Nine Energy Service Expects Fourth-Quarter Profitability Gain

The Tip Desk · November 12, 2026 · 3 min read

Third-quarter revenue was $142.0 million as cementing rose 11% and the company now expects fourth-quarter revenue to be flat with modestly higher profitability.

Nine Energy Service (NINE), an oilfield services company offering completion solutions in North America and abroad, reported third-quarter 2026 revenue of $142.0 million, essentially unchanged from $141.8 million in the second quarter, matching its prior expectation of third-quarter revenue flat to modestly down.

The company posted a net loss of $(5.1) million, or $(0.36) a share, versus a $(4.9) million loss, or $(0.35) a share, in the prior quarter. Adjusted EBITDA was $8.3 million.

President and Chief Executive Officer Ann Fox said results benefited from improving U.S. activity and stronger performance in Cementing, partially offset by continued operating constraints in Coiled Tubing, where one large-diameter unit remained out of service, and by lower international Completion Tools activity compared with the second quarter, which the company attributed primarily to the timing of orders.

Cementing revenue increased 11% quarter over quarter. Fox said the unit was supported by sustained customer demand, increased activity and continued market-share gains, and that Cementing has historically served as an early indicator of broader completion activity. Second-quarter commentary had described Cementing as a steady contributor despite uneven activity.

Coiled Tubing remained constrained. In the second quarter, two large-diameter units, representing about 17% of the large-diameter fleet, were taken out of service for maintenance-related issues. One returned early in the third quarter; the other stayed under repair. Fox said that unit may return to service in December.

Gross profit was $13.3 million and adjusted gross profit was $20.6 million. General and administrative expense was $16.5 million. Depreciation and amortization was $7.4 million. The tax provision was about $0.1 million. Restructuring charges and other expenses, which the company said related to professional fees after the March 5, 2026 Plan Effective Date in connection with the Chapter 11 cases and other restructuring costs, were $1.9 million. Stock-based compensation was $1.3 million.

Net cash provided by operating activities was $4.7 million, reversing a $2.3 million use in the second quarter. Capital expenditures were $2.8 million. Full-year 2026 capital-expenditure guidance remained $20 million to $30 million, with an expectation of coming in near the midpoint.

Cash and cash equivalents were $16.1 million as of September 30, 2026. Availability under the revolving credit facility was $29.9 million, for total liquidity of $46.0 million. Borrowings under the revolver were $98.7 million.

The company emerged from bankruptcy on March 5, 2026, and applied fresh-start accounting on that date. Successor and predecessor results are not comparable.

Based on current market conditions, Nine said it expects the improvement in U.S. activity levels to continue into the fourth quarter of 2026, with Cementing positioned to benefit from sustained customer demand. The company currently expects fourth-quarter revenue to be flat, but profitability to be modestly higher compared with the third quarter of 2026 due to a shift in revenue to higher-margin cementing and international tools. Fox said the pace of customer activity, the timing of the coiled tubing unit’s return, and the mix of product and service activity will continue to influence near-term performance.