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Jun 30, 2024

KLX Energy Services Q2 2024 Earnings Report

Reported second quarter 2024 results with revenue increase and improved profitability.

Key Takeaways

KLX Energy Services Holdings, Inc. reported a 3.1% sequential increase in revenue to $180.2 million. Adjusted EBITDA improved by 125% to $27.0 million, and Adjusted EBITDA margin grew to 15.0%. The company enacted approximately $16 million of annualized cost reductions and experienced a rebound in higher-margin production and intervention activity.

Revenue increased 3.1% sequentially to $180.2 million.

Adjusted EBITDA improved sequentially by 125% to $27.0 million.

Adjusted EBITDA margin grew 118% to 15.0%.

Enacted approximately $16 million of annualized cost reductions.

Total Revenue
$180M
Previous year: $234M
-23.0%
EPS
-$0.4
Previous year: $0.81
-149.4%
Adjusted EBITDA
$27M
Gross Profit
$21.1M
Previous year: $60.7M
-65.2%
Cash and Equivalents
$86.9M
Previous year: $82.1M
+5.8%
Free Cash Flow
$10.2M
Previous year: $47.3M
-78.4%
Total Assets
$491M
Previous year: $527M
-6.7%

KLX Energy Services

KLX Energy Services

KLX Energy Services Revenue by Segment

Forward Guidance

KLX reaffirms its third quarter 2024 guidance for revenue to be flat to slightly up relative to the second quarter, with similar Adjusted EBITDA margins to the second quarter.

Positive Outlook

  • Third quarter 2024 revenue expected to be flat to slightly up relative to the second quarter.
  • Third quarter 2024 Adjusted EBITDA margins expected to be similar to the second quarter.
  • Leading presence in extended reach laterals.
  • Leading presence in completion technologies.
  • Leading presence in production and intervention services.

Revenue & Expenses

Visualization of income flow from segment revenue to net income