Kodiak Gas Services, Inc. (KGS)
NYSE:KGS
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Earnings Data
Report Date
Aug 12, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.68Last Year’s EPS
0.43Same Quarter Last Year
Strong Buy
Based on 9 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented strong operational and financial momentum in the core compression business—record adjusted EBITDA, industry-leading margins (70.6%), 98% utilization, solid revenue growth (+5% YoY) and growing pricing power—while outlining an aggressive, well-resourced expansion into distributed power (2 GW by 2030) with attractive return targets (>15% unlevered). Key risks include extreme equipment lead times (>180 weeks), substantial near-term power CapEx ($400–500M in 2026) with some front-loaded payments, and temporary leverage elevation and margin uncertainty in the new Power segment. On balance, the positives—sustained compression outperformance, strong cash flow, acquisition integration progress, and a clear growth plan for Power—outweigh the execution and timing risks described.Company Guidance
Revenue Growth
Total revenue of $346 million in Q1 2026, up 5% year over year, driven by new horsepower, price increases and operational execution.
Record Adjusted EBITDA and Net Income
Adjusted EBITDA was a company record $190 million, up 7% year over year; adjusted net income was $52 million, or $0.59 per diluted share.
Industry-Leading Compression Margins and Utilization
Contract Services adjusted gross margin reached 70.6% (a record), up 286 basis points year over year and 138 basis points sequentially; fleet utilization was 98%.
Strong Pricing and Per-Horsepower Revenue
Realized a 3.7% year-over-year price increase to $23.31 per ending revenue-generating horsepower; average horsepower per revenue-generating unit increased to 977 (from 943 a year earlier).
Horsepower and Fleet Growth
Ended Q1 with 4.4 million revenue-generating horsepower and added ~35 thousand horsepower sequentially; company remains confident in targeted annual horsepower growth of 150 thousand HP per year toward at least 5.2 million HP by decade-end.
Distributed Power Acquisition and Rapid Integration
Closed DPS acquisition April 1, integrated ERP and commercial/operations teams quickly; acquired an islanded primary power data center contract delivering 99.9%+ reliability and sourced >260 megawatts of additional power generation capacity (61 MW to be received in 2026).
Power Growth Opportunity and Financial Targets
Power growth strategy targets 300–500 MW per year through 2030 (~2 GW by 2030). Company expects power equipment to generate unlevered returns >15% and EBITDA build multiples around 5x; 2026 Power Infrastructure revenue guidance of $95–125 million with 60–70% adjusted gross margin.
Strong Cash Flow and Dividend Coverage
Discretionary cash flow of $126.5 million in Q1, up 9% year over year; declared dividend of $0.49 per share covered ~2.9x by Q1 discretionary cash flow.
Balanced Capital Deployment and Guidance
2026 consolidated adjusted EBITDA guidance increased to $820–860 million; discretionary cash flow guide of $520–570 million. Compression growth CapEx guided at $245–275 million (targeting ~170k HP add in 2026); power growth CapEx for 2026 guided at $400–500 million (reflecting early investment to scale Power).
Liquidity and Capital Markets Execution
Net debt $2.7 billion at quarter-end; issued $1.0 billion of senior notes due 2031 at 5.75% and used proceeds to redeem 2029 notes and pay down ABL; credit agreement leverage ratio was 3.6x as of March 31.
KGS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
KGS Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 11, 2026 | $69.65 | $75.52 | +8.43% |
Feb 25, 2026 | $52.75 | $54.85 | +3.98% |
Nov 04, 2025 | $35.92 | $33.58 | -6.51% |
Aug 06, 2025 | $31.24 | $31.09 | -0.47% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Kodiak Gas Services, Inc. (KGS) report earnings?
Kodiak Gas Services, Inc. (KGS) is schdueled to report earning on Aug 12, 2026, After Close (Confirmed).
What is Kodiak Gas Services, Inc. (KGS) earnings time?
Kodiak Gas Services, Inc. (KGS) earnings time is at Aug 12, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is KGS EPS forecast?
KGS EPS forecast for the fiscal quarter 2026 (Q2) is 0.68.