Nine Energy Service reported second-quarter revenue of $141.8 million, within its guidance range, but adjusted EBITDA of $8.6 million fell short due to margin compression in coiled tubing and inflationary cost pressures. The company took two large-diameter coiled tubing units, about 17% of that fleet, out of service for maintenance and repairs, with one returning early in the third quarter and the other expected back near year-end. Coiled tubing costs rose 12% sequentially for consumables, labor, and repairs, while completion tools revenue jumped 44% to $37.1 million on domestic share gains and international sales. Nine guided third-quarter revenue to $133 million to $143 million and reaffirmed full-year capital spending of $20 million to $30 million, likely trending to the middle-to-lower end.
Nine Energy Service, Inc.Coiled tubing units out of service for maintenance and repairs, causing margin compression and EBITDA miss.
