Company: NINE
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001532286-25-000016
Chunk: 110

Company: Nine Energy Service, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 2
Chunk 110
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 18

Revenues

Revenues increased $14.9 million, or 11%, to $147.3 million for the second quarter of 2025. The increase in comparison to the second quarter of 2024 was primarily related to cementing revenue (including pump downs), which increased $6.4 million, or 14%, as total cement job count increased 15%, each in comparison to the second quarter of 2024. In addition, wireline revenue increased $5.0 million, or 18%, as total completed wireline stages increased 35%, each in comparison to the second quarter of 2024, and tools revenue increased $4.6 million, or 14%, as completion tools stages increased 27%, each in comparison to the second quarter of 2024. The overall increase was partially offset by pricing pressure in coiled tubing, which decreased its revenue by $1.1 million, or 4%, in comparison to the second quarter of 2024. Lower pricing across cementing, wireline, and tools also partially offset overall revenue increases between periods.

Cost of Revenues (Exclusive of Depreciation and Amortization)

Cost of revenues increased $9.4 million, or 8%, to $121.4 million for the second quarter of 2025. The increase in comparison to the second quarter of 2024 was primarily related to a $6.6 million increase in materials installed and consumed while performing services, a $2.1 million increase in employee-related costs, and a $0.6 million increase in vehicle costs, each in comparison to the second quarter of 2024.

Adjusted Gross Profit (Loss)

Adjusted gross profit increased approximately $5.5 million to $25.8 million for the second quarter of 2025 due to the factors described above under “Revenues” and “Cost of Revenues.”

General and Administrative Expenses

General and administrative expenses increased $1.4 million to $13.9 million for the second quarter of 2025. The increase was primarily related to a $1.5 million increase in employee-related costs between periods.

Depreciation

Depreciation expense decreased $0.8 million to $5.8 million for the second quarter of 2025. The decrease in comparison to the second quarter of 2024 was primarily due to a decrease in capital expenditures across certain lines of service over the last twelve months.

Amortization of Intangibles

We recorded $