NCS Multistage Holdings, Inc. Reports Strong 2Q25 Performance and Strategic Acquisition
TL;DR
NCS Multistage Holdings, Inc. outperforms industry with a 22.8% revenue increase, offering investors a competitive edge through strategic acquisitions and international market expansion.
NCSM's 2Q25 financials show a 22.8% year-over-year revenue growth to $36.5M, with adjusted gross margins at 35.7%, detailed by product line and geographic performance.
NCSM's growth and strategic acquisitions like ResMetrics enhance global energy efficiency, contributing to a sustainable future through advanced diagnostics and digital platforms.
Discover how NCSM's 67.2% sequential international revenue surge and the ResMetrics acquisition are reshaping the energy sector's diagnostic landscape.
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NCS Multistage Holdings, Inc. (NASDAQ: NCSM) has reported a notable 22.8% year-over-year increase in total revenues for the second quarter of 2025, reaching $36.5M. This performance outpaces broader industry activity levels, with growth primarily fueled by heightened fracturing systems activity and frac plug sales in Canada and the U.S. Despite a seasonal revenue decline in Canada, the company's U.S. revenues saw a 45% sequential increase as delayed projects resumed. Internationally, revenues experienced a year-over-year decline but showed a significant sequential uptick, supported by increased equipment sales in the North Sea.
The company's adjusted gross margins stood at 35.7%, a decrease from 40.3% in the same quarter the previous year. However, NCSM anticipates modest revenue and margin growth through FY25, bolstered by the resilience of its core product lines and the recent acquisition of ResMetrics LLC. This strategic move, finalized on July 31, 2025, for $5.9M plus potential earn-outs, is expected to contribute $4–5M in revenue and $1–1.5M in EBITDA for the remainder of the fiscal year. ResMetrics enhances NCSM's diagnostics portfolio and expands its footprint in the U.S. and Middle East markets.
Financially, NCSM ended the quarter with a strong liquidity position of $42.6M, including $25.4M in cash and $17.2M available under its undrawn revolving credit facility. The company's balance sheet remains robust, with total debt limited to $7.7M in lease obligations. Looking ahead, NCSM has updated its full-year revenue guidance to $172.0M–$181.0M and adjusted EBITDA guidance to $22.0M–$25.5M, reflecting confidence in its growth trajectory and the strategic benefits of the ResMetrics acquisition.
For more details on NCS Multistage Holdings, Inc.'s performance and strategic initiatives, visit https://www.ncsmultistage.com.
Curated from Reportable
