Select Water Solutions Q3 revenue beats expectations

Select Water Solutions

04/11/2025 21:25

Overview

Select Water Solutions Q3 revenue beats analyst expectations despite sequential decline

Adjusted EBITDA for Q3 exceeds analyst estimates, indicating operational resilience

Company announces strategic infrastructure expansions in Permian Basin for future growth

Outlook

Company expects Q4 2025 Water Infrastructure growth of approximately 10%

Select anticipates over 20% Water Infrastructure growth in 2026

Company projects Q4 2025 Adjusted EBITDA of $60-$64 mln

Result Drivers

CHEMICAL TECHNOLOGIES - Revenue and gross profit increased by 13% and 34% respectively, driven by new product development and market share gains

WATER SERVICES ENHANCEMENT - Enhanced existing contracts with long-term water transfer and logistics services, benefiting Water Services

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$322 mln
$319 mln (5 Analysts)
Q3 EPS
$0.03
Q3 Net Income
$2.30 mln
Q3 Adjusted EBITDA
Beat
$59.50 mln
$58.60 mln (6 Analysts)
Q3 Gross Margin
13.50%
Q3 Adjusted Gross Margin
27%
Q3 Gross Profit
$43.60 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "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 Select Water Solutions Inc is $15.00, about 20.7% above its November 3 closing price of $11.89

The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nPn6vjj18a

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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.)