Mar 31, 2023

KLX Energy Services Q1 2023 Earnings Report

Reported record results, overcoming seasonal pressures and exceeding expectations and guidance across all metrics.

Key Takeaways

KLX Energy Services Holdings, Inc. reported a record first quarter in 2023. Revenue reached $239.6 million, a 7% sequential increase. Net income was $9.4 million, with a diluted EPS of $0.65. Adjusted EBITDA stood at $38.2 million, a 2% sequential increase. The company also completed the acquisition of Greene’s Energy Group, LLC on March 8, 2023.

Revenue of $239.6 million, increased 7% sequentially.

Net income of $9.4 million, net income margin of 3.9% and diluted earnings per share of $0.65.

Adjusted EBITDA of $38.2 million, increased 2% sequentially.

Ended the quarter with $84.0 million of available liquidity, consisting of $39.6 million of cash.

Total Revenue
$240M
Previous year: $152M
+57.3%
EPS
$0.8
Previous year: -$1.98
-140.4%
Adjusted EBITDA
$38.2M
Previous year: $17.4M
+119.5%
Gross Profit
$58.7M
Previous year: $17.3M
+239.3%
Cash and Equivalents
$39.6M
Previous year: $19.4M
+104.1%
Free Cash Flow
-$18.9M
Previous year: -$12M
+57.5%
Total Assets
$516M
Previous year: $380M
+35.9%

KLX Energy Services

KLX Energy Services

KLX Energy Services Revenue by Segment

Forward Guidance

The Company reaffirms full year 2023 guidance.

Positive Outlook

  • Second quarter 2023 revenue of $240 to $250 million
  • Second quarter 2023 Adjusted EBITDA margin of 16% to 17%
  • Full year 2023 revenue range of $975 million to $1.04 billion
  • Full year 2023 Adjusted EBITDA margin of 17% to 19%
  • Full year 2023 capital spending of $60 to $70 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income