Cactus, Inc. ( (WHD) ) has released its Q3 earnings. Here is a breakdown of the information Cactus, Inc. presented to its investors.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Cactus, Inc. is a company that designs, manufactures, and rents pressure control and spoolable pipe technologies primarily for the oil and gas industry, with operations across North America, Australia, and select international markets. In its third quarter of 2025, Cactus, Inc. reported revenues of $264.0 million and an operating income of $61.2 million, with a net income of $50.2 million. The company also declared a quarterly dividend of $0.14 per Class A share. The company maintained a strong cash position with $445.6 million in cash and no outstanding bank debt.
Key financial metrics for the quarter included an adjusted net income of $53.7 million and an adjusted EBITDA of $86.9 million, reflecting a margin of 32.9%. The Pressure Control segment saw a revenue decline of 6.2% sequentially, while the Spoolable Technologies segment experienced a slight revenue decrease of 1.0% due to lower domestic activity but was offset by strong international sales.
Despite a challenging market environment, Cactus, Inc. managed to improve its operating income margin to 23.2% from 22.2% in the previous quarter, thanks to cost-reduction initiatives and lower legal expenses. The company’s strategic focus on cost control and customer relationships has helped it maintain profitability in a volatile market.
Looking ahead, Cactus, Inc. anticipates a flat to slightly down U.S. land rig count in the fourth quarter of 2025. The company expects its Pressure Control revenues to remain stable, while the Spoolable Technologies segment may experience a seasonal decline. The integration of a majority interest in Baker Hughes’ Surface Pressure Control business is progressing well, with closure expected in early 2026.