KLX Energy Services Q1 Revenue $145M, Net Loss $24M; Q2 Guide $162M–$172M
KLX reported Q1 revenue of $145 million with a $24 million net loss and adjusted EBITDA of $11.1 million, representing an 8% adjusted EBITDA margin. Total liquidity stood at $48 million, and management forecasted Q2 revenue of $162 million to $172 million, a 5% year-over-year increase.
1. Q1 Financial Results
KLX reported revenue of $144.7 million for the quarter, down 6% year-over-year, with a net loss of $24.0 million and adjusted EBITDA of $11.1 million (7.7% margin). Total liquidity was $48 million, comprising $6 million in cash and $42 million in undrawn borrowing capacity under its asset-based revolving credit facility.
2. Segment Performance
Revenue by product line included 20% drilling, 54% completion, 16% production and 10% intervention services. Geographically, Rocky Mountains revenue declined 19.2% to $38.6 million (adjusted EBITDA $2.1 million), while Southwest fell 17.8% to $53.6 million (adjusted EBITDA $4.6 million).
3. Q2 Outlook and Strategy
Management forecasts Q2 revenue of $162 million to $172 million, a 5% increase year-over-year and $22 million above Q1 levels, driven by a seasonal rebound in the Rockies, stabilizing Permian activity and stronger Northeast/Mid-Con contributions. Sequential margin expansion is expected from higher activity and improved overhead absorption, fueled by demand for certified, higher-specification equipment.