Enerflex Refinances $563M High-Yield Notes and Cuts Net Debt to $501M
Enerflex posted Q4 revenue of $627m and EBITDA of $123m, with free cash flow of $141m offset by a $57m net loss from note-redemption costs. The company refinanced $563m of notes into $400m of debt, cut net debt to $501m and booked a $1.1b backlog.
1. Financial Performance
Enerflex delivered Q4 revenue of $627 million and adjusted EBITDA of $123 million, up from $561 million and $121 million a year earlier. The quarter generated a record $141 million in free cash flow, although redemption costs of $81 million drove a net loss of $57 million.
2. Refinancing and Balance Sheet
During the quarter, Enerflex refinanced $563 million of high-yield notes into $400 million of lower-rate unsecured notes, incurring $68 million of one-time costs. This transaction reduced net debt to $501 million and lowered the bank-adjusted net debt/EBITDA ratio to about 1x at year-end.
3. Backlog and Strategic Initiatives
Engineered Systems backlog reached $1.1 billion, supported by strong U.S. project execution in compression and power-generation equipment. Management signed a definitive agreement to divest most Asia-Pacific operations in H2 2026 and guided 2026 organic capex to $175–195 million, including $90–100 million for growth.