Cactus Stock Earnings Reports

Cactus reported Q3 2025 revenue of $264M and adjusted EBITDA of $87M (32.9% margin). Pressure Control revenue was $169M (down 6.2% sequentially) but delivered improved operating margins (+290 bps) driven by tariff mitigation, cost reductions and lower legal expense. Spoolable Technologies revenue was $95M (down ~1% sequentially) with higher international shipments but margin pressure from input costs. GAAP net income was $50M; adjusted EPS was $0.67. Cash increased to $446M; net CapEx was ~$8.2M in the quarter and full‑year CapEx guidance remains $40–45M (including a $6M equity investment in Vietnam). The company paid a $0.14 quarterly dividend and the Board approved another $0.14 for December. Management expects Q4 Pressure Control revenue roughly flat vs. Q3 with adjusted EBITDA margins of 31–33% (excluding ~$3M stock comp) and Spoolable revenue down low double digits seasonally with margins ~34–36% (excluding ~$1M stock comp). Key operational points: ongoing tariff exposure (70% incremental fentanyl-related tariffs from China plus a 50% Section 232 tariff), active tariff mitigation and supply‑chain re‑sourcing including ramping Vietnam production (working toward API monogram), strong international traction for Spoolable Technologies (first gas service and sour service orders in Middle East, new wins in Africa and Australia), and planned acquisition of a majority interest in Baker Hughes’ Surface Pressure Control business with integration planning underway and expected close in early 2026. Management is cautiously optimistic on market share and international growth but notes oil price downside risk and continued subdued domestic activity.