Canada's Enerflex Q3 revenue falls, missing estimates

Enerflex

29/10/2026 10:17

Overview
Canada modular natural gas provider's Q3 revenue declined, missing analyst expectations
Adjusted EBITDA fell year-over-year
Net profit rose, helped by lower finance costs and disposition of some operations
Company raised quarterly dividend by about 17%

Outlook
Enerflex targets 2026 organic capital expenditures of $185 mln to $195 mln
Company expects customer-supported contract compression fleet growth of 10% to 15% in 2026
Enerflex sees strong multi-year demand in core markets, supported by rising natural gas production

Result Drivers
PROJECT TIMING - Co said lower revenue and adjusted EBITDA reflected timing of project milestones and higher operational activity in ES during prior-year period
ASIA PACIFIC DIVESTITURE - Co said profitability benefited from gain on Asia Pacific disposition, lower net finance costs and tax expense
RECORD ES BOOKINGS - Co said record ES bookings and backlog provided strong visibility into future revenue and business activity

Company press release: ID:nGNX95KpvM

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$623 mln
$641.13 mln (4 Analysts)
Q3 Net Income
 
$55 mln
 
Q3 Adjusted EBITDA
 
$129 mln
 
Q3 Operating Income
 
$77 mln
 
Q3 ROCE
 
15.80%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the oil related services and equipment peer group is "buy"
Wall Street's median 12-month price target for Enerflex Ltd. is C$49.00, about 40.1% above its October 28 closing price of C$34.98
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago

Reuters Recommended Reads
Oct 28 - Canada's Athabasca Oil Q3 production rises after turnarounds
Oct 28 - Canadian oil firm Whitecap Resources' Q3 revenue rises on strong production, higher prices
Oct 28 - Oilfield services firms lean on Middle East rebound but risks persist

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)