NCS Multistage Holdings Inc
NASDAQ:NCSM
NCS Multistage Holdings Inc
NCS Multistage Holdings, Inc. engages in the provision of engineered products and services that facilitate the optimization of oil and natural gas well completions and field development strategies. The company is headquartered in Houston, Texas and currently employs 224 full-time employees. The company went IPO on 2017-04-28. The firm offers products and services primarily to exploration and production companies for use in onshore wells. The Company’s products and services are utilized in oil and natural gas basins throughout North America and in selected international markets, including Argentina, China, the Middle East and the North Sea. The firm owns a 50% interest in Repeat Precision, LLC, which sells composite frac plugs and related products. The company also provides tracer diagnostics services for well completion and reservoir characterization that utilize downhole chemical and radioactive tracers. The company sells products for well construction, which include Vecturon and Vectraset liner hanger systems, AirLock casing buoyancy system and toes initiation sleeves.
NCS Multistage Holdings, Inc. engages in the provision of engineered products and services that facilitate the optimization of oil and natural gas well completions and field development strategies. The company is headquartered in Houston, Texas and currently employs 224 full-time employees. The company went IPO on 2017-04-28. The firm offers products and services primarily to exploration and production companies for use in onshore wells. The Company’s products and services are utilized in oil and natural gas basins throughout North America and in selected international markets, including Argentina, China, the Middle East and the North Sea. The firm owns a 50% interest in Repeat Precision, LLC, which sells composite frac plugs and related products. The company also provides tracer diagnostics services for well completion and reservoir characterization that utilize downhole chemical and radioactive tracers. The company sells products for well construction, which include Vecturon and Vectraset liner hanger systems, AirLock casing buoyancy system and toes initiation sleeves.
Revenue Beat: Q3 revenue of $46.5 million was above the midpoint of guidance, with notable strength in U.S. and international markets despite a decline in Canada.
ResMetrix Integration: The integration of the ResMetrix acquisition is ahead of schedule, delivering early operational and cost synergies, and broadening NCS's reach in the Middle East.
Profitability: Adjusted EBITDA for the third quarter was $7 million, exceeding guidance; net income was $3.8 million, with diluted EPS at $1.37.
Cash Flow Strength: Free cash flow after noncontrolling interest for the first nine months was $6.8 million, a significant increase year-over-year, and full-year guidance was raised to $11–13 million.
Outlook & Guidance: 2025 annual revenue is expected to be $174–178 million (8% YoY growth), with adjusted EBITDA guided to $22.5–24 million and free cash flow guidance increased by $3 million at the midpoint.
Market Conditions: Management remains cautious due to stagnating U.S. rig counts, activity declines in Canada, and project delays in Saudi Arabia, but is confident in market share gains and the ability to adapt costs if needed.
Legal Update: A prior judgment against NCS in Canada was overturned, improving the company’s legal position.
