KLX Energy Services | 10-Q: FY2025 Q3 Revenue Beats Estimate at USD 166.7 M

Revenue: As of FY2025 Q3, the actual value is USD 166.7 M, beating the estimate of USD 164.6 M.

EPS: As of FY2025 Q3, the actual value is USD -0.74, missing the estimate of USD -0.72.

EBIT: As of FY2025 Q3, the actual value is USD 8.1 M.

Segment Revenue

• Rocky Mountains: $50.9 million for the three months ended September 30, 2025, compared to $67.9 million for the same period in 2024, a decrease of 25.2%.
• Southwest: $56.8 million for the three months ended September 30, 2025, compared to $69.0 million for the same period in 2024, a decrease of 17.5%.
• Northeast/Mid-Con: $59.4 million for the three months ended September 30, 2025, compared to $52.5 million for the same period in 2024, an increase of 13.2%.

Operational Metrics

• Net Loss: - $14.3 million for the three months ended September 30, 2025, compared to - $8.2 million for the same period in 2024.
• Operating Loss: - $3.0 million for the three months ended September 30, 2025, compared to operating income of $1.1 million for the same period in 2024.
• Cost of Sales: $130.5 million for the three months ended September 30, 2025, compared to $142.3 million for the same period in 2024.
• SG&A Expenses: $15.6 million for the three months ended September 30, 2025, compared to $21.2 million for the same period in 2024.

Cash Flow

• Net Cash Used in Operating Activities: - $5.0 million for the nine months ended September 30, 2025, compared to $28.2 million provided by operating activities for the same period in 2024.
• Net Cash Used in Investing Activities: - $29.1 million for the nine months ended September 30, 2025, compared to - $40.6 million for the same period in 2024.
• Net Cash Used in Financing Activities: - $49.1 million for the nine months ended September 30, 2025, compared to - $17.4 million for the same period in 2024.

Unique Metrics

• Capital Expenditures: $39.7 million for the nine months ended September 30, 2025, compared to $49.8 million for the same period in 2024.

Future Outlook and Strategy

• Core Business Focus: KLX Energy Services Holdings, Inc. expects to continue pursuing opportunistic, strategic, accretive acquisitions to strengthen competitive positioning and capital structure, drive efficiencies, accelerate growth, and create long-term stockholder value.
• Non-Core Business: The company plans to monetize non-core and obsolete assets to improve liquidity position.
• Priority: The company anticipates incurring between $42.5 million and $47.5 million in total capital expenditures for the year ending December 31, 2025.