Select Water Solutions Sees 80% Divestment-Driven Water Services Drop, Chemical Segment Up 19%
Select Water Solutions expects water services revenue to drop in 2026, with divestments accounting for over 80% of the decline. In 2025 its chemical technology segment grew revenue by 19% and gross profit before depreciation and amortization by 45%, while new contracts added nearly 1 million acres with 11-year terms.
1. Record 2025 Performance
Select Water Solutions delivered record consolidated margins and market share gains in 2025, supported by strong operational efficiency across its chemical technology and water infrastructure segments.
2. Segment Performance
The chemical technology segment achieved 19% revenue growth and a 45% increase in gross profit before depreciation and amortization in 2025, while the water services segment is forecast to see a revenue decline in 2026 as divestments drive over 80% of the drop.
3. Contract Wins and Infrastructure Growth
The company secured nearly 1 million acres of dedicated acreage under contracts averaging 11 years, grew recycled produced water volumes by 18% to reach 1 billion barrels recycled since 2021, and recorded 800% revenue growth in its water infrastructure segment over the past five years.
4. Expansion Initiatives and Extraction Partnerships
Management outlined pipeline expansions in Delaware and Texas basins, strategic partnerships for lithium, iodine and strontium extraction leveraging existing infrastructure, and plans to diversify Peak Rentals equipment for drilling and production phases alongside upcoming municipal project investments.