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Mar 31

Kodiak Gas Services Q1 2025 Earnings Report

Kodiak Gas Services reported financial and operating results for the quarter ended March 31, 2025 and updated full-year 2025 guidance.

Key Takeaways

Kodiak Gas Services announced strong first quarter 2025 results, with record total revenues, adjusted EBITDA, and discretionary cash flow. The company saw increased operational efficiency and fleet utilization, leading to a sequential rise in Contract Services adjusted gross margin percentage. Kodiak also returned capital to shareholders through share repurchases and an increased quarterly dividend, while raising full-year 2025 guidance.

Record quarterly adjusted EBITDA of $177.7 million.

Contract Services adjusted gross margin percentage increased sequentially to 67.7%.

Fleet utilization increased sequentially to 96.9%.

Increased quarterly dividend by 10% to $0.45 per share.

Raised full-year 2025 adjusted EBITDA guidance to a range of $695 million to $725 million.

Total Revenue
$330M
Previous year: $151M
+118.3%
EPS
$0.33
Previous year: $0.39
-15.4%
96.9%
Previous year: 99.8%
-2.9%
Adjusted EBITDA
$178M
Previous year: $118M
+50.9%
Adjusted EBITDA Percentage
53.9%
Previous year: 54.6%
-1.3%
Gross Profit
$131M
Previous year: $31.1M
+320.1%
Cash and Equivalents
$1.95M
Previous year: $9.31M
-79.0%
Free Cash Flow
$47.2M
Previous year: $12.5M
+277.0%
Total Assets
$4.44B
Previous year: $3.32B
+33.8%

Kodiak Gas Services

Kodiak Gas Services

Kodiak Gas Services Revenue by Segment

Forward Guidance

Kodiak Gas Services provided revised guidance for the full year 2025, raising the low end of the adjusted EBITDA range.

Positive Outlook

  • Raised full-year 2025 adjusted EBITDA guidance to a range of $695 million to $725 million.
  • Anticipates Contract Services revenues between $1,150 million and $1,200 million for the full year.
  • Expects Contract Services adjusted gross margin percentage between 66.5% and 68.5%.
  • Forecasts Other Services revenues between $160 million and $180 million.
  • Projects discretionary cash flow between $430 million and $455 million.

Challenges Ahead

  • Anticipates maintenance capital expenditures between $75 million and $85 million for the full year.
  • Forecasts growth capital expenditures between $180 million and $205 million.
  • Projects other capital expenditures between $60 million and $65 million.
  • Estimates total growth and other capital expenditures between $240 million and $270 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income