Enerflex Q2 revenue steady at $615 mln, record EBITDA

Enerflex

07/08/2025 11:11

Overview

Enerflex reports Q2 revenue of at $615 mln, up from $614 mln in Q2/24

Record adjusted EBITDA of $130 mln, driven by cost-saving initiatives

Net earnings rose to $60 mln, benefiting from improved operational efficiencies

Outlook

Enerflex expects 2025 capital expenditures of $120 mln

Company anticipates ES revenue to remain steady, supported by $1.2 bln backlog

Enerflex sees North American compression fleet growing to 475,000 horsepower

Company expects EI product line to generate $1.5 bln revenue over remaining terms

Result Drivers

COST-SAVING INITIATIVES - Enerflex's record adjusted EBITDA of $130 mln was driven by cost-saving initiatives and improved operational efficiencies

PRODUCT MIX - Engineered Systems gross margin decreased due to product mix changes

NATURAL GAS PRODUCTION - U.S. contract compression business benefited from increased natural gas production in the Permian Basin

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
$615 mln
Q2 Net Income
$60 mln
Q2 Adjusted EBITDA
$130 mln
Q2 Operating Income
$76 mln
Q2 ROCE
16.4%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "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$15.00, about 26.1% above its August 6 closing price of C$11.08

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nGNX4KRVtz

(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.)