Archrock reports Q3 adjusted EPS 28c, consensus 27c

Reports Q3 revenue $292.2M, consensus $286.19M. “Archrock (AROC) drove tremendous performance during the third quarter, marked by the achievement of several financial and strategic milestones,” said CEO Brad Childers. “Our compression fleet remained fully utilized and our contract operations and aftermarket services segments delivered record-setting adjusted gross margins. In addition, at the end of August, we closed the previously announced acquisition of TOPS…The significant outperformance in our pre-acquisition business, the continued deployment of innovative technology and an expanded electric motor drive fleet result in an increase to our 2024 adjusted EBITDA guidance expectations and set a strong foundation for even higher levels of customer service, operational execution and profitability in 2025. We see sustained strength in compression booking demand as our customers plan for continuing production growth to meet increased LNG export capacity and electric generation demand from AI and data centers. I’m particularly excited about our enhanced position in the Permian Basin, which is forecasted to lead the U.S. in oil and gas production growth. Against this robust market backdrop, we expect to continue to make high-return investments in large midstream and electric motor drive newbuild horsepower to support our exceptional customer base…”