Natural Gas Services Group Q4 Rental Revenue Up 16%, 2026 EBITDA Guidance at $90.5-$95.5M
Natural Gas Services Group’s rental revenue rose 16.0% year-over-year to $44.3 million in Q4 2025, lifting full-year rental revenue to $164.3 million and net income to $19.9 million ($1.57/share). The company forecasts 2026 Adjusted EBITDA of $90.5-$95.5 million with $55-$70 million in growth capital expenditures.
1. Q4 2025 Financial Performance
In Q4 2025, rental revenue reached $44.3 million, up 16.0% year-over-year and 6.8% sequentially. Net income was $4.1 million, or $0.32 per diluted share, compared to $2.9 million, or $0.23 per share, in Q4 2024, while Adjusted EBITDA rose 17.6% to $21.2 million.
2. Full Year 2025 Highlights
For the full year, rental revenue totaled $164.3 million, a 13.9% increase over 2024, and net income grew to $19.9 million, or $1.57 per diluted share, from $17.2 million ($1.37/share). Adjusted EBITDA hit a record $81.0 million, up 16.5%, and the company returned $2.6 million via its inaugural and increased dividend.
3. 2026 Guidance
The company projects 2026 Adjusted EBITDA of $90.5–$95.5 million, with growth capital expenditures of $55–$70 million and maintenance capex of $15–$18 million. This outlook reflects full-year contributions from large horsepower units deployed in H2 2025 and further margin expansion.
4. Fleet Expansion and Capital Allocation
Rented horsepower reached 563,000 in Q4, a 14.4% year-over-year increase, with fleet utilization hitting a record 84.9%. Management plans continued investment in large horsepower and electric motor drive assets, balanced with disciplined capital returns and low leverage to support growth and M&A flexibility.