AG真人官方

Flowco Holdings Inc. Reports Second Quarter 2025 Results

HOUSTON--(BUSINESS WIRE)-- Flowco Holdings Inc. (NYSE: FLOC) (鈥淔lowco鈥� or the 鈥淐ompany鈥�), a provider of production optimization, artificial lift and methane abatement solutions for the oil and natural gas industry, today announced financial results for the second quarter ended June 30, 2025.

Where presented, the financial results for 2024 represent periods (i) during which Flowco鈥檚 operating subsidiary, Flowco MergeCo LLC (鈥淔lowco LLC鈥�), was a privately-owned limited liability company and (ii) prior to the completion of Flowco鈥檚 initial public offering in January 2025. Historical financial information for the periods ended in 2024 reflects information for Flowco LLC, and historical financial information presented prior to June 20, 2024 reflects only the historical financial information of Estis Compression LLC (鈥淓stis鈥�) as the accounting predecessor prior to the business combination of Estis, Flowco Production Solutions, LLC and Flogistix, LP and parent entities formed in connection with such business combination (the 鈥�2024 Business Combination鈥�).

Key Second Quarter 2025 Highlights

• Revenues of $193.2 million, generating net income of $27.4 million and Adjusted Net Income¹ of $33.0 million
• Adjusted EBITDA¹ of $76.5 million
• Adjusted EBITDA Margin¹ of 39.6%
• In August 2025, Flowco's Board of Directors declared a quarterly cash dividend of $0.08 per share
• Robust liquidity with approximately $496.5 million of availability under our revolving credit facility as of August 1, 2025, inclusive of the approximately $71 million drawn to fund the strategic asset acquisition from Archrock

Financial Summary

Joe Bob Edwards, President and CEO, commented, 鈥淔lowco delivered strong second-quarter results, with sequential improvements in both Adjusted EBITDA and Adjusted EBITDA Margins, while generating robust free cash flow. These results emphasize our differentiated financial profile and the disciplined operational execution of our business segments. Growth in our high-margin rental divisions was a key driver, supported by increased customer adoption and strategic investments in our rental fleet. On August 4^th, we announced the completion of the acquisition of 155 High Pressure Gas Lift and Vapor Recovery systems from Archrock. We believe these assets will accelerate the growth of our high-margin rental businesses, increase our fleet of electric motor drive systems, and strengthen relationships with both new and existing customers.

Despite global uncertainties and volatility in the second quarter, the upstream market continued to demonstrate resilience, supported by targeted investment. However, even with recent oil price stability, operators are further moderating activity levels as they seek to maintain capital discipline. As our customers assess the market outlook, we鈥檙e seeing a continued emphasis on production optimization to maximize asset value and sustain volumes鈥攄riving steady demand for our solutions that enhance efficiency, reliability, and recovery. This trend has supported our incremental growth in a flat production environment.

As we move into the second half of the year, we remain focused on disciplined execution, operational optimization, and high-return investments. We believe Flowco is strategically positioned to succeed in today鈥檚 evolving energy landscape鈥攄elivering innovation, operational performance, and strong returns for our customers and shareholders.鈥�

Segment Information

We report our results in two segments, Production Solutions and Natural Gas Technologies. Production Solutions includes the rental, sale and service associated with high pressure gas lift, conventional gas lift and plunger lift, including a range of digital solutions and other production related technologies. Natural Gas Technologies includes the design, manufacture, rental and sale of vapor recovery and natural gas systems. Corporate costs not directly related to either segment are categorized separately.

Segment Financial Information

Production Solutions

Second quarter 2025 revenue for the Production Solutions segment increased 10.6% from the first quarter of 2025, and Adjusted Segment EBITDA increased 5.4% quarter over quarter for the same periods. The increase in revenue and Adjusted Segment EBITDA resulted from higher operating leverage and an increase in sales quarter over quarter. Adjusted Segment EBITDA Margin decreased 202 basis points due to a decrease in sales gross margin in the period.

Natural Gas Technologies

Second quarter 2025 revenue for the Natural Gas Technologies segment decreased 14.9% from the first quarter of 2025, primarily due to a decrease in sales in the Natural Gas Systems business unit. Adjusted Segment EBITDA decreased 4.4% quarter over quarter for the same periods, with Adjusted Segment EBITDA Margins increasing 463 basis points due to favorable revenue mix from rentals.

Corporate

Corporate Adjusted Segment EBITDA for the quarter ended June 30, 2025 was $(4.3) million, compared to $(4.4) million Corporate Adjusted Segment EBITDA in the quarter ended March 31, 2025.

Balance Sheet & Liquidity

As of August 1, 2025, the Company had outstanding borrowings under its senior secured revolving credit facility (鈥淐redit Agreement鈥�) of $226.6 million and, with a current borrowing base of $723.1 million, had availability under the Credit Agreement of $496.5 million.

Dividend Declaration

On August 1, 2025, Flowco announced that its Board of Directors had declared a quarterly cash dividend of $0.08 per share of Class A common stock payable on August 29, 2025 to Class A common stockholders of record as of the close of business on August 15, 2025. Flowco MergeCo LLC, the Company鈥檚 operating subsidiary, will make a corresponding distribution of $0.08 per unit to holders of its common units.

Conference Call and Webcast Information

Flowco will host a conference call on Tuesday, August 5, 2025, at 8:00 am Eastern Time to discuss second quarter 2025 results. The conference call can be accessed live over the phone by dialing 1-877-704-4453 (for the U.S.) or 1-201-389-0920 (for International). A telephonic replay of the conference call will be available two hours after the call and can be accessed by dialing 1-844-512-2921 (for the U.S.) or 1-412-317-6671 (for International). The passcode for the call and replay is 13754621. A live webcast of the conference call will also be available under the Investor Relations section of Flowco鈥檚 website at .

About Flowco

Flowco is a leading provider of production optimization, artificial lift and methane abatement solutions for the oil and natural gas industry. The company鈥檚 products and services include a full range of equipment and technology solutions that enable oil and natural gas producers to efficiently and cost-effectively maximize the profitability and economic lifespan of their assets.

Forward-Looking Statements

The information in this press release includes forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts contained in this press release may be forward-looking statements. These statements generally relate to future events or our future financial or operating performance, and include, but are not limited to: statements regarding guidance or estimates related to the Company鈥檚 results of operations or financial condition; industry trends, customer demand and industry outlook, and effects on Flowco鈥檚 operations; Flowco鈥檚 strategies and plans, including matters relating to the Company growth, capital expenditures, dividend policies, and leverage profile. When used in this press release, words such as 鈥渆xpect,鈥� 鈥減roject,鈥� 鈥渆stimate,鈥� 鈥渂elieve,鈥� 鈥渁nticipate,鈥� 鈥渋ntend,鈥� 鈥減lan,鈥� 鈥渟eek,鈥� 鈥渇orecast,鈥� 鈥渢arget,鈥� 鈥減redict,鈥� 鈥渕ay,鈥� 鈥渟hould,鈥� 鈥渨ould,鈥� 鈥渃ould,鈥� and 鈥渨ill,鈥� the negative of these terms and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements are based on management鈥檚 current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although Flowco believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. These risks and uncertainties are described further in our annual report on Form 10-K for the year ended December 31, 2024 and our quarterly report for the period ended March 31, 2025 filed with the Securities and Exchange Commission. Flowco undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.

Non-GAAP Financial Measures

In addition to our results determined in accordance with generally accepted accounting principles in the United States (鈥淕AAP鈥�), the Company uses non-GAAP financial measures, such as Adjusted Net Income, EBITDA and Adjusted EBITDA, as well as Adjusted Segment EBITDA and Adjusted Segment EBITDA Margin, in this press release to supplement financial information presented in accordance with GAAP. We believe that excluding certain items from our GAAP results provides management additional insight on the consolidated financial performance from period to period to project our future consolidated financial performance as forecasts are developed at a level of detail different from that used to prepare GAAP-based financial measures. Moreover, we believe these non-GAAP financial measures provide our management and investors with useful information to help them evaluate our operating results by facilitating an enhanced understanding of our operating performance and enabling them to make more meaningful period to period comparisons. There are limitations to the use of the non-GAAP financial measures presented in this press release. For example, our non-GAAP financial measures may not be comparable to similarly titled measures of other companies. Other companies, including companies in our industry, may calculate non-GAAP financial measures differently than we do, limiting the usefulness of those measures for comparative purposes. Non-GAAP measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. The Company urges investors to review the reconciliation and not to rely on any single financial measure to evaluate our business.

Adjusted Net Income

Adjusted Net Income is a non-GAAP measure that we define as net income (loss) adjusted to eliminate the impact of (i) transaction-related expenses, (ii) share-based compensation, (iii) loss on the sale of equipment, (iv) loss on debt payments and (v) changes to the value of our inventory. Adjusted Net Income is a supplemental non-GAAP financial measure used by management, our stockholders and others to provide visibility on the profitability and financial strength of the Company by excluding certain expenses related to non-recurring Company transactions.

Reconciliation from net income to Adjusted Net Income is set forth as follows:

Adjusted EBITDA and Adjusted EBITDA margin

We define EBITDA as net income, adjusted to exclude interest expense, provision for income taxes and depreciation and amortization. We define Adjusted EBITDA as EBITDA adjusted to exclude (i) share-based compensation expense, (ii) business combination-related expenses and (iii) other non-cash and non-recurring expenses.

EBITDA and Adjusted EBITDA are key performance indicators we use in evaluating our operating performance and in making financial, operating and planning decisions. In particular, the exclusion of certain expenses in calculating EBITDA and Adjusted EBITDA provides additional visibility on operating performance across reporting periods by removing the effect of non-cash and/or non-recurring expenses. Accordingly, we believe that this measure provides useful information to our stockholders and others in understanding and evaluating our operating results in the same manner as our management and board of directors.

Reconciliation from net income to EBITDA and Adjusted EBITDA are set forth as follows:

Adjusted Segment EBITDA and Adjusted Segment EBITDA Margin

In addition to business segment profit or loss, our management also evaluates Adjusted Segment EBITDA, which is presented on a business unit level for purposes of allocating resources and evaluating operating and financial performance. As discussed above, the Company operates and manages its business units in the following two operating and reporting segments:

• Production Solutions: relates to rentals, sales and services related to high pressure gas lift, conventional gas lift and plunger lift. This segment includes rental, sales and service revenues.
• Natural Gas Technologies: relates to the design, manufacturing, rental, sale and servicing of vapor recovery and natural gas systems. This segment includes rental, sales, service revenues and methane abatement technology.

We define Adjusted Segment EBITDA as segment net income, as adjusted in the same manner as defined for EBITDA and Adjusted EBITDA above. Reconciliation from segment net income, which includes direct segment costs but excludes corporate costs not directly related to either segment, to Adjusted Segment EBITDA is set forth as follows:

听

View source version on businesswire.com:

Investor Contact:

Andrew Leonpacher

[email protected]

Source: Flowco Holdings Inc.