Overview

* USA Compression ( USAC ) Q2 revenue hits record $250.1 mln, beating analyst expectations

* Net income for Q2 falls to $28.6 mln

* Adjusted EBITDA for Q2 misses analyst expectations, per LSEG data

Outlook

* USA Compression ( USAC ) confirms 2025 Adjusted EBITDA of $590 mln to $610 mln

* Company expects 2025 Distributable Cash Flow of $350 mln to $370 mln

* USA Compression ( USAC ) plans 2025 expansion capex of $120 mln to $140 mln

* Company sees 2025 maintenance capex between $38 mln and $42 mln

Result Drivers

* STRONG DEMAND - Co attributes record revenues to strong demand in oil and gas producing basins

* REVENUE PER HORSEPOWER - Average revenue per revenue-generating horsepower rose to $21.31, up 5% from a year ago

* HIGH UTILIZATION - Maintained high average horsepower utilization at 94.4%, supporting revenue growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $250.12 $246.70

Revenue mln mln (4

Analysts

)

Q2 Net $28.56

Income mln

Q2 Miss $149.50 $149.60

Adjusted mln mln (6

EBITDA Analysts

)

Q2 65.4%

Adjusted

Gross

Margin

Q2 $76.61

Operatin mln

g Income

Q2 $28.95

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and 1 "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 USA Compression Partners LP ( USAC ) is $27.00, about 13.4% above its August 5 closing price of $23.38

* The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 23 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.)