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Sep 30, 2023

KLX Energy Services Q3 2023 Earnings Report

KLX Energy Services reported flat sequential margins and strong operating cash flow, despite a decline in rig count.

Key Takeaways

KLX Energy Services Holdings, Inc. reported third quarter 2023 financial results with revenue of $221 million and net income of $8 million. The company's adjusted EBITDA was $37 million, and it ended the quarter with a cash balance of $90 million.

Revenue of $221 million.

Net income of $8 million, net income margin of 3%, diluted earnings per share of $0.47.

Adjusted EBITDA of $37 million.

Cash balance of $90 million, increased $8 million sequentially and $49 million compared to Q3 2022.

Total Revenue
$221M
Previous year: $222M
-0.5%
EPS
$0.51
Previous year: $0.96
-46.9%
Gross Profit
$54.4M
Previous year: $52.8M
+3.0%
Cash and Equivalents
$90.4M
Previous year: $41.4M
+118.4%
Free Cash Flow
$7.8M
Previous year: $20.3M
-61.6%
Total Assets
$524M
Previous year: $440M
+19.1%

KLX Energy Services

KLX Energy Services

KLX Energy Services Revenue by Segment

Forward Guidance

The company anticipates fourth quarter margins will hold up well despite weaker seasonal activity and operator budget exhaustion typical of the fourth quarter. As a result, they expect strong full year 2023 adjusted EBITDA between $140 million to $150 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income