Archrock, Inc. reported strong financial results for both the fourth quarter and full year 2024.
From GlobeNewswire: 2025-02-24 18:06:40
Archrock, Inc. reported a strong fourth quarter and full year in 2024, with revenue for the fourth quarter reaching $326.4 million and $1,157.6 million for the year. Net income for the fourth quarter was $59.8 million, and EPS was $0.34, while for the year, net income was $172.2 million and EPS was $1.05. Adjusted EBITDA for the fourth quarter was $183.8 million and $595.4 million for the year. The company declared a quarterly dividend of $0.19 per common share, a 15% increase from the previous year.
Archrock’s President and CEO, Brad Childers, highlighted the company’s strong performance in 2024, with increased contract operations adjusted gross margin and improved net income and adjusted EBITDA. The company ended the year with a leverage ratio of 3.3x and returned $124 million to shareholders through dividends and share buybacks. Looking ahead to 2025, Archrock sees continued growth opportunities in the energy market, especially in natural gas to support LNG exports and power generation.
For the fourth quarter of 2024, contract operations revenue increased to $286.5 million, with adjusted gross margin at 70%. Aftermarket services revenue totaled $40.0 million, with an adjusted gross margin percentage of 23%. The company’s total available horsepower at the end of the fourth quarter was 4.2 million, with utilization remaining strong at 96%.
In terms of financials, Archrock’s long-term debt was $2.2 billion, with available liquidity totaling $688 million at the end of 2024. The leverage ratio improved to 3.3x from 3.5x in the previous year. The company’s guidance for 2025 includes net income between $253,000 and $293,000, adjusted EBITDA between $750,000 and $790,000, and cash available for dividend between $456,000 and $471,000. Management believes the company is well-positioned for continued growth and shareholder returns in the coming year.
Read more at GlobeNewswire: Archrock Reports Fourth Quarter and Full Year 2024 Results