$AROC

EXTERRAN HOLDINGS INC.

CIK:0001389050|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Total revenue	$ 371,238	$ 383,152	$ 745,005	$ 730,315
Total cost of sales, exclusive of depreciation and amortization	126,726	146,038	253,070	271,094
Selling, general and administrative	39,641	36,244	84,872	73,451
Depreciation and amortization	71,478	63,139	141,212	120,759
Long-lived and other asset impairment	4,881	10,847	10,140	11,819
Restructuring charges	125	144	261	809
Debt extinguishment gain	(687)		(687)
Interest expense	37,016	41,711	76,526	79,452
Transaction-related costs	328	6,127	924	10,062
Gain on sale of assets, net	(297)	(4,297)	(10,413)	(11,632)
Other income, net	(967)	(2,841)	(1,572)	(3,525)
Income before income taxes	92,994	86,040	190,672	178,026
Provision for income taxes	25,821	22,433	49,225	43,569
Income before equity in net loss of unconsolidated affiliate	67,173	63,607	141,447	134,457
Equity in net loss of unconsolidated affiliate	453	187	933	187
Net income	$ 66,720	$ 63,420	$ 140,514	$ 134,270
Basic earnings per common share (in dollars per share)	$ 0.38	$ 0.36	$ 0.79	$ 0.76
Diluted earnings per common share (in dollars per share)	$ 0.38	$ 0.36	$ 0.79	$ 0.76
Weighted-average common shares outstanding:
Basic (in shares)	174,410	175,007	174,248	174,513
Diluted (in shares)	174,744	175,264	174,626	174,821
Contract operations
Total revenue	$ 329,260	$ 318,327	$ 660,140	$ 618,724
Total cost of sales, exclusive of depreciation and amortization	94,672	96,152	187,943	185,951
Aftermarket services
Total revenue	41,978	64,825	84,865	111,591
Total cost of sales, exclusive of depreciation and amortization	$ 32,054	$ 49,886	$ 65,127	$ 85,143

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income	$ 140,514	$ 134,270
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	141,212	120,759
Long-lived and other asset impairment	10,140	11,819
Equity in net loss of unconsolidated affiliate	933	243
Inventory write-downs	163	468
Amortization of operating lease right-of-use assets	2,381	2,284
Amortization of deferred financing costs	3,153	3,071
Amortization of debt premium	(501)	(1,003)
Amortization of capitalized implementation costs	2,045	1,580
Debt extinguishment gain	(687)
Stock-based compensation expense	15,031	9,867
Provision for credit losses	85	227
Gain on sale of assets, net	(10,413)	(11,632)
Deferred income tax provision	47,271	40,177
Amortization of contract costs	9,787	11,504
Deferred revenue recognized in earnings	(11,356)	(7,785)
Changes in operating assets and liabilities:
Accounts receivable, net	(67,002)	(45,893)
Inventory	(3,328)	(4,617)
Other assets	34,751	(7,815)
Contract costs	(8,845)	(11,155)
Accounts payable and other liabilities	30,089	(12,815)
Deferred revenue	11,211	9,572
Other	1	(27)
Net cash provided by operating activities	346,635	243,099
Cash flows from investing activities:
Capital expenditures	(211,448)	(279,602)
Proceeds from sale of property, equipment and other assets	25,363	31,493
Proceeds from insurance and other settlements	155	3,524
Cash paid in NGCS Acquisition, net of cash acquired		(296,641)
Investments in unconsolidated affiliates and other strategic investments	(1,813)	(471)
Net cash used in investing activities	(187,743)	(541,697)
Cash flows from financing activities:
Borrowings of long-term debt	1,523,000	1,061,726
Repayments of long-term debt	(1,575,875)	(647,801)
Redemption of 2028 Notes	(800,000)
Proceeds from 2034 Notes offering	800,000
Payments of debt issuance costs	(10,651)	(1,691)
Dividends paid to stockholders	(78,531)	(67,805)
Repurchases of common stock	(4,422)	(29,045)
Taxes paid related to net share settlement of equity awards	(12,997)	(14,988)
Proceeds from stock issued under ESPP	1,031	766
Contribution to Enerflex		(1,123)
Net cash (used in) provided by financing activities	(158,445)	300,039
Net increase in cash and cash equivalents	447	1,441
Cash and cash equivalents, beginning of period	1,553	4,420
Cash and cash equivalents, end of period	$ 2,000	5,861
Supplemental disclosure of non-cash investing transactions:
Issuance of Archrock common stock pursuant to NGCS Acquisition		$ 52,966

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 2,000	$ 1,553
Accounts receivable, net of allowance of $1,205 in each period	215,475	142,327
Inventory	112,043	109,747
Tax refund receivable		41,479
Other current assets	13,285	9,057
Total current assets	342,803	304,163
Property, plant and equipment, net	3,724,136	3,658,089
Operating lease right-of-use assets	12,989	13,581
Goodwill	124,178	125,189
Intangible assets, net	135,898	143,947
Contract costs, net	38,017	38,959
Deferred tax assets	1,246	2,059
Other assets	55,736	55,449
Non-current assets of discontinued operations	7,868	7,868
Total assets	4,442,871	4,349,304
Current liabilities:
Accounts payable, trade	65,757	43,731
Accrued liabilities	171,943	145,024
Deferred revenue	8,282	8,391
Total current liabilities	245,982	197,146
Long-term debt	2,347,810	2,410,893
Operating lease liabilities	9,399	10,220
Deferred tax liabilities	244,742	198,309
Other liabilities	34,965	33,389
Non-current liabilities of discontinued operations	7,868	7,868
Total liabilities	2,890,766	2,857,825
Commitments and contingencies (Note 10)
Equity:
Preferred stock: $0.01 par value per share, 50,000,000 shares authorized, zero issued
Common stock: $0.01 par value per share, 250,000,000 shares authorized, 184,982,818 and 184,746,759 shares issued, respectively	1,849	1,847
Additional paid-in capital	3,872,653	3,876,834
Accumulated deficit	(2,195,403)	(2,257,386)
Treasury stock: 9,765,857 and 9,877,754 common shares, at cost, respectively	(126,994)	(129,816)
Total equity	1,552,105	1,491,479
Total liabilities and equity	$ 4,442,871	$ 4,349,304