NPK Q3 revenue beats analyst estimates on demand in the power transmission market, raises FY revenue guidance
NPK's Q3 revenue surged 56% year-over-year, surpassing analyst expectations with $68.80 million compared to the $57.80 million estimate. The company raised its full-year revenue guidance to $268-$272 million and adjusted EBITDA to $71-$74 million. Demand in the power transmission market and effective operational execution drove this growth. NPK expanded its rental fleet by 13% and improved production output by 5%. Analysts maintain a "buy" rating on the stock, with a median 12-month price target of $12.50, slightly below its recent closing price of $13.66.
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Overview
- NPK Q3 revenue grows 56% yr/yr, beating analyst expectations, per LSEG data
- Adjusted EBITDA for Q3 rises to $15.4 mln
- Company raises full-year revenue guidance to $268-$272 mln
Outlook
- NPK raises full-year revenue guidance to $268-$272 mln
- NPK updates full-year Adjusted EBITDA to $71-$74 mln
- Company plans capital expenditures of $45-$50 mln for 2025
Result Drivers
- DEMAND GROWTH - Revenue increase driven by sustained demand in the power transmission market and effective execution by sales and operational teams
- FLEET FLEXIBILITY - Rental fleet’s scale and flexibility allowed rapid response to project changes, though it caused operational inefficiencies and margin pressure
- FLEET EXPANSION - Expanded rental fleet by 13% and improved production output by 5% to support growth and efficiency
Key Details
Metric Beat/Mis Actual Consensu
s s
Estimate
Q3 Beat $68.80 $57.80
Revenue mln mln (5
Analysts
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Q3 Net $5.65
Income mln
Analyst Coverage
- The current average analyst rating on the shares is “buy” and the breakdown of recommendations is 5 “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 NPK International Inc is $12.50, about 9.3% below its October 29 closing price of $13.66
Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (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.)
