Company: NINE
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001532286-25-000016
Chunk: 49

Company: Nine Energy Service, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 49
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 and a reconciliation of the non-GAAP financial measure of adjusted after-tax net operating profit (loss) to the most directly comparable GAAP measure of net income (loss), in each case for the three and six months ended June 30, 2025 and 2024.

Three Months Ended June 30,Six Months Ended June 30,2025202420252024(in thousands)Net loss$(10,391)$(14,041)$(17,452)$(22,096)Add back:Interest expense14,729 12,782 27,605 25,574 Interest income(319)(154)(458)(464)Restructuring charges306 315 306 342 Adjusted after-tax net operating income (loss)$4,325 $(1,098)$10,001 $3,356 Total capital as of prior period-end:Total stockholders’ deficit$(72,113)$(43,314)$(66,064)$(35,630)Total debt349,260 353,805 350,580 359,859 Less cash and cash equivalents(17,275)(10,237)(27,880)(30,840)Total capital as of prior period-end$259,872 $300,254 $256,636 $293,389 Total capital as of period-end:Total stockholders’ deficit$(81,737)$(49,715)$(81,737)$(49,715)Total debt350,275 352,730 350,275 352,730 Less cash and cash equivalents(14,216)(26,027)(14,216)(26,027)Total capital as of period-end$254,322 $276,988 $254,322 $276,988 Average total capital$257,097 $288,621 $255,479 $285,189 ROIC(16.2)%(19.5)%(13.7)%(15.5)%Adjusted ROIC6.7%(1.5)%7.8%2.4%

Adjusted Gross Profit (Loss)

GAAP defines gross profit (loss) as revenues less cost of revenues and includes depreciation and amortization in costs of revenues. We define adjusted gross profit (loss) as revenues less direct and indirect costs of revenues (excluding depreciation and amortization). This measure differs from the GAAP definition of gross profit (loss) because we do not include the impact of depreciation