USA Compression Partners Achieves Record Q4 Results

USA Compression ( (USAC) ) has released its Q4 earnings. Here is a breakdown of the information USA Compression presented to its investors.

USA Compression Partners, LP is a leading provider of natural gas compression services in the United States, specializing in midstream infrastructure applications for high-volume gathering systems, processing facilities, and transportation contexts.

The company has reported exceptional financial results for the fourth quarter of 2024, achieving record revenues and operational metrics. The total revenue for the quarter reached $245.9 million, a significant increase from $225.0 million in the same period in 2023, and net income more than doubled to $25.4 million compared to $12.8 million in the previous year.

Key highlights include a record net cash flow from operating activities of $130.2 million and an adjusted EBITDA of $155.5 million. USA Compression achieved a record average revenue per revenue-generating horsepower per month of $20.85. The company’s operational efficiency is further reflected in a high average horsepower utilization rate of 94.5%.

Looking forward, USA Compression anticipates robust growth driven by favorable macroeconomic conditions, with an expected expansion capital expenditure of $120 million to $140 million in 2025. Management sees opportunities from increased natural gas volumes and the shared services integration with Energy Transfer, which is expected to reduce operational costs and enhance management effectiveness.

As the company enters 2025, it remains optimistic about its position in the market, capitalizing on trends such as increased demand for LNG and pipeline exports, as well as advancements in electrification driven by AI and data center needs.