Overview

* PHX Energy Q2 2025 revenue rises 9%, beating analyst expectations, per LSEG data

* Adjusted EBITDA for Q2 2025 declines 9% due to higher equipment costs

* Company repurchased 100,000 shares, plans to renew NCIB strategy

Outlook

* PHX Energy expects strong activity and revenue in H2 2025

* Company anticipates continued growth in Canadian RSS fleet

* PHX Energy sees US fleet expansion supporting revenue in declining rig count

* Company expects softer market in 2025 due to tariffs, lower oil prices

Result Drivers

* RECORD REVENUE - PHX Energy achieved highest Q2 revenue on record, driven by increased motor rental activity and RSS deployment

* US REVENUE GROWTH - Despite weaker industry drilling activity, US division revenue grew 10%, supported by RSS and motor rentals

* COST IMPACT - Profitability affected by higher equipment costs due to tariffs and inventory obsolescence provision

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat C$167.67 C$166.50

Revenue mln mln (2

Analysts

)

Q2 EPS C$0.17

Q2 C$27.36

Adjusted mln

EBITDA

Q2 FFO C$20.60

mln

Q2 Capex C$20.75

mln

Q2 FFO C$0.45

Per

Share

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the oil & gas drilling peer group is "buy"

* Wall Street's median 12-month price target for PHX Energy Services Corp ( PHXHF ) is C$10.00, about 18.4% above its August 5 closing price of C$8.16

* The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago

Press Release:

(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.)