NCS Multistage Holdings (NASDAQ: NCSM) has announced its financial results for the fourth quarter of 2024, revealing a notable 28% year-over-year increase in total revenues, which reached $45.0 million. This growth was significantly fueled by the company's international operations, where revenues soared by 279.8% to $4.4 million, thanks to key projects in the Middle East tracer diagnostics sector and North Sea frac systems.
The company's strategic emphasis on high-margin international markets has paid off, with Canada showing a strong 19.5% growth. However, the U.S. market presented mixed results, with product sales up by 29.1% but service revenues down by 9.5%. Despite these regional differences, NCS Multistage Holdings has maintained a positive growth trajectory.
Operational efficiency improvements were evident as consolidated gross margins expanded from 36.6% in Q4 2023 to 43.1% in Q4 2024. The company reported earnings per share of $1.36 for the quarter, a contrast to $15.96 in the same period the previous year. Financial stability was underscored by a net working capital of $56.4 million and a total liquidity position of $46.0 million, with free cash flow for the year-to-date period standing at $9.5 million, approximately 14% of the current market capitalization.
Looking ahead, NCS Multistage Holdings expects steady revenue in the first quarter of 2025 across its U.S., Canadian, and international markets. The company has set full-year revenue projections between $165.0 million and $175.0 million, with adjusted EBITDA anticipated to range from $20.0 million to $23.0 million. Financial analysts have estimated the company's valuation between $31.76 and $39.15 per share, based on discounted cash flow and enterprise value to EBITDA comparative analysis.
These results highlight NCS Multistage Holdings' adeptness at navigating market complexities and capitalizing on international opportunities, setting the stage for potential sustained growth in the coming year. For more detailed financial analysis, visit https://www.ncsmultistage.com.
