RANGER ENERGY SERVICES, INC. EXHIBIT 99.1
RANGER ENERGY SERVICES, INC.
SUPPLEMENTAL NON-GAAP FINANCIAL MEASURES
(UNAUDITED)
Note Regarding Non-GAAP Financial Measure
The Company utilizes certain non-GAAP financial measures that management believes to be insightful in understanding the Company's financial results. These financial measures, which include Adjusted EBITDA and Free Cash Flow, should not be construed as being more important than, or as an alternative for, comparable U.S. GAAP financial measures. Detailed reconciliations of these Non-GAAP financial measures to comparable U.S. GAAP financial measures have been included below and are available in the Investor Relations sections of our website at www.rangerenergy.com. Our presentation of Adjusted EBITDA and Free Cash Flow should not be construed as an indication that our results will be unaffected by the items excluded from the reconciliations. Our computations of these Non-GAAP financial measures may not be identical to other similarly titled measures of other companies.
Adjusted EBITDA
We believe Adjusted EBITDA is a useful performance measure because it allows for an effective evaluation of our operating performance when compared to our peers, without regard to our financing methods or capital structure. We exclude the items listed below from net income or loss in arriving at Adjusted EBITDA because these amounts can vary substantially within our industry depending upon accounting methods, book values of assets, capital structures and the method by which the assets were acquired. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing a company's financial performance, such as a company's cost of capital and tax structure, as well as the historic costs of depreciable assets, none of which are reflected in Adjusted EBITDA.
We define Adjusted EBITDA as net income or loss before net interest expense, income tax provision or benefit, depreciation and amortization, equity-based compensation, acquisition-related, severance and reorganization costs, gain or loss on disposal of assets, and certain other non-cash items that we do not view as indicative of our ongoing performance.
EXHIBIT 99.1
The following tables are a reconciliation of net income or loss to Adjusted EBITDA for the respective periods, in millions:
Processing | |||||||||||||||
High | Solutions | ||||||||||||||
Wireline | and | ||||||||||||||
Specification | Ancillary | Other | Total | ||||||||||||
Rigs | Services | Services | |||||||||||||
Net income (loss) | Three Months | Ended December 31, 2023 | |||||||||||||
$ | 10.0 | $ | (1.8) | $ | 3.4 | $ | (9.5) | $ | 2.1 | ||||||
Interest expense, net | - | - | - | 0.7 | 0.7 | ||||||||||
Income tax expense | - | - | - | 1.8 | 1.8 | ||||||||||
Depreciation and amortization | 5.4 | 2.9 | 1.9 | 0.4 | 10.6 | ||||||||||
EBITDA | 15.4 | 1.1 | 5.3 | (6.6) | 15.2 | ||||||||||
Equity based compensation | - | - | - | 1.2 | 1.2 | ||||||||||
Gain on disposal of property and equipment | - | - | - | (0.2) | (0.2) | ||||||||||
Severance and reorganization costs | - | 1.7 | - | - | 1.7 | ||||||||||
Acquisition related costs | - | - | - | 0.5 | 0.5 | ||||||||||
Adjusted EBITDA | $ | 15.4 | $ | 2.8 | $ | 5.3 | $ | (5.1) | $ | 18.4 |
Processing | ||||||||||||||
High | Solutions | |||||||||||||
Wireline | and | |||||||||||||
Specification | Ancillary | Other | Total | |||||||||||
Rigs | Services | Services | ||||||||||||
Net income (loss) | Three Months | Ended September 30, 2023 | ||||||||||||
$ | 10.6 | $ | 4.3 | $ | 4.5 | $ | (10.0) | $ | 9.4 | |||||
Interest expense, net | - | - | - | 0.7 | 0.7 | |||||||||
Income tax expense | - | - | - | 1.6 | 1.6 | |||||||||
Depreciation and amortization | 5.1 | 3.1 | 2.0 | 0.4 | 10.6 | |||||||||
EBITDA | 15.7 | 7.4 | 6.5 | (7.3) | 22.3 | |||||||||
Impairment of fixed assets | - | - | - | 0.4 | 0.4 | |||||||||
Equity based compensation | - | - | - | 1.3 | 1.3 | |||||||||
Gain on disposal of property and equipment | - | - | - | (0.1) | (0.1) | |||||||||
Acquisition related costs | - | - | - | 0.1 | 0.1 | |||||||||
Adjusted EBITDA | $ | 15.7 | $ | 7.4 | $ | 6.5 | $ | (5.6) | $ | 24.0 |
EXHIBIT 99.1 | ||||||||||||||
Processing | ||||||||||||||
High | Solutions | |||||||||||||
Wireline | and | |||||||||||||
Specification | Ancillary | Other | Total | |||||||||||
Rigs | Services | Services | ||||||||||||
Year Ended December 31, 2023 | ||||||||||||||
Net income (loss) | $ | 44.0 | $ | 7.1 | $ | 15.5 | $ | (42.8) | $ | 23.8 | ||||
Interest expense, net | - | - | - | 3.5 | 3.5 | |||||||||
Income tax expense | - | - | - | 7.2 | 7.2 | |||||||||
Depreciation and amortization | 20.1 | 11.3 | 6.9 | 1.6 | 39.9 | |||||||||
EBITDA | 64.1 | 18.4 | 22.4 | (30.5) | 74.4 | |||||||||
Impairment of fixed assets | - | - | - | 0.4 | 0.4 | |||||||||
Equity based compensation | - | - | - | 4.8 | 4.8 | |||||||||
Loss on retirement of debt | - | - | - | 2.4 | 2.4 | |||||||||
Gain on disposal of property and equipment | - | - | - | (1.8) | (1.8) | |||||||||
Severance and reorganization costs | - | 1.7 | - | 0.4 | 2.1 | |||||||||
Acquisition related costs | - | - | - | 2.1 | 2.1 | |||||||||
Adjusted EBITDA | $ | 64.1 | $ | 20.1 | $ | 22.4 | $ | (22.2) | $ | 84.4 | ||||
Processing | ||||||||||||||
High | Solutions | |||||||||||||
Wireline | and | |||||||||||||
Specification | Ancillary | Other | Total | |||||||||||
Rigs | Services | Services | ||||||||||||
Net income (loss) | Three Months | Ended December 31, 2022 | ||||||||||||
$ | 9.8 | $ | 2.0 | $ | 4.6 | $ | (8.8) | $ | 7.6 | |||||
Interest expense, net | - | - | - | 1.6 | 1.6 | |||||||||
Income tax benefit | - | - | - | (0.1) | (0.1) | |||||||||
Depreciation and amortization | 5.4 | 2.7 | 2.0 | 0.5 | 10.6 | |||||||||
EBITDA | 15.2 | 4.7 | 6.6 | (6.8) | 19.7 | |||||||||
Equity based compensation | - | - | - | 1.0 | 1.0 | |||||||||
Gain on disposal of property and equipment | - | - | - | (0.7) | (0.7) | |||||||||
Acquisition related costs | - | - | - | 1.4 | 1.4 | |||||||||
Legal fees and settlements | - | - | - | 0.2 | 0.2 | |||||||||
Adjusted EBITDA | $ | 15.2 | $ | 4.7 | $ | 6.6 | $ | (4.9) | $ | 21.6 |
EXHIBIT 99.1 | ||||||||||||||
Processing | ||||||||||||||
High | Solutions | |||||||||||||
Wireline | and | |||||||||||||
Specification | Ancillary | Other | Total | |||||||||||
Rigs | Services | Services | ||||||||||||
Net income (loss) | Year Ended December 31, 2022 | |||||||||||||
$ | 34.3 | $ | 7.6 | $ | 20.2 | $ | (47.0) | $ | 15.1 | |||||
Interest expense, net | - | - | - | 7.3 | 7.3 | |||||||||
Income tax expense | - | - | - | 0.9 | 0.9 | |||||||||
Depreciation and amortization | 26.2 | 11.0 | 5.3 | 1.9 | 44.4 | |||||||||
EBITDA | 60.5 | 18.6 | 25.5 | (36.9) | 67.7 | |||||||||
Impairment of fixed assets | - | - | - | 1.3 | 1.3 | |||||||||
Equity based compensation | - | - | - | 3.8 | 3.8 | |||||||||
Gain on disposal of property and equipment | - | - | - | (0.7) | (0.7) | |||||||||
Bargain purchase gain, net of tax | - | - | - | (3.6) | (3.6) | |||||||||
Severance and reorganization costs | - | - | - | 1.6 | 1.6 | |||||||||
Acquisition related costs | - | - | - | 7.9 | 7.9 | |||||||||
Legal fees and settlements | - | - | - | 1.5 | 1.5 | |||||||||
Adjusted EBITDA | $ | 60.5 | $ | 18.6 | $ | 25.5 | $ | (25.1) | $ | 79.5 |
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Ranger Energy Services Inc. published this content on 04 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 March 2024 22:18:02 UTC.
