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Sep 30, 2024

Ranger Energy Services Q3 2024 Earnings Report

Ranger Energy Services reported an increase in revenue and net income compared to the previous quarter, driven by strong performance in high-specification rigs and ancillary services.

Key Takeaways

Ranger Energy Services announced its Q3 2024 results, featuring revenue of $153.0 million, a net income of $8.7 million, and adjusted EBITDA of $25.1 million. The company also highlighted its commitment to returning cash to shareholders, having repurchased 155,200 shares during the quarter.

Revenue increased by 11% compared to the second quarter of 2024, reaching $153.0 million.

Net income rose by 85% from the previous quarter to $8.7 million, or $0.39 per fully diluted share.

Adjusted EBITDA increased by 20% compared to the second quarter of 2024, reaching $25.1 million.

The company repurchased 155,200 shares during the quarter, demonstrating its commitment to returning cash to shareholders.

Total Revenue
$153M
Previous year: $164M
-6.9%
EPS
$0.39
Previous year: $0.38
+2.6%
Adjusted EBITDA
$25.1M
Previous year: $24M
+4.6%
Gross Profit
$19.9M
Previous year: $19M
+4.7%
Cash and Equivalents
$14.8M
Previous year: $8.2M
+80.5%
Free Cash Flow
$10.8M
Previous year: -$2.8M
-485.7%
Total Assets
$374M
Previous year: $394M
-5.0%

Ranger Energy Services

Ranger Energy Services

Ranger Energy Services Revenue by Segment

Forward Guidance

Looking ahead to the fourth quarter, Ranger anticipates typical seasonality and holiday impacts, but early indications for 2025 are positive. The company expects year-over-year growth in High Specification Rigs, continued stabilization in Wireline, and further contributions from Ancillary Services.

Positive Outlook

  • Anticipate year-over-year growth in High Specification Rigs.
  • Expect continued stabilization in Wireline as the pivot to production services matures.
  • Anticipate further contributions from Ancillary Services.
  • Ability to continue executing at a high level in a challenging environment.
  • Maintain zero net debt.

Challenges Ahead

  • Typical seasonality impacts are expected to occur in the fourth quarter.
  • Holiday impacts are expected to occur in the fourth quarter.
  • Challenging environment.
  • Reduced activity in the wireline completions service line.
  • Heavy capital expenditures during 2024.

Revenue & Expenses

Visualization of income flow from segment revenue to net income