million and $2.4 million of non-unit growth capital expenditures, respectively. KODIAK GAS SERVICES, INC. RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO DISCRETIONARY CASH FLOW AND FREE CASH FLOW (in thousands; unaudited) Three Months Ended ---------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 -------------------- -------------------- -------------------- Net cash provided by operating activities $ 51,542 $ 62,627 $ 23,290 Maintenance capital expenditures (10,642) (8,934) (4,803) Transaction expenses(1) 7,880 4,288 201 Gain on sale of property, plant and equipment -- (56) 17 Change in operating assets and liabilities 24,556 19,058 31,919 Other(2) (1,411) (6,456) (918) -------------------- -------------------- -------------------- Discretionary Cash Flow $ 71,925 $ 70,527 $ 49,706 Growth capital expenditures(3)(4) (59,401) (60,472) (35,816) Proceeds from sale of property, plant and equipment -- 394 32 -------------------- -------------------- -------------------- Free Cash Flow $ 12,524 $ 10,449 $ 13,922 ==================== ==================== ==================== (1) Represents certain costs associated with non-recurring professional services, primarily related to the CSI acquisition for the three months ended March 31, 2024, and other costs. (2) Includes amortization of debt issuance costs, non-cash lease expense, provision for credit losses and inventory reserve. (3) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, growth capital expenditures include a $9.9 million increase, a $4.8 million decrease and an $8.0 million decrease in accrued capital expenditures, respectively. (4) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $5.8 million, $3.5 million and $2.4 million of non-unit growth capital expenditures, respectively.
  

• Press Release: Kodiak Gas Services Announces First Quarter 2024 Results Including Record Adjusted EBITDA; Increases Full Year 2024 Guidance, from 4:15PM ET on Wednesday May 08, 2024 by Dow Jones

  4:15PM ET on Wednesday May 08, 2024 by Dow Jones
  Companies Mentioned: KGS
  amortization 46,944 46,455 44,897 -------------------- -------------------- -------------------- Adjusted Gross Margin $ 127,517 $ 125,781 $ 114,927 ==================== ==================== ==================== Adjusted Gross Margin Percentage(1) 65.9 % 66.3 % 64.7 % (1) Calculated using Adjusted Gross Margin for Compression Operations as a percentage of total Compression Operations revenues. KODIAK GAS SERVICES, INC. RECONCILIATION OF ADJUSTED GROSS MARGIN TO GROSS MARGIN FOR OTHER SERVICES (in thousands, excluding percentages; unaudited) Three Months Ended ------------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 --------------------- --------------------- --------------------- Total revenues $ 22,093 $ 36,364 $ 12,415 Cost of sales (excluding depreciation and amortization) (17,684) (27,872) (8,988) Depreciation and amortization -- -- -- --------------------- --------------------- --------------------- Gross margin $ 4,409 $ 8,492 $ 3,427 --------------------- --------------------- --------------------- Gross margin percentage 20.0 % 23.4 % 27.6 % Depreciation and amortization -- -- -- --------------------- --------------------- --------------------- Adjusted Gross Margin $ 4,409 $ 8,492 $ 3,427 ===================== ===================== ===================== Adjusted Gross Margin Percentage(1) 20.0 % 23.4 % 27.6 % (1) Calculated using Adjusted Gross Margin for Other Services as a percentage of total Other Services revenues. KODIAK GAS SERVICES, INC. RECONCILIATION OF NET INCOME TO DISCRETIONARY CASH FLOW AND FREE CASH FLOW (in thousands; unaudited) Three Months Ended ----------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 -------------------- --------------------- -------------------- Net income (loss) $ 30,232 $ (6,874) $ (12,343) Depreciation and amortization 46,944 46,455 44,897 Change in fair value of derivatives (14,241) 29,339 17,934 Deferred tax provision 6,261 1,551 (2,521) Amortization of debt issuance costs 2,643 2,296 5,445 Equity compensation expense(1) 2,848 2,462 879 Transaction expenses(2) 7,880 4,288 201 (Gain) loss on sale of property, plant and equipment -- (56) 17 Maintenance capital expenditures (10,642) (8,934) (4,803) -------------------- --------------------- -------------------- Discretionary Cash Flow $ 71,925 $ 70,527 $ 49,706 Growth capital expenditures(3)(4) (59,401) (60,472) (35,816) Proceeds from sale of property, plant and equipment -- 394 32 -------------------- --------------------- -------------------- Free Cash Flow $ 12,524 $ 10,449 $ 13,922 ==================== ===================== ==================== (1) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $2.8 million, $2.5 million and $0.9 million, respectively, of non-cash adjustments for equity compensation expense. (2) Represents certain costs associated with non-recurring professional services, primarily related to the CSI acquisition for the three months ended March 31, 2024, and other costs. (3) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, growth capital expenditures include a $9.9 million increase, a $4.8 million decrease and an $8.0 million decrease in accrued capital expenditures, respectively. (4) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $5.8 million, $3.5 million and $2.4 million of non-unit growth capital expenditures, respectively. KODIAK GAS SERVICES, INC. RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO DISCRETIONARY CASH FLOW AND FREE CASH FLOW (in thousands; unaudited) Three Months Ended ---------------------------------------------------------------- March 31, December 31, March 31, 2024 2023 2023 -------------------- -------------------- -------------------- Net cash provided by operating activities $ 51,542 $ 62,627 $ 23,290 Maintenance capital expenditures (10,642) (8,934) (4,803) Transaction expenses(1) 7,880 4,288 201 Gain on sale of property, plant and equipment -- (56) 17 Change in operating assets and liabilities 24,556 19,058 31,919 Other(2) (1,411) (6,456) (918) -------------------- -------------------- -------------------- Discretionary Cash Flow $ 71,925 $ 70,527 $ 49,706 Growth capital expenditures(3)(4) (59,401) (60,472) (35,816) Proceeds from sale of property, plant and equipment -- 394 32 -------------------- -------------------- -------------------- Free Cash Flow $ 12,524 $ 10,449 $ 13,922 ==================== ==================== ==================== (1) Represents certain costs associated with non-recurring professional services, primarily related to the CSI acquisition for the three months ended March 31, 2024, and other costs. (2) Includes amortization of debt issuance costs, non-cash lease expense, provision for credit losses and inventory reserve. (3) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, growth capital expenditures include a $9.9 million increase, a $4.8 million decrease and an $8.0 million decrease in accrued capital expenditures, respectively. (4) For the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, there were $5.8 million, $3.5 million and $2.4 million of non-unit growth capital expenditures, respectively.