Archrock Inc
F:54E

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Archrock Inc Logo
Archrock Inc
F:54E
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Price: 32 EUR -0.62% Market Closed
Market Cap: €5.4B

Archrock Inc
Investor Relations

Archrock is a service company that helps move natural gas through pipelines by supplying and maintaining compression equipment. Its core business is renting compression units and providing field service for those systems, which keep gas flowing when pressure needs to be boosted along the pipeline network. Its main customers are natural gas producers, pipeline operators, and midstream companies that need compression at well sites, gathering systems, and transmission points. Archrock makes money mostly through long-term service contracts and equipment rentals, along with fees for maintenance, installation, and other support work tied to that equipment. What sets Archrock apart is that it sits in the middle of the natural gas supply chain as a specialist in compression rather than as a broad energy company. Customers rely on it for the equipment, technicians, and ongoing upkeep needed to keep gas infrastructure running safely and reliably, which makes its business tied to the steady operation of the natural gas network.

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Last Earnings Call
Fiscal Period
Q1 2026
Call Date
May 6, 2026
AI Summary
Q1 2026

Strong start: Archrock said first-quarter 2026 results were strong, with adjusted EPS of $0.42 and adjusted EBITDA of $221 million, up 12% year over year.

Demand intact: Management said customer demand remains strong, the fleet stayed fully utilized, and the order book continues to build as natural gas and compression demand improve.

Guidance held: The company reaffirmed full-year 2026 adjusted EBITDA guidance of $865 million to $915 million, saying it was too early in the year to raise guidance despite better-than-expected underlying performance.

Returns focus: Archrock generated $92 million of adjusted free cash flow and returned $44 million to shareholders, while also raising the quarterly dividend to $0.22 per share.

Supply tight: Lead times for Caterpillar equipment have stretched to about 160 weeks, and management said it is already placing orders to make sure it can meet customer demand in future years.

Costs and timing: Management flagged some back-half oil-related cost pressure and higher SG&A in the quarter, but said the SG&A lift from executive retention accounting should not recur.

Balance sheet: Leverage ended at 2.6x, below the company’s long-term target, giving Archrock room to keep investing and returning capital.

Key Financials
Adjusted EPS
$0.42
Adjusted EBITDA
$221 million
Net income
$73.8 million
Adjusted net income
$74.4 million
Adjusted free cash flow
$92 million
Adjusted free cash flow after dividend
$52 million
Contract operations revenue
$331 million
Aftermarket services revenue
$43 million
Adjusted gross margin
72%
Aftermarket services adjusted gross margin
23%
Operating horsepower
4.53 million
Fleet utilization
95%
Total debt
$2.4 billion
Available liquidity
approximately $600 million
Leverage ratio
2.6x
Quarterly dividend
$0.22 per share
Dividend coverage
3.5x
Share repurchases
171,000 shares for approximately $4.4 million
Remaining share repurchase authorization
$113 million
Asset sale proceeds
$21 million
2026 growth capital
$250 million to $275 million
2026 total capital expenditures
$400 million to $445 million
2026 maintenance capital expenditures
$125 million to $135 million
2026 other capital expenditures
$25 million to $35 million
Earnings Call Recording
Other Earnings Calls

Management

Mr. D. Bradley Childers J.D.
President, CEO & Director
No Bio Available
Mr. Douglas S. Aron
Senior VP & CFO
No Bio Available
Mr. Eric W. Thode
Senior Vice President of Operations
No Bio Available
Ms. Stephanie C. Hildebrandt J.D.
Senior VP, General Counsel & Secretary
No Bio Available
Mr. Jason G. Ingersoll
Senior Vice President of Sales & Operations Support
No Bio Available
Ms. Donna A. Henderson
VP & Chief Accounting Officer
No Bio Available
Ms. Elspeth A. Inglis
Senior VP & Chief Human Resources Officer
No Bio Available
Ms. Megan Elizabeth Repine
Vice President of Investor Relations
No Bio Available

Contacts

Address
TEXAS
Houston
9807 Katy Fwy Ste 100
Contacts
+12818368000.0
www.archrock.com
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