Overview

* Target Hospitality ( TH ) Q3 revenue beats analyst expectations, driven by new contract awards

* Company reports Q3 net loss of $0.8 mln, compared to $20.1 mln profit last year

* Adjusted EBITDA for Q3 falls to $21.5 mln from $49.7 mln last year

Outlook

* Target Hospitality ( TH ) sees full-year 2025 revenue between $310 mln and $320 mln

* Company expects 2025 adjusted EBITDA between $50 mln and $60 mln

* Target Hospitality ( TH ) anticipates increased contributions from Government segment in subsequent quarters

Result Drivers

* NEW CONTRACTS - Revenue increase driven by Workforce Hub and Dilley contracts, despite PCC Contract termination

* AI AND DATA CENTER EXPANSION - Entered AI and data center market with $43 mln Data Center Community Contract

* OPERATING EXPENSES - Higher operating expenses from construction services under Workforce Hub Contract impacted net income

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $99.40 $84.85

Revenue mln mln (4

Analysts

)

Q3 Net -$800,00

Income 0

Q3 $21.50

Adjusted mln

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy"

* Wall Street's median 12-month price target for Target Hospitality Corp ( TH ) is $10.00, about 22.8% above its November 5 closing price of $7.72

Press Release:

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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.)