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Ranger Energy Services Q1 2025 Earnings Report
Ranger Energy Services, Inc. announced its financial results for the first quarter ended March 31, 2025, reporting a net income of $0.6 million and total revenue of $135.2 million.
Key Takeaways
Ranger Energy Services, Inc. reported a net income of $0.6 million for Q1 2025, an increase from a net loss in the prior year, despite a slight decrease in total revenue to $135.2 million. Adjusted EBITDA significantly increased year-over-year to $15.5 million, demonstrating improved operating performance despite weather challenges.
Revenue for Q1 2025 was $135.2 million, a 1% decrease from Q1 2024 and a 6% decrease from Q4 2024.
Net income for Q1 2025 was $0.6 million, or $0.03 per fully diluted share, an increase from a net loss of $0.8 million in Q1 2024.
Adjusted EBITDA was $15.5 million, a 42% increase from $10.9 million in Q1 2024, with an 11.4% Adjusted EBITDA margin.
Free Cash Flow was $3.4 million, or $0.19 per share, compared to $5.5 million in Q1 2024, including increased dividend payments.
Ranger Energy Services
Ranger Energy Services
Ranger Energy Services Revenue by Segment
Revenue by Segment
High-Specification Rigs Revenue
CapyFin.comWireline Services Revenue
CapyFin.comProcessing & Ancillary Revenue
CapyFin.com Forward Guidance
Ranger Energy Services remains positive about its prospects, anticipating a stronger activity trajectory in the second quarter due to strong relationships with major U.S. onshore producers and a production-focused business model.
Positive Outlook
- Stronger activity trajectory expected in the second quarter.
- Benefits from strong relationships with the largest U.S. onshore producers, leading to less volatile and more consistent work programs.
- Blue-chip customer base and production-focused business positions the company well for cyclical troughs.
- Balance sheet remains strong with zero debt, significant cash, and over $100 million in liquidity.
- Confident in the ability to respond and adjust to market conditions, and will continue to pursue M&A activity or share repurchases at attractive prices to create long-term shareholder value.
Challenges Ahead
- Normal seasonality and weather impacts can create sequentially reduced quarters.
- Experienced rare occurrences of two polar vortex events during January and February, along with windstorms in March, impacting business.
- Ancillary segment saw more dramatic pullbacks from the fourth quarter due to unusual weather events and general market sentiment shifts.
- Wireline business, focused in the north, saw the largest impact from weather-related pullbacks, posting EBITDA losses in January and February.
- Concerns about crude price volatility and potential lower energy demand persist.