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Select Water Solutions Reports Strong 2024 Financial Performance

Select Water Solutions Reports Strong 2024 Financial Performance

Select Energy Services ( (WTTR) ) has released its Q4 earnings. Here is a breakdown of the information Select Energy Services presented to its investors.

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Select Water Solutions, Inc. is a leading provider of sustainable water and chemical solutions primarily serving the energy industry, with a significant focus on water infrastructure and chemical technologies.

In its latest earnings report, Select Water Solutions showcased a strong financial performance for the year 2024, with consolidated revenue reaching $1.5 billion and notable growth in its Water Infrastructure segment. The company also announced strategic expansions and partnerships, including new projects in the Permian Basin and a water rights partnership in Colorado.

Key financial metrics highlighted in the report include a full-year operating cash flow of $235 million, with a gross profit before depreciation and amortization (D&A) of $373 million. Despite a slight decrease in total revenue compared to 2023, the Water Infrastructure segment experienced a 26% increase in revenue and a 62% increase in gross profit year-over-year. Strategic initiatives include a new sustainability-linked credit facility of $550 million and multiple long-term contracts that expand the company’s footprint in the Permian Basin and Colorado.

The company is optimistic about 2025, expecting continued growth in its Water Infrastructure segment and anticipating a record-setting year for Adjusted EBITDA. Select also plans to focus on margin improvement in its Chemical Technologies and Water Services segments while evaluating underperforming operations for potential consolidation or divestment.

Overall, Select Water Solutions appears well-positioned to leverage its infrastructure-oriented strategy to capitalize on growth opportunities within and beyond the traditional energy sector, aiming for sustainable profitability and shareholder value.

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