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Mar 31, 2025
TETRA Q1 2025 Earnings Report
TETRA Technologies, Inc. announced its first quarter 2025 financial results, reporting a significant increase in adjusted EBITDA and revenue, driven by strong performance in Completion Fluids and Products.
Key Takeaways
TETRA Technologies, Inc. reported a strong first quarter in 2025, with revenue increasing 17% sequentially to $157.1 million and adjusted EBITDA rising 41% sequentially to $32.3 million. This growth was primarily fueled by the Completion Fluids and Products segment, which saw a 35% sequential revenue increase and improved EBITDA margins. The company also generated positive cash flow from operations and free cash flow, despite significant capital expenditures related to its Arkansas bromine facility.
Revenue increased 17% sequentially to $157.1 million and 4% year-over-year.
Adjusted EBITDA surged 41% sequentially to $32.3 million, with a consolidated margin of 20.5%.
Completion Fluids & Products segment revenue increased 35% sequentially and 20% year-over-year, with adjusted EBITDA margins reaching 35.7%.
The company generated $3.9 million in cash from operating activities and $4.2 million in total adjusted free cash flow, including $19 million from the sale of Kodiak Gas Services shares.
Revenue by Segment
Forward Guidance
TETRA Technologies, Inc. has increased its first half 2025 Adjusted EBITDA guidance to between $57 million and $65 million, up from the previous range of $55 million to $65 million. Revenue guidance is revised to between $315 million and $345 million, from $325 million to $355 million. The company anticipates strong performance driven by the European industrial chemicals seasonal peak, the multi-well deepwater Brazil project, and the completion of the TETRA CS Neptune project.
Positive Outlook
- Increased lower end of first half 2025 Adjusted EBITDA guidance to $57 million (previously $55 million).
- Expect full benefit of European industrial chemicals seasonal peak in Q2.
- Anticipate first well from recently awarded multi-well, multi-year deepwater Brazil project.
- Expect completion of the three-well TETRA CS Neptune project.
- First half 2025 results for Completion Fluids and Products segment expected to exceed first half of 2024 and be at or near record highs.
Challenges Ahead
- Recent pull-back in oil prices creates more uncertainty for U.S. Water & Flowback segment for the second half of the year.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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