Archrock, Inc. (AROC) Q4 2024 Earnings Call Transcript

For the period ending December 31, 2024

February 25, 2025 9:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good morning. Welcome to the Archrock's Fourth Quarter and Full-Year 2024 Conference Call. Your host for today's call is Megan Repine, Vice President of Investor Relations at Archrock. [Operator Instructions] I'll now turn the call over to Ms. Repine. You may begin.

Megan Repine

Thank you, Celine. Hello, everyone, and thanks for joining us on today's call. With me today are Brad Childers, President and Chief Executive Officer of Archrock; and Doug Aaron, Chief Financial Officer of Archrock. Yesterday, Archrock released its financial and operating results for the fourth quarter and full-year 2024, as well as annual guidance for 2025. If you have not received a copy, you can find the information on the company's website at www.archrock.com.

During this call, we will make forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934 based on our current beliefs and expectations as well as assumptions made by and information currently available to Archrock’s management team. Although management believes that the expectations reflected and such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.

Please refer to our latest filings of the SEC for a list of factors that may cause actual results to differ materially from those in the forward-looking statements made during this call. In addition, our discussion today will reference certain non-GAAP financial measures including adjusted net income, adjusted EBITDA, and adjusted EPS. For reconciliations of these non-GAAP financial measures to our GAP financial results, please see yesterday's press release and our Form 8-K furnished to the SEC.

I'll now turn the call over to Brad to discuss Archrock’s fourth quarter and full-year results and to provide an update for our business.

Bradley Childers

Thank you, Megan, and good morning, everyone. Across the board, Archrock delivered excellence in 2024. Excellence in safety, customer service, operational performance, and financial results.

We achieved this during one of the busiest compression markets we've ever experienced, and while concurrently completing a transformative acquisition that established Archrock as the leader in electric compression.

Before turning the page to 2025, I want to take a moment to thank and congratulate our dedicated employees on an extensive list of 2024 accomplishments, which included records for almost every operational and financial metric. Among the highlights, we reported record adjusted EPS and adjusted EBITDA. Compared to 2023, we increased our adjusted EPS by 69% and adjusted EBITDA by more than 30%.